Telangana Discoms considers shocks to its monthly electricity bill – the New Indian Express
HYDERABAD: Discoms are prepared to administer electric shocks to consumers every month, according to central government rules, provided the Electricity Regulatory Commission changes its rules. If the cost of purchasing electricity increases, the Discoms will pass the load on to consumers each month.
When filing the Aggregate Revenue Requirements (ARR) for 2022-2023, the Discoms said the central government notified the 2021 electricity rules (rapid cost recovery due to a change in law) released on October 22, 2021. This states that if the cost of the electricity they buy increases, it must be passed on to consumers.
These rules apply to a production company and a transport licensee to recover costs due to a change in law, from distribution companies on a monthly basis. However, there is no mechanism to pass the burden of “adjustment costs” onto consumers in the old APERC Regulation No. 4 of 2005, which was adopted by TSERC after the bifurcation.
The Discoms stated in their ARR that without a mechanism to recover the increased production costs from consumers, they would lose out with the implementation of the central rules by the production company or a transport agency. This results in huge working capital costs and would also affect the entire power sector value chain.
Thus, the Discoms want the ERC to modify Regulation 4 of 2005 in order to set up a mechanism for automatically transferring the load to consumers.
Steep hike proposed
The Discoms have also proposed to increase the monthly charges to be collected from electricity consumers. It is proposed to increase the minimum customer charges from Rs 25 to Rs 40 and the maximum customer charges proposed are from Rs 80 to Rs 160. Those who consume more electricity have to pay higher customer charges.
Apartments have to pay more, meter clubbing
If more than one service is provided for common use in the same premises, multi-storey buildings / apartments / apartments / residential houses, the consumption of all common meters should be clubbed and billed under LT-I (B) (ii) or LT -II (B) depending on the case, the proposed Discoms. If all meters are clubbed and billed, users have to shell out more for electricity costs. People operating captive power plants (CPPs) in parallel with TS Grid must pay “Grid Support Charges”.
Green tariff for industries like Maharashtra
The Discoms have proposed a green tariff for industrial and commercial consumers. They adopted the Maharashtra model by setting the green tariff. “Some of Telangana’s consuming companies are also aiming to become zero carbon companies. As the Discoms want to encourage companies / consumers who wish to respect their commitments in terms of green energy / zero carbon emissions, it is proposed to levy only part of the fee, i.e. 2.00 Rs / kWh as an additional premium on top of existing consumer retail tariffs, such as green tariffs.