The Delhi Electricity Regulatory Commission (DERC) on Thursday announced a power tariff hike of up to 7% for the three distribution companies operating in the region. The tariff hike is related to an adjustment in the power purchase cost adjustment charges (PPACs) to be effective for a period of three months from November 15 to February 14.
The PPAC, approved by the DERC, allowed Reliance Power-promoted BSES Yamuna (BYPL) and BSES Rajdhani (BRPL) to hike tariff by 7% and 4.5%, respectively. For Tata Power-promoted Tata Power Delhi Distribution (TPDDL), tariff has been hiked by 2.5%.
The increase in tariff is based on the revised PPAC formula, approved by the DERC in July, which takes into account the variation in transmission charges and arrears payable to generation and transmission companies.
“It is clarified that the PPAC is a component of tariff and its application shall be in the same manner as in the case of tariff revision i.e it shall be applicable only on the pro rata consumption with effect from November 15,” the DERC said in its order.
The commission has further clarified that the PPAC will not be charged on the 8% surcharge on the electricity bills of consumers and the surcharge — for recovery of past accumulated deficit — is not be levied on PPAC.