OERC begins hearing on possible power tariff hike

Bhubaneswar: The Odisha Electricity Regulatory Commission (OERC) today started hearing the issue of electricity tariff revision for 2017-18.

Headed by Chairperson U N Behera, OERC on the first day heard the proposals of the Odisha Hydropower Corporation (OHPC) and Odisha Power Generation Corporation (OPGC).

OHPC, a state-run undertaking, has submitted the annual revenue requirement (ARR) application for 2017-18.

The estimated energy withdrawal of Machhkund reservoir is proposed at 262.50 MU (million unit) while ARR for OHPC in 2017-18 is projected at Rs 1,026.35 crore.

Wary of an increase in power tariff, the Odisha Electricity Consumers’ Association (OECA) said it would oppose the move in this regard before OERC.

“The state government companies such as GRIDCO, OHPC, OPGC have sought a tariff hike. The tariff is likely to increase due to flawed policies of the government. We are going to object,” the association President Ramesh Tripathy said.

OERC had rejected demands of the distribution companies to increase the power tariff last year as the Consumers’ Federation had strongly opposed the tariff hike proposal at a public hearing.

OPGC, sources said, has proposed to generate 2,765.63 mu in 2017-18 from the IB thermal station and approve at 263.90 paise/kwh (kilowatt-hour) (capacity at 82 paise/kwh and energy charges at 181.90 paise/kwh) for 2017-18.

Like OHPC, at least seven objections have been submitted on various issues related to generation tariff proposal of OPGC for 2017-18.