OERC begins public hearing on tariff hike
The commission, which will hold eight sittings will continue its hearing till February 28 and may take a fresh decision by March.
According to sources, the Central Electricity Supply Utility (CESU) distribution company has proposed 12 per cent hike in tariff after projecting a loss of around Rs 346 crore for 2013-14 at the prevailing tariff rate.
The other distribution companies North Eastern Electricity Supply Company (NESCO), Western Electricity Supply Company (WESCO) and Southern Electricity Supply Company (SOUTHCO) have also forecast loss of Rs 1,134 crore, Rs 800 crore and Rs 150 crore respectively with the continuation of the present power rates.
“Due to the current system, we are unable to pay the bills to Gridco. Even we could not get two-month salary for the reason", Wesco MD P Gopal Reddy said.
“The commission will examine all the guidelines and take a decision accordingly," DK Rai, former chairman of OERC, said.
In April last, OERC had increased the power tariff by an average 11.84 per cent.