OERC hearing: Gridco seeks 40% hike in tariff
Bhubaneswar: Power supplier Gridco has proposed the Odisha Electricity Regulatory Commission (OERC) to increase tariff by 40% for supply of bulk power to four distribution companies including CESU, NESCO, WESCO, and SOUTHCO.
In OERC’s first hearing on Friday, the power supplier sought for a tariff hike to Rs 3.78 from Rs 2.70 for 2013-14.
Gridco’s Director (Finance) Bibhu Prasad Mohapatra, said, “It's up to the commission to decide on the matter. We have only presented the facts.”
State's lone bulk power supplier Gridco, which has outstanding dues of Rs 10,500 crore from four power distribution companies, projected an annual revenue requirement of Rs 9,515.79 crore for 2013-14 fiscal as against Rs 6,950.64 crore approved by the commission for the current fiscal.
The major power supplier has proposed procurement of 26,221.42 million units of electricity from different sources at a cost of Rs 6,837.67 crore in the next fiscal.
It has brought to the notice of the commission that huge past liabilities has been thrust upon it due to non-payment of power purchase dues by discoms of the state.
However, consumer activists objected the claims of the power supply company. “There is no reason why power tariff should be increased. Gridco is purchasing bulk power from co-generators at high rates. Why don’t they increase the production from OHPC and buy at lesser rates?” activist Ramesh Satapathy argued.
On the other hand, Odisha Hydro Power Corporation (OHPC) asked the OERC to cut tariff rates by 1.2%.