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Home KSEB Kerala State Electricity Regulatory Commission extends validity of power tariffs till December

Kerala State Electricity Regulatory Commission extends validity of power tariffs till December

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KSERCThe Kerala State Electricity Regulatory Commission has extended the validity of the existing power tariffs in the state till December 31 this year. The term of the tariffs, fixed in December 2016 by the commission, was slated to end on Saturday. The decision was taken in view of the fact that the commission is yet to finalise the norms for the KSERC (Terms and Conditions for Determination of Tariff) Regulations, 2017,  which require distribution licencees, including KSEB, to submit tariff proposals for four years at one go. The draft policy was published last December.

 

As per the current decision, the existing tariffs will be valid till December 31 this year or till the KSEB submits a fresh tariff proposal under the new multi-year tariff (MYT) policy and a decision is taken on it.“We are working on the norms of the new MYT policy under which KSEB and other distribution licencees must submit tariff proposals for the period from 2018 to 2022 at one go,’’ KSERC member S Venugopal said.

The existing power tariffs were fixed suo motu by the commission on December 7, 2016, for the 2016-17 and 2017-18 fiscals after KSEB failed to submit its own proposals. The rationale for the four-year MYT - which will be in vogue from April 1, 2018, to March 31, 2022 - is that it will prevent tariff shock and provide long-term indications regarding power tariffs which are fundamental to planning, especially for industries.


 

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