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Home News Power Sector News Andhra Pradesh- Power tariff may be hiked again

Andhra Pradesh- Power tariff may be hiked again

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APDenizens are in for another round of power tariff hike in the form of fuel surcharge adjustment (FSA). All the four discoms have represented to the AP Electricity Regulatory Commission seeking permission to collect the mounting FSA dues from non-agricultural sectors. The increase in the price of coal imported by NTPC and reduction of supply of gas to gas-based power stations resulted in power stations operating at 65 per cent load factor. This led to higher purchase of power from outside to meet the growing demands, the discoms explained.

Though the state government has been compensating FSA to the discoms since 2004, the arrears have been mounting. The dues for 2009, for instance, is said to be around Rs 1439 crore.

The discoms have now asked the APERC to permit them to collect Rs 1777 crore FSA incurred for the last quarter of 2010 first. The APGenco, it is said, had spent about additional Rs 330 crore to buy imported coal for its thermal plants.

As the government has not reimbursed the amount, the discoms now want to revert to the old system of collecting it from consumers.

It may be mentioned here that from April 1, the power utilities had hiked the power tariff putting heavy burden on the consumers. If the discoms are permitted to collect FSA, consumers will have to burn a deep hole in their pockets.

Source- Times of India


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