The power sector regulator in New Delhi has approved a 6-8 per cent surcharge on power purchase costs by electricity distribution companies, a notice on the regulator's website said on 31-01-2014. The Delhi Electricity Regulatory Commission said the surcharge was for a period of three months from February 1 or until any further order.
BSES Yamuna Power Ltd, an electricity distribution company in New Delhi, had warned the local government of possible load shedding in some parts of the city because it was unable to pay for electricity supplied by state generating companies.
An electricity distribution company in New Delhi warned the AAP government of possible power cuts in some parts of the city because it is unable to pay for electricity supplied by state generation companies.
The warning comes weeks after Delhi's newly elected Aam Aadmi Party government slashed water and power tariffs for lower-usage residential consumers and said it would conduct audits on the city's three private-sector power distribution companies.
NTPC informed the power discom that a power supply cut is imminent if payment is not made on Friday. NTPC has written a letter to BSES warning it of cut in electricity supply if payments not made by tonight.
The letter was also sent to the Delhi government. NTPC has demanded Rs 179.68 crore to be paid immediately from BSES towards energy supply costs. The company has refused to extend payment cycle beyond January 31.
Meanwhile, BSES sources said that so far NTPC has not agreed to their demand for time to make payment. BSES sources added that the decision on whether there will be power cut or not on Saturday in the national capital depends on what NTPC decides.
Reliance Infra-backed power distribution company BSES Yamuna Power Ltd informed Delhi government that the company was facing serious fund crunch to buy electricity. In a letter to Delhi's Power Secretary Puneet Goel, BYPL sought immediate financial assistance from the government to deal with the "difficult" situation as it was not being able to make payments to various state-run power generators including NTPC and NHPC.
BYPL sought immediate intervention of Delhi government in helping it overcome the situation and urged it to take up the issue urgently with NTPC, NHPC, Ministry of Power and Ministry of Finance.
A spokeswoman at state-owned NTPC, which supplies most of the power to Delhi's distribution companies, declined to comment.
"There's going to be no cuts. These power companies are being mischievous and creating panic," Delhi chief minister Arvind Kejriwal told a news conference on Friday and warned the firms of a possible cancellation of licences.