BHUBANESWAR: The Odisha Electricity Regulatory Commission (OERC) has framed a draft regulation for determination of tariff for wheeling and retail supply of electricity separately.
The proposed regulations which will be called ‘Odisha Electricity Regulatory Commission (Terms and Conditions for Determination of Wheeling Tariff and Retail Supply Tariff) Regulations, 2022’ will come into effect from April 1, 2023 and remain in force for five years till March 31, 2028, unless otherwise reviewed or extended by the regulator.
Seeking views of all stakeholders to the draft regulations before November 14, 2022, the commission said it may categorise consumers on the basis of their load factor, power factor, voltage, total consumption of electricity during any specified period or the time at which the supply is required. As the distribution licensees are expected to prepare a long-term action plan as per the new regulations, the multi-year framework will be applied for determination of tariff for wheeling and retail supply businesses.
“The commission shall endeavour to gradually reduce the cross-subsidy between consumer categories with respect to the average cost of supply in accordance with the provisions of the Act,” said a public notice issued by OERC.
While determining the tariff the commission may also keep in view the cost of supply at different voltage levels and the need to minimise tariff shock to any category of consumers. Stating that a differential tariff for peak and off-peak hours is necessary to promote demand side management, it said, “The Commission may encourage the distribution licensees to move towards separate peak and off-peak tariffs.”