VIJAYAWADA: The Andhra Pradesh Electricity Regulatory Commission (APERC) will hold a hearing on the true-up claims for retail supply business made by the power distribution companies (Discoms) for the year 2019-20 on June 30. The discoms have filed petitions claiming true-up charges of Rs 2,542 crore. The Discoms have also filed their replies for the objections raised by various stakeholders.
One of the pertinent issues raised by the objectors was the procurement of higher quantum power from markets. One of the objectors, M Venugopala Rao, convenor of Hyderabad-based Centre for Power Studies claimed that the ‘hefty’ true-up claim was ‘questionable’ and added that purchases from markets were made despite surplus availability of power in the State.
He also questioned as to why trueup claims were made when there was a reduction in quantum of power purchase/ sales. However, the Discoms rebutted the claim that the “probable surplus is the potential to generate surplus energy from thermal power plants” but not the energy actually available. While noting that energy from thermal units was unavailable due to ‘shortage of coal and accommodation of renewable sources, the Discoms explained short term purchases were made to meet 24x7 power direction by the government and to reduce the overall power purchase costs.”Even though there is a reduction in the sales/power purchase quantum than the approved quantum, the true-up is necessitated in view of increase in per unit costs of source wise power purchase than the approved level...” the iscoms explained.