VIJAYAWADA: Ahead of the public hearings scheduled by the Andhra Pradesh Electricity Regulatory Commission (APERC) on the aggregate revenue requirement (ARR), tariff and cross subsidy (CSS) for the retail supply tariff for 2021-22 proposed by the state power distribution companies (discoms) from January 18, various stakeholders have submitted objections.
Some of the objections claim that the discoms understated the power surplus availability and revenue generation, that the industrial tariff is on the higher side, and that the discoms increased the average cost of service without proposing any recovery methodology.
According to the common objections filed, the AP State Electricity Board Assistant Executive Engineers’ Association said that the actual availability of energy would be over 10,000 million units more than the projection made by the discoms.
The projected energy availability is 71,380.96 MU and energy requirement is 68,368.41 MU with a surplus of 3,012.55 MU. It said that the discoms did not project the availability form APPDCL stage-2(800MW) and Dr NTTPS stage V (800MW).
Besides, APDISCOMs are procuring power from independent power producers like Lanco, Spectrum and Hinduja by showing some commercial and legal aspects apart from the commissions approved energy from various stations, the association noted. “So, the energy availability will be approximately 10,000 MU more than the projected, and then the surplus energy will be 13,000MUwith a revenue deficit of 12,234.97Cr,” it said.
The Federation of Andhra Pradesh Chambers of Commerce and Industry (FAPCCI) noted that the discoms proposed Rs 6.89/kWh as the average cost of service (ACoS) for 2021-22 as against Rs 6.62/kWh. “This indicates an increase of 27 paise in the average cost of service over the past year, without proposing any recovery methodology of the said increase in cost,” FAPCCI noted, regarding the ARR. Regarding revenue from tariff proposed by the discoms, FAPCCI said, “Revenue assessment seems to be on the lower side, thereby projecting an increased revenue gap. Discoms have understated the revenue from several categories jn FY 2021-22.”
The AP Chambers of Commerce and Industry Federation requested to keep the peak time of day (TOD) tariff unchanged, besides asking not to drop the proposal load factor incentive. It also sought that industrial tariff be reduced especially for SMEs.
Council to hold hearings from January 18
An association said the actual availability of energy would be over 10,000 million units more than the projection made by the discoms. The projected energy availability is 71,380.96 MU and energy requirement is 68,368.41 MU with a surplus of 3,012.55 MU. APERC will hold public hearing on the suggestions/objections filed, from January 18.
