TPCODL demands meter cost as part of Capex
BHUBANESWAR: The Tata Power Central Odisha Distribution Limited (TPCODL) has proposed the Odisha Electricity Regulatory Commission (OERC) to approve the expenditure on meters for consumers as a part of the capital expenditure (Capex) plan.
Requesting the Commission to do away with the present system of cost recovery through meter rent, the distribution utility said rent on the meter is different as different kinds of meters are installed creating confusion among the consumers.
Submitting that the OERC supply code permits recovery of rent even five years after the meter is changed due to technological upgradation, TPCOL said, “It is noticed that such conditions in the supply code, as well as the availability of various types of meters, leads to a difference in interpretation of various clauses of tariff order and also the supply code and consumer disputes with regards to recovery of meter rent.”
It added, “We propose that the expenditure on meters for consumers should be a part of the Capex plan that needs to be approved by the Commission. Such Capex plan would then be a part of the overall capital expenditure plan which, too, is approved by the Commission.”
Filing its annual revenue requirement and retail tariff applications for 2024-25, in case the same is approved, the meter rent application will be ceased. For those meters that are installed, the capital expenditure incurred so far will be less than the amount of rent recovered and can be considered as capital expenditure of the distribution companies (Discoms).
The petitioner has also requested the Commission to consider re-introducing the delayed payment surcharge (DPS) for LT domestic and general purpose and HT bulk supply consumers.The commission has discontinued the practice of levy of DSP as it was found as a hurdle for small consumers in resolving their disputed bills.
“We note that rescinding the levy of DPS has resulted in wilful delay in payment as there is no deterrent now available. The DPS was acting as the required deterrent and the consumers were paying in time,” the petitioner said.
Projecting a revenue requirement of Rs 5,953 crore for 2024-25, TPCODL has requested OERC to determine the retail tariff in a manner that the actual cost could be recovered.There is larger possibility of consumer groups objecting to the two proposals as the Discoms will have monopoly over the choice of meters and forcing consumers to pay higher tariff.
Power matters
The discom has asked the panel to do away with present system of cost recovery through meter rent
TPCODL has urged OERC to determine retail tariff in a manner that the actual cost could be recovered