STAFF REPORTER
GUWAHATI: The Assam Power Distribution Company Limited (APDCL) has submitted a proposal to the Assam Electricity Regulatory Commission (AERC) for hiking the power tariff for the fiscal year (FY) 2023-2024, which will entail a minimum increase of 23.58 per cent for domestic consumers.
The tariff proposal mentions that currently consumers in the domestic category (below 5 KW category) are being charged Rs 5.30 (less 75 paisa subsidy under a government scheme) for 0-120 units per month. As per the new tariff proposal, such consumers will be henceforth charged Rs 6.55 per unit per month (an increase of Rs 1.25 per unit). The next category (121-240 units) of domestic consumers is being charged Rs 6.60 per unit and it is proposed to charge them Rs 7.95 per unit (an increase of Rs 1.35 per unit). The last category of domestic consumers (over 241 units) is being charged Rs 7.60 per unit and it is proposed to charge them Rs 9.30 per unit per month (an increase of Rs 1.70 per unit).
Similarly, consumers in the agriculture sector in the 25 KW category are now paying Rs 4.65 per unit per month and it is now proposed to charge them Rs 5.65 per unit per month.
Domestic consumers in the above 25 KW category are now paying Rs 7.20 per unit per month and it is proposed to charge them Rs 8.70 per unit per month.
According to the proposal, the hike in tariff has been proposed to redress a persistent and increasing revenue gap faced by the APDCL.
The proposal mentions that the APDCL's revenue gap in 2021-22 was Rs 228.96 crore. The revenue gap in the Annual performance Review (APR) for 2022-23 has climbed to Rs 1,368.41 crore. However, it is estimated that the cumulative revenue requirement of APDCL for 2023-24 will be Rs 10,779.60 crore (including the deficit of 2021-22 and 2022-23).
The APDCL has informed the AERC that it proposes retail sale of 9,738 Million Units (MU) in 2023-24 and "the average cost of supply to recover the entire amount of Rs 10,779.60 crore during FY 2023-24 will be Rs 11.07 per unit against the prevailing average cost for FY 2022-23 of Rs 8.44 per unit, including Fuel and Power Purchase Price Adjustment (FPPPA)". The new proposed tariff does not factor in the FPPPA component.
The proposal further mentions that these amounts have been estimated without considering any likely government support, which had amounted to Rs 400 crore in the ongoing and two previous fiscal years. In case Rs 400 crore is received from the government this year too, then the tariff of each category will be reduced by 41 paisa per unit per month.
All stakeholders can submit their representations regarding the proposed tariff hike to the Secretary of the AERC, with a copy to the General Manager of the APDCL's tariff Regulatory Cell, on or before January 21 next. The AERC will subsequently conduct a public hearing at a time and venue that will be announced later.
The new tariff will come into force after required modifications from April 1 next.
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