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Thursday, April 24, 2014

HC Declines to Entertain PIL Against Power Tariff Hike


The Delhi High Court today refused to further entertain a PIL challenging the decision of electricity regulator DERC to allow three discoms to raise power tariff under the head of Power Purchase Cost Adjustment Charges (PPAC) costs.

"Delhi Electricity Regulatory Commission (DERC) is the right fora. You raise the plea there," a bench of Chief Justice G Rohini and Justice Pradeep Nandrajog said while disposing of the PIL on the issue.

Earlier, the bench had asked DERC to file its response as to whether it has complied with its own formula and procedures in permitting the discoms to raise power tariff under the head of PPAC costs.

DERC had on 31 July, 2013, passed an order permitting Reliance Anil Dhirubhai Ambani Group firms, BSES Rajdhani Power Ltd, BSES Yamuna Power Ltd, and Tata Power Delhi Distribution Ltd to increase their PPAC charges by 6, 8 and 7 per cents respectively.

The court was hearing the PIL filed by Madhuresh Lakhaiyar who has alleged DERC, acting in collusion with the discoms, had permitted them to increase Power Purchase Cost Adjustment Charges (PPAC) costs.

There was a nexus between DERC and discoms as even though PPAC is a component of the tariff, no public hearing took place, which was in violation of a provison of the Electricity Act, 2003, the plea said.


with thanks : OutLook : LINK : for detailed news.

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