Online edition of India's National Newspaper
Monday, March 26, 2001

Front Page | National | Southern States | Other States | International | Opinion | Business | Sport | Entertainment | Miscellaneous | Features | Classifieds | Employment | Index | Home

Southern States | Previous | Next

Incentive to HT power consumers

By Our Special Correspondent

HYDERABAD, MARCH 25. The power tariff order issued by the Andhra Pradesh Electricity Regulatory Commission (APERC) has offered an incentive to HT-1 category industries by allowing "discount" on consumption recorded during a month, in excess of the consumption of the same month last year.

According to Mr. V. Ramakrishna Rao, Director (Commercial), AP Transco, this step has been taken to wean the industries away from captive generation which proved to be a drain on the AP Transco resources. The discount will be 10 per cent if consumption is more than 40 to 50 per cent during a month, 15 per cent if it is 51 to 60 per cent, 20 per cent for 60 to 70 per cent and 25 per cent if it is more than 70 per cent. This benefit will be allowed only if the industry has no outstanding dues.

Since metered sales is the motto adopted for avoiding theft/commercial losses, the tariff order stipulated that meters in the case of small-scale industries (SSI) should be installed at the transformer provided by the AP Transco as a concession outside the premises, instead of allowing the meters within the unit. The Commission also directed that the meters so installed should be of HT type but billing for the consumed units could be made at LT (low tension) rates. It ordered installation of LT type meters for Category LT III (A) consumers like commercial establishments having a contracted load of 20-50 HP, and HT type meters for those with a contracted demand of 50-75 HP.

In view of the four distribution companies coming into existence formally from April 1, the Commission directed that these companies would pay "bulk supply tariff" to AP Transco at the rate of 196.10 paise per unit and a "surcharge" of 13.9 paise per unit for overdrawal.

At the current tariffs, the Commission estimated the cross subsidy going to different categories of consumers in the domestic sector at Rs.726 crores, and the Government subsidy at Rs.578 crores, both against the total "cost to serve" of Rs.2,848 crores. It said the new domestic tariff would fetch 54 per cent of the "cost to serve" in that sector.

Send this article to Friends by E-Mail


Section  : Southern States
Previous : Police avert robbery in four trains
Next     : Sangh Parivar criticised for Chevella incidents

Front Page | National | Southern States | Other States | International | Opinion | Business | Sport | Entertainment | Miscellaneous | Features | Classifieds | Employment | Index | Home

Copyrights © 2001 The Hindu

Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu