Will continue to fix provisional tariff outside Bengal: CERC

A day after the Supreme Court refused a stay order on the Calcutta High Court ruling that the Central Electricity Regulatory Commission ( CERC) cannot fix provisional tariffs on electricity, based on a case filed by a few consumers of the Damodar Valley Corporation (DVC), a thermal and hydro power generating company, the regulator on Saturday said this will not affect its right to fix provisional tariffs outside West Bengal.

“The court ruling was specific to DVC and West Bengal. Hence, we still have the right to fix provisional tariffs across the country. The court has asked to fix the final tariff for DVC consumers within two months,” said CERC Chairman Pramod Deo. There were reports that the ruling would impact power generators like NTPC and NHPC too, apart from DVC.

Because of the ruling, DVC will have to go back to its previous rate, till a final tariff is fixed. “The apex court has made it clear this case was specific to those 46 DVC consumers, who approached the court. Otherwise, CERC can fix provisional tariff across the country,” said R N Sen, chairman, DVC.


According to company sources, because of non-payment of provisional tariff by consumers due to the legal tangle, it’s revenue losses amounted to about Rs 30 crore per month. “We are waiting for a settlement on this since 2009. Now that the court has directed it, we will wait for another two months,” Sen added.

When contacted, a top official of power major NTPC said the legal battle would have no impact on it, as it followed the power purchase agreement model.

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Mechanical engineer with experience in Power Plant maintenance , operation and auditing for ISI marked products. MBA in Power Management from National Power Training Institute, Faridabad. Working as Consultant for Bridge to India Pvt. Ltd. Expertise in: 1) Power sector regulations 2) Financial Modelling 3) Project Development solar PV plants 4) Strategic consulting 5) Report writing

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