CERS protests against electricity companies transferring burden of inferior coal on consumers

Ahmedabad based Consumer Education Research Society (CERS) has lodged a protest before Gujarat Electricity Regulatory Commission (GERC) against power generating companies transferring the financial burden of receiving inferior quality coal on its consumers by charging them illegally.

The society has requested the regulator to direct generation companies to claim losses from Coal India LtdBSE -0.38 % and other coal suppliers rather charging consumers. CERS stated that power companies resort to this since they find it easier to burden consumers than to recover amount from the coal suppliers.

The move comes after two power generating companies of Gujarat claimed recoveries from consumers for poor and inferior quality of coal in their recent tariff petitions.

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