MSEDCL files review petition over MERC fin

Rattled by the decision of Maharashtra Electricity Regulatory Commission (MERC) to not allow recovery of revenue loss due to change in category of industrial consumers, MSEDCL has filed a review petition in the Commission. A public interest litigation (PIL) has been filed in Nagpur bench of Bombay High Court alleging that the category of industrial consumers was changed illegally, leading to huge loss.

MERC had passed a tariff order in September 2008 stating that category change was allowed only within one month of issue of its new power tariff order. After the 2012 tariff order was passed by MERC, MSEDCL changed the category of consumers well beyond the one-month deadline.

In the tariff order for 2015-16, the Commission took strong objection to these decisions and calculated the loss of revenue. It came to Rs 85.07 crore and Rs 102.06 crore in 2013-14 and 2014-15 respectively. The MERC stated that this loss could not be recovered from consumers and the company would have to bear it.

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