Fuel risks should not be fully passed on to consumers: CERC
Rakesh Kumar Kubde
October 29th, 2012

Amid acute coal shortages hurting power generation, sectoral regulator CERC has said that fuel risk should not be “entirely” passed on to consumers.

The regulator’s suggestion to the Power Ministry comes at a time when there are concerns that expensive coal could push the electricity tariffs higher.

“We are of the view that the fuel risk should not be passed on to the consumers entirely,” the Central Electricity Regulatory Authority (CERC) said in its comments on the draft model power purchase agreement for public private partnership in electricity generation.

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