Delhi likely to see higher electricity tariff due to 4% hike in PPAC charges; Know details

Delhi residents will soon have to spend more for ir electricity us due to a 4% increase in Power Purchase justment Charge (PPAC). As per DISCOM representatives, hike has been levied to balance increase in fuel prices. tably, power department tified that hike was me by power distribution companies after approval by Delhi Electricity Regulatory Commission (DERC). 

BJP MLA and LoP in Delhi Assembly, Ramvir Singh Bidhuri, while expressing his concerns over increase in electricity prices, demanded that hike be immediately withdrawn. Attacking   Aam Ami Party, Bidhuri said, " Kejriwal government is increasing electricity rates from back door in name of PPAC."

Bhiduri calimed that Chief Minister Arvind Kejriwal-led government h imposed conditions on scheme of subsidy of electricity, but on or hand, has increased rates of electricity in name of Power Purchase justment Cost. He claimed that since 2002, cost of buying power for Delhi DISCOM increased by around 300% and DISCOM h control over this; retail tariff h risen by around 90% in same period.

It is pertinent to te here that  domestic and commercial rates in Delhi are highest in India. citizens of national capital have to pay around Rs. 8 per unit while commercial consumers have to pay a whopping Rs. 14. 

What is PPAC?

Power Purchase justment Charge is an ditional charge given to production companies by DISCOMS to compensate for variations in market-driven fuel costs caused by an increase in coal and gas prices. Power Cost justment on an electricity bill statement is computed by multiplying amount charged or credited by number of kilowatt-hours used. For example, if amount charged is .03540, and 1000 kWh was used during billing period, Power Cost justment would be a charge of Rs 2,810.82.

Central Electricity Regulatory Commission allows central public service power generation companies like National rmal Power Corporation (NTPC), National Hydro-Electric Power Corporation (NHPC), and transmission companies to review PPAC on a monthly basis.

(Im: PTI/ANI)