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Report of Indian Institute of Public Administration ... - Ministry of Power

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State <strong>Report</strong>s (Vol.-III)<br />

Study on `Impact <strong>of</strong> Restructuring <strong>of</strong> SEBs’<br />

Commission will have to fix the minimum charges, etc., in such a way that the<br />

agricultural consumers themselves start insisting for meters. In some form or the<br />

other, the charges from a consumer should be much higher if his meter is nonoperational,<br />

compared to the consumer whose meter is operational. One solution could<br />

be that per unit subsidy may be allowed by the Government for metered agricultural<br />

connections. After paying their bill <strong>of</strong> metered connection, they could be allowed a<br />

cash refund on presentation <strong>of</strong> the paid bill. This can overcome the resistance <strong>of</strong> the<br />

farmers to installation <strong>of</strong> meters. Psychologically, this can also highlight the extent <strong>of</strong><br />

subsidy, which the Government is giving to the agricultural consumers.<br />

Detailed Price Build up <strong>of</strong> Operations<br />

Particulars<br />

Average cost<br />

<strong>of</strong> power<br />

(Rs/kWh)<br />

Percentage<br />

increase in<br />

cost <strong>of</strong> power<br />

Recovery<br />

(Rs/kWh)<br />

Deficit in<br />

paise per<br />

kWh<br />

Percentage <strong>of</strong><br />

shortfall<br />

1995<br />

-96<br />

Details <strong>of</strong> Cost <strong>of</strong> <strong>Power</strong> and Recovery<br />

1996<br />

-97<br />

1997<br />

-98<br />

1998<br />

-99<br />

6.20<br />

1999<br />

-2000<br />

2000<br />

-01<br />

2001<br />

-02<br />

2002<br />

-03<br />

2003<br />

-04<br />

2.05 2.30 2.59 2.72 3.26 4.17 4.26 4.46 4.67<br />

12.2 12.61 5.02 19.85 27.91 2.16 4.69 4.71<br />

1.73 1.95 2.17 2.08 2.26 3.11 3.39 3.43 3.51<br />

0.32 0.35 0.42 0.64 1.00 1.06 87 1.03 1.16<br />

15.61 15.22 16.22 23.53 30.67 25.42 20.42 23.09 24.84<br />

Revenue Realised (Consumer category-wise)<br />

Agriculture N.A. N.A. 204.25* 231.42* 275.3* .81 1.11 1.13<br />

(Rs crore)<br />

1.18<br />

Domestic N.A. N.A. 415.2* 458.15* 600.02* 2.68 3.36 3.4 3.36<br />

Industrial large<br />

HT<br />

N.A. N.A. 1493.7* 1436.13* 1508.14* 4.56 4.56 4.47 4.42<br />

Industrial<br />

small LT<br />

N.A. N.A. 224.17* 231.57* 268.1* 4.54 4.87 4.73 4.67<br />

Commercial N.A. N.A. N.A. N.A. N.A. 5.45 6.17 6.16 6.08<br />

COMMENTS<br />

The annual percentage increase <strong>of</strong> the cost <strong>of</strong> power procured by the RSEB<br />

substantially from outside used to be much higher. Now the comparative percentage<br />

<strong>of</strong> cost <strong>of</strong> power is much lower because, firstly, the State’s power generation has gone

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