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

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Rajasthan<br />

Category<br />

June<br />

94 to<br />

Sep 95<br />

Oct 95 to<br />

June 97<br />

Oct 96 to<br />

June 97<br />

July 97 to<br />

Oct. 99<br />

6.35<br />

Nov.99 to<br />

April 2001<br />

May 2001<br />

to Jan.<br />

2005<br />

Feb.<br />

2005 to<br />

continue<br />

Balance above 400<br />

units/month<br />

175 185 205 235 304 490 490 490 490<br />

Percentage increase from<br />

previous year<br />

61.18 0.00<br />

(II) above 25 KW to 50 KW<br />

NDS HT<br />

190 205 225 260 304 490 490 490 490<br />

First 100 units/month - - - - - 450 450 450 490<br />

above 100 units/month - - - - - 450 450 450 490<br />

COMMENTS<br />

The first tariff order issued by the Regulatory Commission in 2001 permitted the long<br />

due increase <strong>of</strong> agricultural tariff by more than 28 per cent. The industrial/commercial<br />

consumers, however, had to again bear the brunt <strong>of</strong> substantial increase in tariff,<br />

which ranged from 54 to 70 per cent. Three years later, in its second tariff order, the<br />

agricultural tariff was again raised by the Commission by 22.22 per cent. This time, it<br />

was realised by the Commission that the tariff hikes for industrial/commercial<br />

consumers were counter-productive and was forcing them to opt for captive plants.<br />

Hence, virtually no increase was allowed in industrial/commercial rates. The domestic<br />

tariff was increased by 25 per cent in the second tariff order issued in 2005.<br />

OPEN ACCESS, MULTI-YEAR TARIFF, POWER TRADING,<br />

PERFORMANCE STANDARDS AND CUSTOMER RELATED MEASURES<br />

Open Access<br />

Only one consumer has been given permission up till now for Open Access by the<br />

Regulatory Commission. But that party is also facing lot <strong>of</strong> problems in view <strong>of</strong> the<br />

total non cooperative approach <strong>of</strong> the DISCOMs. The Commission has given some<br />

relief but the DISCOM is opposing the directions <strong>of</strong> RERC on this issue. The<br />

message to others is obvious “do not go for Open Access”. Presently the surcharge<br />

for availing Open Access is ranging from Rs 1.55 to Rs 1.75 per unit. This is rather<br />

exorbitant and would discourage requests by other consumers for Open Access.<br />

Multi Year Tariff<br />

Section 61(f) <strong>of</strong> the Electricity Act provides that in specifying the terms and<br />

conditions for determination <strong>of</strong> tariff, the Commission shall be guided by the MYT<br />

principles. Under this Section, RERC has notified the Regulations on the terms and<br />

conditions <strong>of</strong> determination <strong>of</strong> tariff on 15 October 2004. The technical and financial<br />

parameters in this Regulation have been specified for the period commencing from

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