Maharashtra Electricity Regulatory Commission (MERC) Increase Rates of Electricity

PRESIDENT of Nagpur Chamber of Commerce Limited (NCCL), J P Sharma, strongly objected to the power tariff hike at a hearing before Maharashtra Electricity Regulatory Commission (MERC) hearing at Vanamati Hall, VIP Road, Dharampeth. The hearing date was fixed for determination of Aggregate Revenue Requirement and tariff for 2010-11 by Maharashtra State Electricity Distribution Company Limited (Mahadiscom) in Petition No. 111 of 2009. Similarly, Maharashtra State Electricity Transmission Company Limited (Mahatranco) and Maharashtra State Power Generation Co. Ltd. (Mahagenco) had filed Petition No.103 of 2009 and 102 of 2009, respectively before MERC. The Commission has admitted the petitions on April 7, 2010 and had directed MSEDCL to publish a public notice under Section 64(2) of the Electricity Act, 2003, for inviting suggestions and objections from the public, wherein NCCL had already submitted its objections. NCCL supported the objections raised by Vidarbha Industries Association (VIA). Sharma vehemently submitted that already electricity tariff of the State has been raised 7 times within last 6 months, which cumulatively had a rise of 35 per cent and in turn had generated additional revenue of Rs 4700 cr. Such increase has already added Rs 1.40 to Rs 1.75 per unit and with the current petition the State Electricity Companies has again demanded an augment of 34%, which is absolutely unprecedented and unwanted. Sharma said that instead of raising electric tariff to cover up a shortfall of Rs 4166 cr, all the three companies should curtail their expenditures and control transmission losses and should stop burdening the losses on the consumers. He said that under such circumstances, there should be no tariff increase for coming three years.