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News Brief | September 2015

Expert picks holes in discoms´ argument on ´true-up claims´

Power sector experts and political parties have contested the petitions filed by Andhra Pradesh´s Southern Power Distribution Company Limited (SPDCL) and Eastern Power Distribution Company Limited (EPDCL) before the regulator seeking to collect ´true-up claims´ of a whopping Rs 7,209 crore from consumers, for five years ending 2013-14. The break-up encompasses SPDCL´s claim for Rs 866 crore for distribution business and Rs 5185 crore for retail supply business; and that of EPDCL Rs 478 crore and Rs 680 crore respectively under the two heads.
These petitions would be considered in the coming public hearing, but the ERC is yet to take decision on holding the public hearing, said sources in the commission.
´It just reflects the functioning of the discoms. They come up with exaggerated claims in the hope that either they go uncontested or are glossed over by the regulator,´ power sector expert M Venugopala Rao who had been taking up cudgels on behalf of the consumers before the APERC for several years now, said.
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