Delhi power minister Ashish Sood said in the assembly on Monday that “discoms are authorised” to increase power tariff to recover ₹27,000 crore accumulated as regulatory assets, hinting the electricity rates may go up.
“Due to the inefficiency of the previous (Aam Aadmi Party) government in the last 10-11 years, the people of Delhi are burdened with a debt of ₹27,000 crores in the form of regulatory assets. To recover this, the companies are authorised to increase electricity rates,” Sood said in the assembly while replying to a question posed by former minister and AAP MLA Imran Hussain during the Question Hour.
Later, the minister clarified that Delhi government “will not allow any additional financial burden on the people regarding electricity rates.”
Regulatory assets of discoms refer to any costs incurred by it that can be recovered from the consumers in future through tariff revisions.
“Also during the tenure of the previous government, tariff orders were to be issued according to a high court order, and the previous government could not protect the interests of the people of Delhi in the court… In the coming time, electricity prices may rise… and perhaps some people want this to happen for their political gains. But the government is closely monitoring the situation and is in touch with DERC (Delhi Electricity Regulatory Commission) over the matter,” he said.
Later, while talking to the media, Sood clarified that the new Delhi government will keep electricity rates under control and not allow additional burden on the consumers’ pockets. “I want to make it clear to you that under the leadership of chief minister Rekha Gupta, Delhi’s BJP government is fully committed to ensure that no additional burden (in the form of electricity rates) is put on the people,” Sood said.
Meanwhile, a government official said that DERC has already started the annual process for tariff revision and is holding consultations with various stakeholders such as power discoms and consumers. A public hearing on the petitions by discoms to raise power tariffs is scheduled to be held by the DERC on March 27.
New DERC chairperson takes oath
Sood also administered the oath of office and secrecy to Justice (retd.) Umesh Kumar as the chairman of the DERC in his chamber at the Delhi Secretariat on Monday. The event was attended by the chief secretary, power secretary, and other senior officials.
The minister said that with the onset of summer, special attention must be given to electricity-related issues in the city. He emphasised the need for better coordination with all power distribution companies to serve the interests of the people effectively.
Kumar is a former judge of the Allahabad high court.
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