Delhi Sees 6-8% Hike in Electricity Bills Due to PPAC Revision
ECONOMY & POLICY

Delhi Sees 6-8% Hike in Electricity Bills Due to PPAC Revision

The electricity bills for domestic consumers in Delhi have surged by 6-8% following a revision of the power purchase adjustment charge (PPAC) by the city's discoms. While this hike impacts regular consumers, those receiving subsidies remain unaffected, according to officials.

The Bharatiya Janata Party (BJP) criticized the Aam Aadmi Party (AAP) government, accusing it of collusion with the discoms. Meanwhile, Atishi, Delhi?s power minister and AAP leader, rebutted these claims, accusing the BJP of spreading misinformation.

The PPAC, which reflects the cost of purchasing power, has been revised between 6.75% and 8.75%. The increase was attributed to rising coal and fuel prices, as explained by officials.

This revision, implemented since February, became a contentious issue during a BJP press conference on Wednesday. However, discoms such as BSES's BYPL and BRPL, TPDDL, and NDMC, have yet to comment on the hike.

Atishi clarified that according to the Delhi Electricity Regulatory Commission (DERC), the current PPAC rates will remain unchanged, and justified the revision under provisions of the Electricity Act 2003. This Act allows discoms to adjust the PPAC by up to 10% in response to high power purchase costs.

In summer, power procurement from the Electricity Exchange increases due to higher demand, often resulting in a higher PPAC. The Ministry of Power mandates state regulatory commissions to ensure the automatic passthrough of fuel and power procurement costs, but Delhi follows a verification and approval process by DERC.

Despite these assurances, Delhi BJP leaders claim the AAP government supports discoms in unfairly raising PPAC, resulting in higher bills for consumers. Delhi BJP president Virendra Sachdeva criticized the Kejriwal government for not planning the summer power supply in advance.

Delhi offers free electricity to consumers using up to 200 units monthly and a 50% subsidy for 201-400 units. Consumers using over 400 units receive no subsidy.

Senior BJP leader Arvinder Singh Lovely shared that his electricity bill increased by over ?4000 due to PPAC, highlighting the financial burden on consumers.

Atishi countered by pointing out that states ruled by the BJP have higher electricity costs and frequent power outages, unlike Delhi under the Kejriwal administration, which provides uninterrupted free electricity.

As the debate continues, the impact of the PPAC revision on Delhi?s electricity bills remains a significant concern for its residents.

The electricity bills for domestic consumers in Delhi have surged by 6-8% following a revision of the power purchase adjustment charge (PPAC) by the city's discoms. While this hike impacts regular consumers, those receiving subsidies remain unaffected, according to officials. The Bharatiya Janata Party (BJP) criticized the Aam Aadmi Party (AAP) government, accusing it of collusion with the discoms. Meanwhile, Atishi, Delhi?s power minister and AAP leader, rebutted these claims, accusing the BJP of spreading misinformation. The PPAC, which reflects the cost of purchasing power, has been revised between 6.75% and 8.75%. The increase was attributed to rising coal and fuel prices, as explained by officials. This revision, implemented since February, became a contentious issue during a BJP press conference on Wednesday. However, discoms such as BSES's BYPL and BRPL, TPDDL, and NDMC, have yet to comment on the hike. Atishi clarified that according to the Delhi Electricity Regulatory Commission (DERC), the current PPAC rates will remain unchanged, and justified the revision under provisions of the Electricity Act 2003. This Act allows discoms to adjust the PPAC by up to 10% in response to high power purchase costs. In summer, power procurement from the Electricity Exchange increases due to higher demand, often resulting in a higher PPAC. The Ministry of Power mandates state regulatory commissions to ensure the automatic passthrough of fuel and power procurement costs, but Delhi follows a verification and approval process by DERC. Despite these assurances, Delhi BJP leaders claim the AAP government supports discoms in unfairly raising PPAC, resulting in higher bills for consumers. Delhi BJP president Virendra Sachdeva criticized the Kejriwal government for not planning the summer power supply in advance. Delhi offers free electricity to consumers using up to 200 units monthly and a 50% subsidy for 201-400 units. Consumers using over 400 units receive no subsidy. Senior BJP leader Arvinder Singh Lovely shared that his electricity bill increased by over ?4000 due to PPAC, highlighting the financial burden on consumers. Atishi countered by pointing out that states ruled by the BJP have higher electricity costs and frequent power outages, unlike Delhi under the Kejriwal administration, which provides uninterrupted free electricity. As the debate continues, the impact of the PPAC revision on Delhi?s electricity bills remains a significant concern for its residents.

Next Story
Real Estate

BXB Estates Sets AED 110 Million Jumeirah Golf Estates Record

BXB Estates has completed an AED 110 million residential transaction at Jumeirah Golf Estates, setting a new sales record for the prestigious Dubai residential community.Negotiated by Alfie Tabrez, Managing Partner of BXB Estates, the deal surpassed the previous record of AED 58 million for a completed ready villa in the development.The six-bedroom residence offers 21,714 sq ft of built-up space on a 15,873-sq-ft plot. It features nine bathrooms, four living lounges, a home office, bar lounge, private cinema and rooftop terrace.The property also includes a dedicated wellness area comprising a ..

Next Story
Infrastructure Urban

SECR Floats Rs 6,019 Mn EPC Tender For Paradol Nagpur Link

South East Central Railway (SECR) has invited bids for an Engineering, Procurement and Construction (EPC) contract to build a new broad gauge single line between Paradol Takeoff Point and Nagpur Road Station in Chhattisgarh. The contract carries an estimated cost of Rs 6,019.0 mn and requires an earnest money deposit of Rs 120.4 mn. The work is framed as an EPC assignment intended to strengthen regional rail infrastructure. The tender, issued under number CAO-C-BSP-26-27-15, specifies a completion period of 730 days and a bid validity of 180 days. Two pre-bid meetings are scheduled for 24 Augu..

Next Story
Infrastructure Transport

Indian Railways Reports Nine Per Cent Rise In July Freight Loading

Indian Railways handled 141.3 million tonnes (141.3 mn t) of freight in July, marking a rise of nine per cent year on year. Freight loading maintained a positive trajectory across the network compared with the same month last year. Passenger traffic also increased in July, contributing to higher overall network utilisation. The July outcome continued a pattern of steady monthly gains, reflecting gradual improvement in industrial and logistics activity. The growth in freight volumes reflected stronger demand across multiple sectors and improvements in logistics and train turnarounds. Enhanced r..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement