(FE)
In order to bridge the widening gap between cost of power and revenue realised, the Uttar Pradesh Power Corporation (UPPCL) has sought the state power regulator’s nod for average tariff increase of 20-25% for domestic consumers for 2019-20. The hike, if cleared by the regulator, will put the domestic consumers almost at par with industries and commercial establishments.
UPPCL had not sought any tariff revision last year in light of the forthcoming Lok Sabha polls and also kept on hold the proposal for the current year till the polls were over. The UPCCL pegged its annual revenue requirement (ARR) for 2019-20 at Rs 76,495 crore, while estimating the revenue-expenditure gap at Rs 18,091 crore, thereby making a case for its own economic viability and sustainability. Defending the UPPCL’s move Principal Secretary, Energy and chairman of UPPCL, Alok Kumar said that there was an urgent need to increase the energy rates.
