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VOICE OF ELECTRICITY WORKERS

JULY-SEPTEMBER, 2002

VOL. 3                   NO.3

Centre directs states to revise power tariffs
 

Even as 21 states have set up regulatory commissions, only 12 of the regulators have so far revised power tariffs, which was their primary mandate.  Nine states including Punjab and Tamil Nadu have not asked their state electricity boards to file tariff petitions before the respective commissions without which the regulators cannot revise tariffs. Taking a serious view the centre has asked the states to file tariff petitions by June, 30 and it has also directed the states which are yet to constitute the commission to do so by August 31st, 2002.  The tariff award by regulators should be implemented within 60 days of issuance.  A power panel to be constituted inclusive of representative from finance ministry and planning commission would review MoU once every six months. The panel decides the measures taken by state government/state power board are inadequate, it will recommend suitable reductions in the discretionary allocations of power from the CPSUs as well as cuts in the central assistance under the APDRP.   

The state power board have been asked to work towards eliminating the gap between the average cost of power and average realization in five years starting from April 1st, 2002. 

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