The Maharashtra State Electricity Distribution Company Limited (MSEDCL) has decided to increase the electricity tariff by 20-25 paise per unit from September for a period of six months.
This follows July 26 order in which the Appellate Tribunal of Electricity allowed the Maharashtra State Power Generation Company Limited (MSPGCL) to recover Rs 763.94 crore from the MSEDCL in six equal monthly installments to avoid any “tariff shock” to the consumers.
According to MSEDCL officials in Mumbai, the power utility will have to recover the money from the consumers and hence the cost of tariff is set to increase by 20-25 paise per unit from September for six months. Maharashtra Electricity Regulatory Commission (MERC) chairman V P Raja has allowed the MSPGL to recover the amount from the power utility.
Earlier, the MERC had not accepted claims made by the MSPGCL to recover the capital cost for expenditure on unit number 3 of Paras Thermal power station. The MSPGCL had challenged the order and appealed before the appellate tribunal for electricity. Following subsequent hearings on June 10, June 28, and July 08, 2011, an order was issued to revise the capital expenditure and the corresponding tariff.
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