Thiruvananthapuram: Kerala State Electricity Regulatory Commission (KSERC) has granted approval to the state Electricity Board to impose a surcharge of 10 paise per unit every month without prior approval of the Commission. In accordance with the directives of the union government, the Commission has finalised the regulations governing this surcharge.
Initially, a surcharge of 20 paise was proposed in the draft regulations, while the Board had requested 40 paise. However, the Commission has limited the surcharge to 10 paise. This surcharge will come into effect on June 1. The surcharge is aimed at covering the additional costs incurred due to the rise in fuel prices for power generation. Currently, the Commission determines the surcharge after considering the arguments put forth by customers during the board’s quarterly application.
From June 1 onwards, the Board may choose to levy a voluntary surcharge of up to ten paise per unit on a monthly basis. Furthermore, electricity tariffs are set to increase in mid-June, with the Board seeking a hike of 41 paise per unit. However, the Commission has not yet reached a decision on this matter. Even with the implementation of the new regulations, the maximum limit of ten paise will not be enforced during the initial nine months. The Board has already submitted an application to the Commission, seeking approval for a surcharge based on the previous regulations for this nine-month period.
The Board has requested 30 paise for the first three months, 14 paise for the subsequent three months, and 16 paise for the final three months. The Commission is yet to make a decision regarding these applications. Since these applications were submitted prior to the rule change, the Commission is obligated to grant them based on the old regulations. Consequently, they will be imposed in addition to the voluntary ten-paise surcharge levied by the Board.
Following this period, irrespective of the monthly additional costs incurred by KSEB, only ten paise may be collected voluntarily. The Board can approach the Commission once every three months for additional surcharge. In cases where the surcharge varies each month within a two-month billing period, the average of the two months surcharge will be charged.
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