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December 31, 2013

Power losses halved in Haryana, but little gain for consumers...

 

Power losses halved in Haryana, but little gain for consumers...

Seen in pure revenue terms, the year 2013 was good one for the power discoms. According to reports, operational losses were reduced by 52%, thanks to financial restructuring.

But from the viewpoint of the consumer, there are few causes for celebration. First of all, there were around half a dozen tariff hikes in this year alone.

In October, when the domestic tariffs were ratcheted up by 34 paise a unit, there were many voices of protest. Especially from the industrial community, which has been pressed the hardest by rising power costs. Industrial power costs as much as Rs 7 per unit, and this is without taking into account added tariff components like fixed charges and fuel surcharge.

Many are now anticipating another hike as a New Year gift. The discoms, including the DHBVN, are aiming to further slash their annual losses by around 21%. And putting the burden on the consumer, especially on the industrial users - who account for around 42% of the total power consumed in the region - has been common practice."The power authorities have implemented unreasonable hikes all these months, and the same is likely to happen next year.

Industrialists are paying fixed charges and a fuel surcharge on an already high tariff. Buying electricity off the grid here is becoming as costly as diesel-based backup," said S K Sharma, a local entrepreneur.

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