KARNATAKA ELECTRICITY REGULATORY COMMISSION

Karnataka Electricity Regulatory Commission (KERC) has revised the electricity bills for the Financial Year (FY) 2021-22 across the Karnataka State with effect from April 1st 2021. The Commission has approved an average increase in tariff by 30 (thirty) paise per unit (considering increase in Fixed/ Demand and Energy charges) for FY 2021-22, resulting in an average increase of 3.84%. The ESCOMs had sought an average increase of 135 paise per unit accounting for 17.31% increase.

REVISION OF ELECTRICITY TARIFF FOR FY2021-22

The Karnataka Electricity Regulatory Commission (KERC) has approved revision of electricity retail supply tariff applicable to the consumers of all the Electricity Supply Companies (ESCOMs) and Hukkeri Rural Electricity Co­-operative Society in the State of Karnataka, for the Financial Year 2022. The Commission has approved an average increase in tariff by 30 (thirty) paise per unit (considering increase in Fixed/ Demand and Energy charges) for FY 2021-22, resulting in an average increase of 3.84%. The ESCOMs had sought an average increase of 135 paise per unit accounting for 17.31% increase.

The Commission has also determined revised retail supply tariff for consumers of Mangalore Special Economic Zone (MSEZ) at Mangalore and AEQUS SEZ in Belagavi District.

The revised retail supply tariff includes the revised transmission tariff to be payable by ESCOMs to KPTCL for Financial Year 2021-22.

Effective Date:

 The revised tariff will come into effect for the electricity consumed from the first meter reading date falling on or after 1st April, 2021.

To enable recovery of the revenue gap determined by the Commission as per this Tariff Order, the Commission decides that, the revised tariff shall be given effect for the energy consumed from the 1st meter reading date falling on or after 1st April 2021. However, to soften the burden of increase in tariff on the consumers, during the prevailing lockdown situation on account of Covid- 19 pandemic in the State, the arrears towards revision of Tariff for the month of April 2021 and May, 2021 is ordered to be recovered during the month of October 2021 and November, 2021 respectively, without charging any interest.

Reasons for delay in pronouncing Tariff Order:

 

The delay in pronouncement of Tariff Order 2021 is attributable to the following reasons:

  • Election Code of Conduct coming into force in the State on account of Election to the two (2) State Assembly constituencies at Maski and Basavakalyan and one (1) Lok Sabha Constituency at Belgaum as notified by the Election Commission of India vide Notification No ECI/PN/28/2021 dated 23rd March, 2021.
  • Election Code of Conduct coming into force in the State on account of announcement of Elections to the City Corporations, City Municipal Councils and Urban Local Bodies in Karnataka scheduled to be held on 27th April 2021, announced vide Notification dated 29th March, 2021 by the State Election
  • Government of Karnataka issued guidelines vide the Notification No RD 158 TNR 2020 dated 26th April, 2021, Notification No RD 158 TNR 2020 dated 7th May 2021 and Notification No RD 158 TNR 2020 dated 21 st May 2021, prohibiting working of certain offices / activities in the entire State up to 06.2021, to prevent the spread of Covid -19 Pandemic, which hampered day to day work of the Commission.

Reasons for Increase in Tariff:

 

The increase in tariff is necessitated due to,

  • Recovery of Regulatory Asset (RA) created as per the Orders of the Hon’ble Appellate Tribunal for Electricity (ATE) dated 05.10.2020 (5.46 Poise per unit).
  • Regulatory Asset created by KERC in its Order dated 04.11.2020 due to the delayed issue of Tariff Order for FY21 in view of adverse financial situation prevailing among all the sectors of economy due to Covid-19 pandemic ( 8 Poise per unit).
  • The remaining increase (12.64 Poise per unit) is towards overall increase in the operational costs of ESCOMs, which includes the approved revenue deficit as per APR for FY20 and also the increase in the cost of power purchase due to procurement of energy from new thermal stations and from Renewable energy sources to meet the demand.
  • The input costs towards Operation & Maintenance and borrowings for capital expenditure are also increasing year on
  • Hence, in order to enable the ESCOMs to carry on their business of supplying the electricity, which is the basic need of the Society, the increase in the tariff has become

Reasons for Regulatory Assets (RA):

 

  • The RA created as per the Orders of ATE dated 05.10.2020 is due to recovery of Tanir Bhavi claims along with carrying cost of Rs.1,657 Crores claimed by KPTCL recoverable over a period of five years from FY21 to FY25 and
  • During the FY 2020-21, due to the adverse financial situation prevailing among all the sectors of economy due to Covid-19 pandemic, the Commission has approved recovery of the revised tariff only for 5 months, and allowed the Regulatory Asset of Rs.1,443 Crores which would have been recovered as additional revenue towards revision from 1 st April 2020 to 31st October 2020. It was ordered in the Tariff Order dated 04.11.2020 to recover this Regulatory Asset from the consumers in two equal installments during FY22 and FY23, to ensure that the consumers are not burdened due to adverse economic conditions prevailing due to the current Covid-19 pandemic

Total Revenue Gap for FY22

 The total revenue gap assessed for FY22 including the gap for FY20, the Regulatory Assets created during the FY20 due to the reasons explained above, is Rs. 1,819.38 Crores, which has to be recovered as revenue gap to be filled by tariff revision from 1st April 2021 to 31 st March, 2022.

ESCOM’s Proposal:

 The ESCOMs have sought a tariff hike ranging between 83 poise to 168 poise per unit, in respect of all categories of consumers. The ESCOM-wise increase proposed and the percentage increase in tariff is as follows:

ESCOMRevenue Gap projected

Rs.Crores

Energy Sales projected MUPer Unit Increase PoiseExisting Revenue projected

Rs.Crores

Percentage Increase(%)
BESCOM3,556.6525,61 6.0813920,905.7217.01
MESCOM943.265,658.861674,176.3522.59
CESC1,005.016,947.741455,019.1220.02
HESCOM974.7711,762.58838,915.9510.93
GESCOM1,286.107,667.511685,843.4922.01
Total7,765.7957,652.7713544,860 .6317.31

Uniform Tariff increase

 

Since a uniform tariff is in vogue in the State, the Commission has approved uniform increase across all the ESCOMs and Hukeri RECS with a marginal differential increase in BESCOM area. The increase in the energy charges is 10 poise per unit and increase in fixed cost is ranging between Rs.10 to Rs.20 across all the categories except Bangalore Metro and Battery Charging Station for Electric Vehicles. The average increase in tariff (including the fixed charges) is 30 poise per unit, accounting for an overall increase in tariff by 3.84%.

As per the current tariff structure, the recovery of Fixed Charges (FC) from consumers is not commensurate with the actual fixed expenditure being incurred by the ESCOMs. Thus, a substantial part of the FC is being recovered through Energy Charges. The current level of recovery of fixed charges is only 33% and the remaining fixed charges are being recovered through energy charges. Hence, in order to ensure full recovery of FC, the Commission has decided to increase the FC gradually year on year. Accordingly, the Commission has approved a marginal increase in fixed charges in the range of Rs.10 to Rs.20 per kW/HP/kVA in respect of all category of installations. With this marginal increase in the FC, the recovery would be to the extent of 34.29%.

Highlights of the new Tariff Order:

Removal of morning and evening Peak under ToD Tariff:

To encourage increase consumption in HT installations, the penalty of Re.1 per unit, for usage of energy during morning peak between 6 am to 10 am was withdrawn in the Tariff Order 2020 and the same is continued.

With a view to make use of the available surplus power as projected by the ESCOMs and SLDC during the monsoon period, i.e., from July to November and to encourage HT consumers to consume more power during evening peak hours, the penalty of Re.1 levied for the use of power during the evening peak hours of 18.00 Hrs to 22.00 Hrs during the period from July 2021 to November 2021 is withdrawn. The evening peak ToD for the other months in the financial year will be continued for the energy consumed during the evening peak hours of 18.00 Hrs to 22.00 Hrs and a penalty of Re.1 will be levied in the monthly bills issued from December to June as per the existing mechanism. Similarly, the rebate of Re.1 offered on the energy consumed during off peak period i.e., 22.00 Hrs to 06.00 Hrs from July 2021 to November 2021 is withdrawn. The off-peak To D for the other months in the financial year (December to June) will be continued for the energy consumed during the off-peak hours of 22.00 Hrs to 06.00 Hrs.

The New Discounted Energy Rate Scheme

In order to encourage increase in energy consumption over and above their base / normal consumption by the HT installations viz., Industries, Commercial, all Hospitals, all Educational Institutions, Universities, Hostels of all Educational Institutions, especially during the power surplus / monsoon/off season period of July to December, the Commission has approved the Special “Discounted Rate Scheme” in a financial year subject to conditions.

During this power surplus / monsoon / off season, it is approved to sell surplus power at the rate of Rs.6 per unit in respect of the above HT installations over and above their base / normal consumption as on 01.04.2021.

Increase in LT Power sanction threshold to 150 kW

To enable Ease of Doing Business (EODB), the Commission, vide Gazette Notification No KERC/CoS/Tech/DDD/05/20-21/976, Bengaluru, dated 11.12.2020 has increased the threshold limit of availing power at 400 V, 50 cycles, 3-phase to 150 kW from the existing 50 kW limits. In this regard, the Commission has issued directions to the ESCOMs to service such LT installations availing electrical load between 50 kW to 150 kW at 400 V, 50 cycles, 3-phase, only by providing metering (including CTs) of accuracy class similar to that of the HT installations and strictly by providing the metering cubicle in line with the metering cubicles used for HT installations. Also, the Commission has determined fixed charges and the energy charges for the new load band of 50 kW to 150 kW to be serviced under LT category appropriately.

Increase in the first slab of 30 units to 50 units for Domestic Tariff

To encourage consumption by lower and middle-class domestic consumers, the first slab of 0-30 units (Lifeline consumption) has been increased to 0-50 units.

Rebate for use of LED bulbs in Public Lighting

To promote conservation of energy through use of LED bulbs in public lighting, the Commission is continuing the rebate of 105 poise per unit, for installing LED / Induction lamp lighting to streetlight installations by the urban and rural local bodies including BBMP.

Special Incentive Scheme for HT Consumers

Special Incentive Scheme introduced in Tariff Order 2018, has been continued for FY22 for all the HT Consumers for usage of energy during 10.00 Hrs to 18.00 Hrs by allowing an incentive of Re.1 per unit, over and above their base consumption and for the consumption during the night i.e., 22.00 Hrs to 6.00 Hrs an incentive of Rs.2 per unit is being allowed for all the units consumed. Penal charges of one Rupee per unit would be levied for the energy consumed during the evening peak hours between 1 8.00 Hrs to 22.00 Hrs as approved in Tariff Order 2021.

No increase in Tariff to BMRCL

To encourage the use of clean energy and reduction of carbon emission in the State and to encourage commuters to use public transport, the Commission has not increased the tariff to BMRCL and approved to continue the existing concessional tariff of Rs.5.20 per unit and has fixed the concessional tariff to Railway traction at Rs. 6.55 per unit by increasing 10 poise per unit, round the clock without ToD tariff and Special incentive scheme.

The Tariff for the Effluent Treatment Plants and the Sewerage Water Treatment Plant, located within the premises of the consumer installations, the tariff is continued to be billed under the respective category of installations.

The Commission, considering the environmental and social benefits of processing solid waste, has continued LT and HT industrial tariff to Solid Waste processing plants located within the premises of the industries.

To ensure timely redressal of consumer grievances, the earlier directive to the ESCOMs, to conduct Consumer’s Interaction meetings at every Sub­ Division Office once in three months under the Chairmanship of either the Superintending Engineer of the jurisdictional circle or the Executive Engineer of the jurisdictional Division, the Commission has directed the ESCOMs to continue the same. In case of failure to conduct such meetings, the Commission will impose a penalty of upto one lakh rupees per Sub-Division, payable by the concerned jurisdictional defaulting Officers.

Concessional Tariff for Battery Charging Stations

To encourage use of clean energy, the Commission has continued the   new tariff category LT6(C) for Electric Vehicle Charging Stations, which was introduced in Tariff Order 2018, in view of issue of the “Electric Vehicle (EV) and Energy Storage Policy” of the Government of Karnataka, which envisages 100% Electric Mobility and promoting Electric Vehicles with the environmental concerns. This energy charge is applicable to both HT and LT categories. In order to encourage the use of EV’s, the existing concessional tariff of Rs.5 per unit has been continued without any increase for FY22. As per the guidelines issued by the Government of India the benefit of concessional tariff is also extended to the battery swapping units which are exclusively used for charging and swapping of batteries used for Electric Vehicles.

Salient Features of Tariff Order 2021 issued for FY22: Domestic Consumers:

For the domestic   consumers, installations   of Government   / Charitable Educational Institutions and hospitals in BESCOM (BBMP & the other Municipal Corporation areas), the increase in energy charges across the State is 10 poise per unit. The energy charges for the monthly consumption of O – 50 units (earlier O – 30 units) is increased from Rs. 4.00 per unit to Rs.4.10 per unit and for consumption between 51 to 100 units (earlier 31 to 100 units), the tariff is increased from Rs.5.45 per unit to Rs. 5.55 per unit. The tariff for monthly consumption of 101-200 units is increased from Rs.7.00 to Rs.7.10 per unit. The tariff for monthly consumption of above 200 units is increased from Rs.8.05 to Rs.8.15 per unit.

For the domestic consumers in rural areas of BESCOM (under Village Panchayat), the tariff for monthly consumption of up to 50 units (earlier up to 30 units) is increased from Rs .3.90 per unit to Rs.4.00 per   unit and   for consumption between 51 to 100 units (earlier 31 to 100 units) the tariff is increased from Rs. 5.1 5 per unit to Rs. 5.25 per unit. The tariff for monthly consumption of 101-200 units is increased from Rs. 6.70 to Rs.6.80 per unit. The tariff for monthly consumption of above 200 units is increased from Rs.7.55 to Rs.7.65 per unit.

For the domestic consumers in areas coming under Municipal Corporations and Urban Local bodies of other ESCOM   s, the   tariff for monthly consumption of up to 50 units (earlier up to 30 units) is increased from Rs .3.95 per unit to Rs.4.05 per unit and for consumption between 51 units to 100 units (earlier 31 to 100 units), the tariff is increased from Rs. 5.45 per unit to Rs. 5.55 per unit. The tariff for monthly consumption of 101-200 units is increased from Rs.7.00 to Rs.7.10 per unit. The tariff for monthly consumption of above 200 units is increased from Rs.8.05 to Rs.8.15 per unit.

For the domestic consumers in village panchayat areas of other ESCOMs, the tariff for monthly consumption of up to 50 units (earlier 30 units) is increased from Rs .3.85 per unit to Rs.3.95 per unit and for consumption between 51 to 100 units (earlier 31 to 100 units), the tariff is increased from Rs. 5.1 5 per unit to Rs.5.25 per unit. The tariff for monthly consumption of 101-200 units is increased from Rs. 6.70 to Rs.6.80 per unit. The tariff for monthly consumption of above 200 units is increased from Rs.7.55 to Rs.7.65 per unit.

Industrial Consumers:

 The increase in the tariff for LT Industrial consumers across the State is 10 poise per unit. The revised rates for LT industrial users in BBMP & Other Municipal Corporation areas of BESCOM will be Rs.6.00 per unit (existing rate of Rs.5.90) for the first 500 units of monthly consumption and Rs.7.30 per unit (existing rate of Rs. 7.20) for consumption above 500 units.

The revised rates for LT industrial users in other areas of BESCOM will be Rs.5.70 per unit (existing rate of Rs. 5.60) for the first 500 units of monthly consumption and Rs .6.65 per unit (existing rate of Rs. 6.55) for consumption from 501 to 1000 units and Rs.6.95 per unit (existing rate Rs. 6.85) for consumption above 1000 units.

For LT Industrial users in Municipal areas of other ESCOMs, the new rates will be Rs .5.80 per unit (existing rate Rs.5.70) for the first 500 units of monthly consumption, Rs. 6.80 per unit (existing rate Rs.6.70) for consumption from 501 to 1000 units and Rs.7.10 per unit (existing rate Rs.7.00) for consumption above 1000 units.

For LT Industrial users in all other areas of ESCOMs, the new rates will be Rs.5.70 per unit (existing rate Rs.5.60) for the first 500 units of monthly c onsum p tion, Rs. 6.65 per unit (existing rate Rs. 6.55) for consumption from 501 to 1000 units and Rs.6.95 per unit (existing rate Rs.6.85) for consumption above 1000 units.

For the HT Industrial users across the State, the increase in tariff is 10 poise per unit. For HT Industrial users in BBMP and other Municipal Corporation areas of BESC OM, the new tariff will be Rs.7.45 per unit (existing rate Rs.7.35) for the first one lakh units of monthly consumption and Rs.7.75 per unit (existing rate Rs.7.65) for consumption beyond one lakh units.

For the HT Industrial users in all other areas of BESCOM the new tariff will be Rs.7.35 per unit (existing rate Rs.7.25) for the first one lakh units of monthly consumption and Rs.7.55 per unit (existing rate Rs.7.45) for consumption beyond one lakh units.

For the HT Industrial users in all areas of other ESCOMs, the new tariff will be Rs.7.30 per unit (existing rate Rs.7.20) for the first one lakh units of monthly consumption and Rs.7.55 per unit (existing rate Rs.7.45) for consumption beyond one lakh units.

Commercial Consumers:

 For LT commercial category use rs, the increase in tariff across the State is 1O poise per unit. The new tariff in urban local body areas including BBMP and City Municipal Corporation areas in all ESCOMs will be Rs .8.35 per unit (existing rate Rs.8.25) for the first 50 units of monthly consumption and Rs.9.35 per unit (existing rate of Rs. 9.25) for consumption beyond 50 units. In the rural areas, the new   rates will be Rs.7.85 per   unit for the first 50 units of monthly consumption (existing rate Rs.7.75) and Rs.8.85 per unit (existing rate Rs.8.75) for consumption beyond 50 units.

For the HT Commercial users in BESCOM area, the increase in tariff is 10 poise per unit. The new tariff in BBMP, City Municipal Corporation areas of BESCOM will be Rs.9.25 per unit (existing rate of Rs.9.15) for the first two lakh units of monthly consumption and Rs.9.35 per unit (existing rate of Rs.9.25) for consumption beyond two lakh units.

For the HT Commercial users in all other areas of BESCOM, the increase in tariff is 10 poise per unit. The new tariff will be Rs.9.05 per unit (existing rate Rs.8.95 per unit) for the first two lakh units of monthly consumption and Rs.9.15 per unit (existing rate Rs.9.05 per unit) for consumption beyond two lakh units.

For the HT Commercial users in all areas of other ESCOMs, the increase in tariff is 10 poise per unit. The new tariff will be Rs.9.00 per unit (existing rate of Rs.8.90 per unit) for the first two lakh units of monthly consumption and Rs.9.10 per unit (existing rate of Rs.9.00 per unit) for consumption beyond two lakh units.

Water Supply and Public Lighting:

 The Commission has increased the tariff for LT water supply installations by 10 poise per unit only from the existing rate of Rs.4.85 per unit to Rs.4.95 per unit. The rate for HT water supply installations is also increased by 10 poise per unit from Rs.5.45 per unit to Rs.5.55 per unit.

Concessional Tariff for Streetlight Installations with LED / Induction Lamps:

The Commission has continued to allow a rebate of 105 poise for installing LED/ Induction lamp lighting for streetlight installations by the urban and rural local bodies including BBMP. The promotional tariff is revised from Rs.5.50 per unit to Rs.5.60 per unit in BESCOM area and Rs.5.45 per unit to Rs.5.55 per unit in other ESCOM’s area.

For Installations without the use of LED lamps, the revised tariff payable is Rs.6.65 (existing tariff Rs.6.55 per unit) in BESCOM area and is Rs.6.60 (existing tariff Rs.6.50 per unit) in other ESCOMs area.

Educational Institutions and Hospitals:

 The Commission has increased the tariff by 10 poise per unit across the State for private educational institutions and private hospitals in the LT category. The revised LT tariff in BBMP, Municipal Corporation and Urban Local Body areas of BESCOM is fixed at Rs.7.30 per unit (existing rate Rs.7.20) for the first 200 units of monthly consumption and Rs.8.55 per unit (existing rate Rs.8.45), for consumption beyond 200 units. In other areas, the revised tariff is Rs.6.75 per unit (existing rate Rs.6.65) for the first 200 units of monthly consumption and Rs.8.00 per unit (existing rate Rs.7.90), for consumption beyond 200 units.

The revised LT tariff for Private Educational Institutions in Municipal Corporation and Urban Local Body areas of other ESCOMs is fixed at Rs.7.25 per unit (existing rate Rs.7.15) for the first 200 units and Rs.8.50 per unit (existing rate Rs.8.40) for consumption beyond 200 units. In other areas, the revised tariff is Rs.6.70 per unit (existing rate Rs.6.60) for the first 200 units and Rs.7.95 per unit (existing rate Rs.7.85) for consumption beyond 200 units.

The revised HT tariff for Government hospitals and hospitals run by charitable institutions as well as educational institutions belonging to Government and aided institutions in BESCOM area is Rs.7.20 per unit (existing rate Rs.7.10) for the first one lakh units and Rs.7.60 per unit (existing rate Rs.7.50) for consumption beyond one lakh units. In other ESCOMs areas, the revised tariff is Rs.7.15 per unit (existing rate Rs.7.05) for the first one lakh units and Rs.7.55 per unit (existing rate Rs.7.45) for consumption beyond one lakh units.

The revised HT tariff for Private Educational Institutions and Private Hospitals in BESCOM area is Rs.8.20 per unit (existing rate Rs.8.10) for the first one lakh units and Rs.8.60 per   unit (existing rate Rs.8.50) for consumption beyond one lakh units. In other ESCOMs areas, the revised tariff is Rs.8.15 per unit (existing rate Rs.8.05) for the first one lakh units and Rs.8.55 per unit (existing rate Rs.8.45) for consumption beyond one lakh units.

Green Tariff:

 The Commission continues to promote purchase and use of energy from Renewable Sources, Green Tariff at 50 poise per unit over and above the applicable Tariff for HT Industries & HT Commercial Consumers at their option.

Government Subsidy:

 The estimated amount of subsidy to be paid to the ESCOMs and   the Hukeri RECS by the   Government towards free supply of electricity to 30.65 lakhs IP sets up to and inclusive of 10 HP, and 26.88 lakh Bhagya Jyothi / Kutira Jyothi households is Rs.13,071.73 Crores for 2021-22 as against Rs. 12,911.38 Crores for 2020-21. The estimated consumption of IP Sets is 21,551.50 MU (37.38% of total sales) and   that of Bhagya Jyothi / Kutira Jyothi Consumers for FY22 is 745.91 MU (Total subsidized consumption is 22,297.41Million Unit (MU).

Annual Revenue Requirement (ARR) of ESCOMs for FY22:

 The Commission, in accordance with the principles under the Multi-Year Tariff (MYT) Regulations has determined the revised Annual Revenue Requirement (ARR) for FY22. The Commission has also taken up the Annual Performance Review (APR) of all the Licensees for FY20 and the deficit thereon has been factored in the ARR for FY22.

On a detailed review of the Tariff Applications of the ESCOMs for the Financial Year 2021-22, the KERC has approved an overall expenditure (ARR) of Rs.49,218.18 Crores collectively for all the ESCOMs, which would be selling 60,645.95 MU (excluding Transmission loss of 2.978% & Distribution losses of 11.29 %, FY22) to the consumers, during FY22. The ESCOMs will procure 70,852.521 MU for this purpose during FY22. The Bangalore Electricity Supply Company (BESCOM) will procure 33,081.307Million Units which accounts for 46.69% of the total State’s energy with a net ARR of Rs.24,058.47 Crores for FY22.

Summary of the KERC Approved, revised ARR, Sales and Power Purchase, in respect of all the ESCOMs, for the FY22 is as detailed in the following table:

SI

No

ParticularsFY22Remarks
Approved ARR by KERC

Rs. Crores (ESCOMs)

49,21 8.1 8
2Approved ARR by KERC

Rs. Crores (HRECS)

171.49
3Approved sales in MU (ESOMs)60,645.95Excluding T & D

Losses as indicated below .

4Approved sales in MU (Hukeri RECS)273.98Excluding T & D

Losses as indicated below.

5Approved Transmission

loss%

2.978
6Approved Distribution loss

% (ESCOMs)

11.29
7Power purchase in MU70,852.52FY2 l – 73,l 04.34 MU

The ESCOMs and Hukeri RECS had filed applications for approval of Annual Performance Review (APR) for FY20 and the revision of Annual Revenue Requirement (ARR) for FY22 with proposals for revision of tariff for FY22 citing reasons of overall increase in the cost of power purchase and also increase in the cost of their operations. The ESCOM-wise, proposed and approved Annual Revenue Requirement (ARR) for FY22 (including the carry forward deficit for FY20) are as under:

ESCOM-wise Proposed and Approved ARR for FY22:

[Figures in Rs. Crores]

 

 

ESCOM

FY22
As FiledAs Approved
BESCOM24,462.3724,058.47
MESCOM5,119.614,507.65
CESC Mysore6,024.135,180.69
HESC OM9,890.729,519.60
GESCOM7,1 29.595,951.77
Hukeri RECS230.83171.49
Total52,857.2549,389.67

Revenue Gap FY22:

 In the Annual Performance Review of all ESCOMs and Hukeri RECS for FY20, the Commission has determined a deficit in Revenue of Rs.1,1 00.33 Crores. This deficit together with the estimated deficit of Rs.71 9.05 Crores for FY22 leaves an overall gap of Rs.1,819.38 Crores to be recovered by increase in tariff for FY22.

Transmission Tariff for KPTCL for 2021-22:

 The Commission has approved a revised ARR of Rs.4,276.07 Crores for FY22 by including the revenue gap of Rs.34.18 Crore approved as per the APR for FY 20.

As per the Orders of Hon’ ble Tribunal dated 05.10.2020 and the Orders of KERC dated 1 9.1 0.2020, an amount of Rs.331.41 Crores has been considered in the ARR for being recovered in tariff towards Regulatory Asset created and to be amortized over a period of five years. The transmission tariff payable to KPTCL for 2021-22 will be Rs.1,51,518 per MW per Month as against the existing tariff of Rs. 1,55,114 per MW per Month approved for 2020-21 and Rs.1,33,758 for FY22 as determined in Tariff Order 2019. The revised transmission tariff for 2021- 22 has been included in the power purchase cost allowed to ESCOMs and is covered in the tariff revision approved for ESCOMs.

Determination of ARR and Retail supply tariff for Mangalore SEZ Ltd., (MSEZL):

The Commission has determined ARR of Rs.52.792 Crores for MSEZL for FY22. The Commission has allowed a retail supply tariff of Rs.7.30 per unit, in respect of industrial consumers in MSEZL for FY22.

Determination of ARR and Retail supply tariff for AEQUS SEZ:

The Commission has determined ARR of Rs.20.579 Crores for AEQUS SEZ for FY22. The Commission has allowed a retail supply tariff of Rs.7.60 per unit, in respect of industrial consumers in AEQUS SEZ for FY 22.

[Note: The detailed category-wise revised tariff schedule is enclosed and the Tariff Orders of KPTCL, ESCOMs, HRECS, MSEZL & AEQUS SEZ for FY22 are made available on the Commission’s website https://karunadu.karnataka.gov.in/kerc ].

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