11-05-2025
Power bills likely to rise by 7-10%; Oppn., residents slam move
Electricity bills in Delhi are likely to increase by 7-10% during the May-June billing cycle due to a revision in the power purchase adjustment cost (PPAC), which is a surcharge levied on consumers to offset power procurement costs incurred by discoms due to a rise in fuel costs, officials said on Sunday.
The Delhi Electricity Regulatory Commission (DERC) earlier this month had permitted three discoms to recover costs linked to fuel price fluctuations during the third quarter of 2024-25.
The approved PPAC rates are 7.25% for BSES Rajdhani Power Limited, 8.11% for BSES Yamuna Power Limited, and 10.47% for Tata Power Delhi Distribution Limited.
Although there was no immediate response from the BJP-led Delhi government, the Congress's Delhi unit slammed the ruling party, claiming that this is yet another 'financial blow to residents' of the city.
'The Rekha Gupta government is emulating the corrupt [Arvind] Kejriwal government by increasing the PPAC surcharge,' Delhi Congress president Devender Yadav said, recalling that the BJP had earlier protested against similar hikes during the previous AAP government.
The United Residents of Delhi (URD), a body that represents Resident Welfare Associations in the city, denounced the move, terming it 'arbitrary'. 'The process under which PPAC charges have been imposed on the people of Delhi by DERC is legally wrong,' said URD general secretary Saurabh Gandhi.
Meanwhile, discom sources defended the PPAC and said it was in line with DERC's orders. 'The PPAC is recovered to ensure timely passing on of power purchase cost, which is dependent upon coal and gas prices, to the consumer. It is a statutory mandate and the process is very transparent and validated by the regulator,' a source said.
Without PPAC, discoms will have liquidity stress and no money to pay the power generation companies, the source added.
(With inputs from The Hindu Bureau)
