Ahmedabad, 16th January 2013

Gujarat Electricity Regulatory Commission (GERC) has put stay on Demand Based Tariff for Torrent residential consumers of Ahmedabad and Gandhinagar having connected load above 15 KV vide its order dated 28th December 2012.

A new concept of demand based tariff for residential consumers of Torrent Power Ltd. (TPL) – Ahmedabad and Gandhinagar was introduced by GERC through tariff order dated 6.9.2011. GERC via its order merged lighting load and motive power connections to avoid two meters in same premises. Though TPL had demanded separate category for this demand based tariff for residential consumers having connected load above 15 Kws. Somehow GERC merged this new category of consumers in Low Tension Maximum Demand (LTMD-1) category which was applicable to LT Industrial consumers only.

TPL identified such 3500 consumers and issued notices to such consumers having monthly consumption of 1000 units in February 2012. There was strong opposition from Consumer Education and Research Society about implementation of this tariff which has increased fixed charges from existing Rs.30/pm to Rs.510/pm for minimum contract demand of 6 Kw. GERC invited K.K. Bajaj of CERS to discuss this problem and decided to file Suo Motu petition inviting suggestions/objections from consumer orginsations and individuals. Total 21 objections were received and GERC conducted hearing on 23rd November 2012. Only 8 objectors appeared in person for representation.

After this hearing GERC passed the order putting stay on Demand Based Tariff. GERC directed TPL with following:

1) Due to higher fixed charges and penalty charges for this category, TPL should take up these issues in next tariff filing for 2013-14.

2) TPL should reduce the large difference of fixed charges between Residential General Purpose RGP) category and LTMD-1 category.

3) TPL should educate consumers to fix their contract demand.

4) TPL should not compel consumers even with higher connected load to shift from RGP to LTMD-1 category till Commission issues tariff order for FY 2013-14.

CERS has demanded refund of fixed charges for 1670 consumers who are transferred to LTMD category from RGP with retrospective date. Such consumers will have to wait till new tariff order is passed by 1st April 2013.

For more information please contact Mr K. K Bajaj on +91-9374103578

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