Power body seeks clarity on status
Currently there are Rs 4,787-crore worth of FSA proposal related cases
By : DC Correspondent
Update: 2014-08-24 00:52 GMT
Hyderabad:With both the new states having initiated the process to form their own Electricity Regulatory Commissions, the fate of numerous cases, worth hundreds of crores, that are being fought by the existing APERC has become questionable.
The APERC has written a letter to the ministry of power to clarify on its status. Moreover, the dissolved status would mean crores worth FSA, that was held back, can be passed on to consumers, increasing their bills substantially.
As both the new states have already given notifications for forming new ERCs, the future of the APERC has become questionable along with the new orders that have been passed since then. Now that the states have also announced the ERC board members, the APERC is unsure of its future.
“Letters have been sent to the Union minister of power, as well as the chief secretaries of Telangana state and AP. The APERC has sought clarification by the Centre on its status. If both the states form their new commissions and dissolve the APERC, it will complicate many on-going cases. Moreover, what will happen to the permanent employees working in the APERC? They will have to be absorbed by the new states,” said a source.
As per the letter, in view of both the states forming their new ERCs, the status of the on-going cases in the SC needs to be clarified. Currently there are Rs 4,787-crore worth of FSA proposal related cases in the court. Moreover, the uncertainty over the commission’s status will also lead to complications in the various other orders passed on issues between private players and discoms, as well as the consumers.