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UPERC urged to dismiss Torrent's Agra rollout plan

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Virendra Singh Rawat Mumbai/ Lucknow

A public interest application on Thursday urged Uttar Pradesh Electricity Regulatory Commission (UPERC) to dismiss rollout plan of Torrent Power for its power distribution franchisee in Agra.

UP Rajya Vidyut Upbhokta Parishad (UPRVUP) made such representation before UPERC chairman Rajesh Awasthi here.

UPRVUP has demanded the rollout plan of Rs 360 crore for strengthening the power system in Agra should be dismissed and the matter be probed.

Parishad chairperson, who is also member of the London-based World Energy Council, Avadhesh Kumar Verma said the rollout plan submitted before UPERC by UP Power Corporation Limited (UPPCL) pertained to 2010-11, 2011-12 and 2012-13 financial years.

 

“It is strange that UPPCL has informed the Commission that Torrent Power had already incurred Rs 99 crore in capital expenditure during 2010-11 in anticipation of approval by UPERC,” he added.

Verma told Business Standard the rollout plan expenditure would be included in the Annual Revenue Requirement (ARR) of UPPCL and would ultimately be borne by the consumers.

He said UPPCL had submitted the rollout plan to the Commission in March 2012.

He sought to know why the rollout plan was not placed before the Commission, when Torrent Power had entered into an agreement with the state power discom of Agra for the input based franchisee in 2010. “UPPCL wants a legal sanction of UPERC’s approval to conceal its mistakes,” Verma alleged.

He pointed out that UPPCL was providing power to Torrent below the average cost of power. In 2010-11 and 2011-12, the average cost of power incurred by UPPCL was Rs 2.97/unit and Rs 3.71/unit respectively, while Torrent was getting power at the rate of Rs 2/unit from UPPCL.

Recently there had been reports that the state government was planning to privatise power distribution in some more cities viz. Lucknow, Meerut, Muzaffargnagar, Ghaziabad, Bareilly, Varanasi and Robertsganj.

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First Published: Apr 27 2012 | 12:45 AM IST

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