Controversy has arisen in Uttar Pradesh over the 10 percent fuel surcharge imposed on electricity bills for June. The Electricity Regulatory Commission has sought a reply from UPPCL within seven days, while at present the recovery of additional charges from consumers is going on.
Lucknow: Crores of electricity consumers of Uttar Pradesh are hopeful of getting relief in the month of June. The Electricity Regulatory Commission has sought clarification from UP Power Corporation Limited (UPPCL) regarding the 10 percent fuel surcharge imposed on the electricity bill. The Commission has initially raised questions on this recovery and sought a detailed answer.
Dispute over additional charges on 3.73 crore consumers
In Uttar Pradesh, the decision to charge 10 percent additional fuel surcharge in the bills for the month of June from electricity consumers has created a new controversy. UP Power Corporation Limited had issued an order to impose this additional fee to compensate for the power purchase cost and fuel expenditure for the month of March. This decision was to impact about 3.73 crore domestic, commercial and industrial consumers of the state.
According to the Corporation, an additional amount of approximately Rs 1610 crore is to be recovered through this surcharge. However, after the order was issued, consumer organizations started opposing it and the matter reached the Electricity Regulatory Commission. The Commission has raised many questions on this order in the preliminary investigation and has asked the Corporation to give a detailed reply within seven days.
Consumer Council raised questions on calculations
The Electricity Consumers Council has alleged in the petition filed in the Commission that the fuel surcharge was not calculated as per the rules. The Council says that the approved rate of power purchase by the Commission has been fixed at Rs 4.94 per unit, while the Corporation has shown it at Rs 5.86 per unit.
According to the Council, old dues and prior liabilities have also been added to the power purchase cost, thereby placing additional financial burden on consumers. The council claims that if calculated on the basis of actual cost, instead of increasing the bills of consumers in the month of June, they may reduce by about 2 percent.
Consumer organizations say that it is not fair to impose such additional burden on people who are already facing inflation.
Commission asked for legal basis
Taking the matter seriously, the Electricity Regulatory Commission has asked UPPCL what is the legal basis for including old dues, NTPC payments and other liabilities in the calculation of fuel surcharge. The commission has also sought detailed details of power purchase cost, transmission charges and other expenses.
The Commission has said in its preliminary remarks that any decision imposing additional economic burden on consumers should be implemented with full transparency and rules. The Commission believes that protection of consumer interests should be the highest priority.
At present recovery is in progress, adjustment may happen later
However, the Commission has not yet imposed any formal ban on the recovery of fuel surcharge. This means that consumers who are currently paying their electricity bills are being charged an additional 10 percent surcharge.
But if after the hearing of the Commission the decision goes in favor of the consumers and the surcharge is considered unreasonable, then the extra amount already deposited can be adjusted in the next electricity bills. Due to this possibility, the eyes of consumers are now fixed on the upcoming hearing of the Commission and the response of UPPCL.
It is noteworthy that the case of 10 percent fuel surcharge imposed earlier in the month of February is also still pending. In such a situation, this new dispute of the month of June is being considered very important for the electricity consumers of the state. In the coming days, the final decision of the Commission can have a direct impact on the pockets of crores of consumers.
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