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Torrent proposes tariff hike

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Ashish Amin Mumbai/ Ahmedabad
Last Updated : Jan 29 2013 | 1:14 AM IST

The move comes after two respective hikes in fuel surcharge. If Gujarat Electricity Regulatory Commission (GERC) allows the application, around 20 lakh consumers in the three cities will have to shell out Rs 550 crore to Rs 1600 crore over the next three years.

The company has filed an application in this regard under GERC's multi year tariff order seeking permission to increase tariff levels by 7.6 per cent in the current fiscal and 6.9 per cent each in 2009-10 and 2010-2011.

TPL in its proposal submitted to GERC has stated that it's annual revenue requirement in 2007-08 (revised estimate) would be Rs 3040.75 crore.

Revenue expenditure for the same period is Rs 2929.54 crore. As per the existing tariff structure, the company would face a revenue gap of Rs 137.84 crore.

The revenue gap for current fiscal is estimated to be Rs 412.63 crore, Rs 564.04 crore in 2009-10 and Rs 515.79 crore in 2010-11. The cumulative revenue gap is likely to be Rs 137.84 crore (2007-08), Rs 550.47 crore (2008-09), Rs 1154.51 crore in 2009-10 and Rs 1630.30 crore in 2010-11.

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The company has admitted that there would be a distribution loss of 9.26 per cent, 10.50 per cent, 10.25 per cent and 10 per cent in 2007-08, 2008-09, 2009-10 and 2010-11 respectively.

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First Published: Jun 25 2008 | 12:00 AM IST

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