Power firms cheer Gujarat's tariff hike proposal, but many hurdles remain

Regulatory approval and nod from other states & consumer forums pending

Imported coal-based thermal power units in Gujarat are delighted at the new prospect of a rise in permitted electricity supply rates.

After an order of the Supreme Court, the state government has told its power distribution companies (discoms) to ask for the Central Electricity Regulatory Commission’s (CERC's) approval in this regard. 

The hike pertains to power-purchase agreements (PPAs) signed by various states, including Gujarat, with imported coal-based projects of Tata, Essar and Adani. 

Sources said Gujarat Urja Vikas Nigam, the umbrella state entity for electrical services, would meet this week on the proposed application. For Essar Power, the application will be filed at