Reliance Infra-backed power discom BSES has sought Delhi's power regulator DERC's immediate intervention in recovering its regulatory assets of Rs 16,000 crore so that the company can overcome funds crunch.
In a letter to chairman of Delhi Electricity Regulatory Commission, the BSES said the total approved and undisputed revenue gap of BSES discoms amounts to over Rs 16,000 crore as against its total overdues of about Rs 12,000 crore to various entities including the NTPC.
The BSES said the company's revenue gap has increased over the years due to absence of a cost reflective tariff.
"Once a clear plan for amortisation of of Rs 16,000 crore is provided by DERC, it will facilitate in arranging suitable loans with the support of Delhi government," the letter said.
The discom asked the regulator to provide a "concrete and credible" amortisation plan so that the company can bridge the the revenue gap.
It also urged the DERC to put in place a cost reflective tariff structure for financial year 2016-17 and allow complete pass through of any variation in power purchase cost by way of an appropriate power purchase adjustment cost.
Last week, state-run power generator NTPC had said threatened to snap power supply to BSES if they fail to clear the dues of Rs 1,300 crore by midnight on May 9. However, following intervention by DERC and Delhi government, NTPC agreed to give some more time to BSES to pay up the amount.
BSES has to pay around Rs 6,000 crore to Delhi government run entity Delhi Transco.
The cost of buying power has increased primarily on account of an increase in the input prices of raw material like coal and gas, as per experts.
The BSES discoms BSES Yamuna Power Ltd and BSES Rajdhani Power Ltd have been demanding significant hike in tariff, citing rise in power purchase cost.
Both the discoms supply power in 70 per cent areas in Delhi.
As per official figures, around 80-90 per cent of total revenue of discoms goes into purchasing power from central and state government owned entities through long term power purchase agreement, at rates determined by the central and state regulators.
