Consumers could be disappointed that KSEB Limited continues to seek higher tariffs but official figures show that the public utility has managed the state’s power requirements for more than a year without purchasing power from costly naphtha and diesel stations like the Kayamkulam NTPC, Kozhikode Diesel Power Plant and Brahmapuram Diesel Power Plant. What is commendable is that the KSEBL could control its costs at a time when inflow, thanks to poor monsoons in the 2016-17 window, had fallen by 50 percent.
Wind developers are up in arms against Andhra Pradesh discoms for insisting on an arbitrary discount, appropriating a specific benefit the Centre grants renewable energy developers, verbally harping on renegotiating power purchase agreements and threatening not to pay for any excess power provided above an agreed threshold.
"They are compulsorily deducting 2% of the tariff, which is 10 paise per unit of power," said Sunil Jain, President, Wind Independent Power Producers Association (Wippa). "The power purchase agreements (PPAs) we had signed had said that discoms were entitled to 2% discount if they made payment within a week of the power purchase. In fact, payments are made six months late, but for the last two to three months, they have begun deducting the discount anyway. In fact, the PPAs say the discoms should pay a penalty of 2% if payment is delayed beyond two months. Far from paying the penalty, they are enforcing the discount."
Indian consumers will end up shelling out nearly Rs 30,000 crore extra every year towards payment for power consumption unless electricity is brought under the Goods and Services Tax (GST) regime. The reason? Power producers cannot claim credit for taxes and cess paid on coal and coal transportation due to exclusion of electricity from the new indirect tax regime.
The applicable GST rate on coal is 5%. Furthermore, the dry fuel attracts clean cess of Rs 400 per tonne. In addition, 5% GST is also payable on transportation of coal by trains.
Former Union power secretary P K Pujari (1981 Gujarat cadre IAS), who retired in June last year, has been appointed as the chairman of the Central Electricity Regulatory Commission (CERC). Pujari now joins the bureaucrats from the state who have got key postretirement postings at the Centre. Before joining the Government of India in 2012, Pujari was commercial tax commissioner when PM Narendra Modi was the Gujarat chief minister.
The Economic Survey expressed concern over aggressive bidding by private companies for bagging licences for spectrum, coal mining and renewable energy projects.
"In the case of spectrum, coal and renewables, auctions may have led to a winner's curse, whereby firms overbid for assets, leading to adverse consequences in each of the sectors; but they created transparency and avoided rent-seeking with enormous benefits, actual and perceptional," said the survey tabled in Parliament by finance minister Arun Jaitley on Monday.
At least four companies—Tata Power, Adani Group, Torrent Power and Greenko Group—have shown interest in acquiring Central Electricity Supply Utility of Odisha (CESU Odisha), according to two people aware of the development.
The electricity distribution privatization well affect supply electricity to around 2 million consumers in the distribution circles of Bhubaneswar, Cuttack, Paradeep and Dhenkanal. PricewaterhouseCoopers is running the bid process in what is the first such sale in more than decade.
AES India, a subsidiary of US-based AES Corporation, and Mitsubishi Corp today started construction on India's first utility-scale energy storage system, a 10 Megawatt (MW) facility that will serve the electric grid operated by Tata Power Delhi Distribution Ltd, the power distribution arm of Tata Power.
The launch of the mega storage facility marks a key step forward in modernizing India's power system and improving grid efficiency. India is executing a plan to set up 175 Gigawatt of renewable energy capacity by 2022 and deploying energy storage systems will help network operators mitigate solar and wind resources' variability and reduce congestion on the transmission system. It will also help deliver affordable power and enable new revenue sources from frequency regulation and other grid services.
Andhra Pradesh Power Generation Corporation (AP Genco) has filed a petition in the Hyderabad bench of the National Company Law Tribunal (NCLT) for recovery of "dues" of nearly Rs 4,500 crore from Northern Power Distribution Company of Telangana (TS NPDCL).
"We have filed a petition in the NCLT (against TS NPDCL). We exhausted all options. We have to get nearly Rs 4,500 crore towards dues," AP Genco managing director K Vijayanad told PTI.
In a move to encourage digital payment of electricity bills on time, BSES, one of the two power distribution companies (discoms) in Delhi, on Thursday announced a cashback scheme valid till March-end by which consumers stand to benefit by up to Rs 1,200, at Rs 300 per month, on the three bills till March plus the added benefit on pre-payment of the April bill.
The discom said in a release that it has partnered with digital wallet company Mobikwik to facilitate the 40 lakh customers of both BSES discoms -- BSES Rajdhani Power Ltd (BRPL) and BSES Yamuna Power Ltd (BYPL) -- in the national capital.
A month ahead of the investors meet in UP, the state government on January 16 offered yet another sop to industries by giving them the option to take power from the power distribution company of their choice.
The power will be wheeled to the industrial units under the 'open access system' for which the state government will set up a help desk at the UP state load dispatch centre (UPSLDC), said principal secretary (energy), Alok Kumar.