High power bills due to FPPCA: Madkaikar

Staff Reporter
Thursday, 13 July 2017

FPPCA charges are unavoidable. Government has not charged any extra money from the public. Power tariff has not been hiked for last two years and it will not be hiked in the coming year too

Panaji: Power Minister Pandurang Madkaikar on Wednesday said that high power bills was due to FPPCA (Fuel Power Purchase and Cost Adjustment) charges levied on power bills for the first quarter of the current financial year ie April to July.

Reacting to apprehension raised by the consumers about increase in power bills, Madkaikar told reporters that the FPPCA charges for every fourth quarter of the year are being determined based on the formula approved by director of Joint Electricity Regulatory Commission (JERC) in its order dated June 27, 2012. As per the directions, only the Below Poverty Line (BPL) consumers will not be imposed FPPCA charges.
The Central Electricity Regulatory Commission (CERC) has revised its power tariff while issuing tariff orders. The arrears amount raised by NTPC towards purchase of power are paid by the department for the billing month from January to March 2017 to the tune of Rs 92.58 crore. However, Rs 57.10 crore had been credited to the government and the same will be passed on to consumers in the first quarter, said Madkaikar. 

According to the director of JERC, the electricity department has calculated the fourth quarter of the financial year 2016-2017 FPPCA charges and have been notified in Gazette dated May 2, 2017. For levy in April 2017 the same will be billed in the next month and the similar process will go on.

"FPPCA charges are unavoidable. Government has not charged any extra money from the public. Power tariff has not been hiked for last two years and it will not be hiked in the coming year too," Madkaikar said adding “I feel the government is bound to clear the doubts of public.”

Regarding balance three quarters of the fiscal 2016-2017, the figures for fourth quarter from January to March 2017 were higher and the difference will be refunded by the government. The fuel purchase had gone up from 40-47 paise per unit to 148 paise per unit. Hence categorywise levy was ranging from 62 paise per unit to 327 paise per unit, the Minister said.

Madkaikar also disclosed his plans to issue monthly power bills to consumer after next three months. The consumers will get online bills and facility to pay the bill online with SMS alerts on their mobiles soon, he added.

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