The Delhi Electricity Regulatory Commission (DERC) has directed distribution companies to reduce their fixed charges by half for unutilized capacity for April and May in relief to commercial and industrial customers.
The current tariff mechanism has two parts — a fixed charge, which is the investment incurred towards power generation equipment, and a variable cost or the cost of fuel.
“The Commission is of the view that in order to avoid hardships to such consumers, the Fixed Charges for the unutilized capacity (Contract Demand – Maximum Demand) during April 2020 and May 2020 for eligible Industrial and Non-domestic (Commercial etc.) consumers may be billed at reduced rate against existing rate of Rs.250/kVA/month,” the DERC said on Monday.
The customers will be billed at Rs.125/kVA/month as against existing rate of Rs.250/kVA/month. This will be adjusted in the next two billing cycles by the distribution companies — BSES Rajdhani Power Ltd (BRPL), BSES Yamuna Power Ltd (BYPL), Tata Power Delhi Distribution Limited (TPDDL), and New Delhi Municipal Council (NDMC)