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Will electricity become expensive in Uttarakhand?, Commission’s decision on UPCL’s petition

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A big news related to the electricity rate is coming out in Uttarakhand. A review petition was filed by UPCL. Which has now been rejected by the commission.

Let us tell you that UPCL had demanded carrying cost of 674.77 crores. This petition was filed for reconsideration of the tariff order issued on April 11. The Uttarakhand Electricity Regulatory Commission has rejected the petition calling it baseless. In such a situation, now electricity will not be expensive in the state.

Will electricity be expensive in Uttarakhand?

In fact, UPCL had demanded Rs 674.77 crore. This money was demanded to compensate for the expenses. However, the regulatory commission made it clear that there is no justification for the numbers on which money is being demanded.

The commission rejected the petition of UPCL

UPCL had said that the delayed payment of 129.09 crores should not be added to the tariff. This is because in the year 2012, the state government had decided not to take DPS in transactions with the corporation. However, the commission said that there is one rule for everyone, whether it is the government or the consumer. Due to which DPS will be considered a part of the tariff. This also reduces the tariff.

Line loss in the business plan for the next three years

In the business plan for the next three years presented before the commission, line loss, that is, the loss incurred during power distribution, has also become a big challenge for UPCL.

  • UPCL had stated the line loss to be 13.50% for the year 2025-26. But the commission reduced it to 12.75% and approved it.
  • UPCL claimed 13.21% in 2026-27, but the commission approved only 12.25%.
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UPCL had estimated 12.95% line loss for 2027-28, while the commission reduced it to only 11.75% and approved it. That is, it is clear that UPCL will have to continuously reduce its line loss to 11.75% in the next three years.

Loss is very high in the last three years

The commission also said that in the last three years, UPCL’s loss was very high as compared to the target.

  • 14.70 percent as compared to 13.75 percent in 2021-22,
  • 16.39 percent as compared to 13.50 in 2022-23
  • 15.63 percent loss as compared to 13.25 in 2023-24.

The commission did not find any new fact, clear mistake or valid basis for reconsideration in UPCL’s petition. Due to which this petition was rejected. Let us tell you that the commission also held a public hearing on this petition on August 5. In which the stakeholders had protested.

City Percentage Loss

  • Gadarpur 30.58
  • Jaspur 27.00
  • Joshimath 53.92
  • Khatima 53.00
  • Laksar 27.00
  • Landhaura 69.40
  • Mangalore 47.62
  • Sitaragnj 27.25