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Government of National Capital Territory of Delhi (Department of Power) Delhi Secretariat, 8 Level, B-Wing NEW DELHI - 110002

The document summarizes a letter from the Secretary of Power for the Government of National Capital Territory of Delhi to the Chairman of the Delhi Electricity Regulatory Commission regarding issues with two power distribution companies (DISCOMs), BRPL and BYPL, in Delhi. The DISCOMs are alleging they do not have adequate funds to pay NTPC, a major power supplier, beyond February 10th. This could lead to long power outages in Delhi. The Secretary requests the DERC to investigate the DISCOMs' ability to supply power and suspend their licenses if needed to appoint administrative officers to avoid disruptions to consumers. Steps are also requested to address the situation, including identifying potential administrative officers and adjusting subsidy amounts owed to the

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38 views2 pages

Government of National Capital Territory of Delhi (Department of Power) Delhi Secretariat, 8 Level, B-Wing NEW DELHI - 110002

The document summarizes a letter from the Secretary of Power for the Government of National Capital Territory of Delhi to the Chairman of the Delhi Electricity Regulatory Commission regarding issues with two power distribution companies (DISCOMs), BRPL and BYPL, in Delhi. The DISCOMs are alleging they do not have adequate funds to pay NTPC, a major power supplier, beyond February 10th. This could lead to long power outages in Delhi. The Secretary requests the DERC to investigate the DISCOMs' ability to supply power and suspend their licenses if needed to appoint administrative officers to avoid disruptions to consumers. Steps are also requested to address the situation, including identifying potential administrative officers and adjusting subsidy amounts owed to the

Uploaded by

Vivek Singh
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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GOVERNMENT OF NATIONAL CAPITAL TERRITORY OF DELHI (DEPARTMENT OF POWER) DELHI SECRETARIAT, 8TH LEVEL, B-WING NEW DELHI 110002

2 No.F.11(101)/2007/Power/Pt./ To The Chairman, Delhi Electricity Regulatory Commission, Viniyamak Bhawan, C-Block, Shivalik, Malviya Nagar, New Delhi 17 Sub.: Alleged paucity of funds with the DISCOMs and their likely failure to supply power to consumers for long hours reg. Sir, It is seen that the BSES Discoms (BRPL & BYPL) at Delhi are alleging that they do not have adequate funds because of which they have been unable to pay NTPC for purchase of power. NTPC, which is a major supplier of power to DISCOMs, is maintaining that it shall not be able to supply power beyond 10.02.2014 unless payment for the purchase of power is forthcoming from these DISCOMs. In this regard, it may be mentioned : 1. That under the Electricity Act, 2003 it is the duty of DERC to take care of the financials of the DISCOMs by providing adequate tariff (section 86 of the Electricity Act, 2003). It is presumed, the DERC has done so. That the DERC has issued licenses to the DISCOMs at Delhi for distribution of electricity. That the stand of DISCOMs that due to their financial difficulties, they will be unable to supply power to consumers of Delhi for long hours in a day, calls for revocation of their licences by DERC under section 19(d) of the Electricity Act, 2003. Dated : 03.02.2014

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This is a most serious matter. It is requested that it may definitely be found out from the two DISCOMs in the next two or three days as to whether they are going to stop a substantial part of the supply of power to the consumers of Delhi beyond 10th February, 2014. In case, these DISCOMs continue with their stand, the DERC may not have an alternative but to suspend their licenses immediately, as a first step, under para 13 of the terms and conditions of their distribution licences. Extensive blackouts in the capital city of the country due to financial difficulties of the these two DISCOMs is not acceptable. In the event suspension of licences becomes necessary in the near future, suitable officers will have to be appointed as Administrative Officers of BSES Discoms. It is requested that officers who could be appointed as Administrative Officers of DISCOMs may be immediately

identified in consultation with the Chief Secretary, so that if need be, immediate action is possible and the consumers and Government of Delhi are not caught napping. The Honble Chief Minister, Delhi has already issued the necessary instructions to the Chief Secretary. DERC may immediately take these steps or work out any other alternate suitable mechanism to address the situation. Some subsidy amounts are due to the DISCOMs from the Government which shall be cleared by 15th February, 2014. In any case, the amounts shall be adjusted against the receivables of IPGCL/PPCL and DTL from these two DISCOMs. Yours faithfully,

(Puneet K. Goel) Secretary (Power)

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