New Delhi, May 29: The Government will come out with new norms for tariff determination in the power sector by the end of this year, ahead of the April 1 deadline for the new tariff policy. This was stated by the chairman of the Central Electricity Regulatory Commission (CERC), Mr A K Basu, at a CII conference yesterday. Delivering the keynote address at a seminar, he said new terms and conditions for tariff fixation would be put in place by the end of this year. “CERC would issue the regulations by December 31 and a discussion paper will be issued by next week,” he said. The new norms would seek to address various issues including return on equity, expenses incurred both at the operational and maintenance level and fixed and variable charges.
The power regulator also proposes to prepare a discussion paper for issue of trading licences, which was accorded distinct status under the new electricity legislation, cleared by Parliament early this month.
He said that the paper hopes to bring about uniformity on the subject of issue of licences as opposed to the case-by-case approach being adopted by the regulator currently.
Bureay Report