New Power Tariff from Apr 1st

Unlike past, new power tariff will come into force from Apr 1

For first time, PDD, PDC submit ARR 

Tariff Petition to SERC on schedule

For the first time ever since Jammu and Kashmir State Electricity Regulatory Commission (SERC) came into being, the Power Development Department and Power Development Corporation submitted their Annual Revenue Requirement (ARR) and Tariff Petitions to the Commission on schedule. Due to this the new power tariff would come into force with the beginning of next financial year—2012-2013 instead of middle of the year as was the practice till now and mark increase in revenue for the State.

Official sources told JK Newsthat Power Development Department and Power Development Corporation have submitted Annual Revenue Requirement (ARR) and Retail as well as Generation Tariff Petitions to the State Electricity Regulatory Commission headed by S M Desalphine.

"This is for the first time since 2004-05 when SERC came into being that PDD and PDC submitted ARR and Tariff Petitions in the month of January as till last year the same were being submitted to the Commission in June-July as a result of which the new tariff was coming into force from the month of October", sources said.

It is pertinent to mention here that prior to setting up of SERC the Power Development Department was determining the retail tariff without any fixed time-schedule or period and the Commission started fixing retail as well as generation power tariff from 2007-08 financial year.

"Even during last year due to delay in submission of ARR and Tariff Petitions, the issuance of order by the SERC for new tariff got delayed and the same was passed on October 4, 2011", sources said while disclosing that while issuing Tariff Order last year the Commission had also expressed concern over delay in the submission of ARR and Tariff Petitions and stressed the need to strictly comply with the schedule fixed for the same.

Disclosing that as per the State Electricity Regulatory Act and Rules the Commission has to issue new tariff order within 120 days from the receipt of Annual Revenue Requirement and Retail and Generation Tariff Petitions from the PDD and PDC, sources said that Commission has already started its exercise on the petitions and it would be for the first time that new tariff would come into force from April 1, 2012 for the financial year 2012-13.

To a question, sources said that while going through the detailed exercise spread over 120 days, the Commission will seek all such details which were not submitted by PDD and PDC despite repeated directions.

"The slow pace of metering of connections despite the fact that same is vital component of the reforms in the power sector, delay in conducting feeder wise energy audits, not much progress in containing Transmission and Distribution losses, slow progress in revision of agreements of all categories of consumers to assess realistic connected load and also the maximum demand would be on top agenda of the Commission before determining retail tariff of the Power Development Department", sources said.

They disclosed that since most of the directives of the State Electricity Regulatory Commission have not been strictly complied by the PDD, the Commission is likely to go tough in getting the same implemented in letter and spirit.

PDC taking over Baglihar Power project

PDC taking over Baglihar’s O&M from NHPC on Sept 2  Internal arrangement to meet Engineers shortage

After remaining 'sidelined' for two years, the Jammu and Kashmir State Power Development Corporation is taking over the Operation and Maintenance (O&M) of the 450 Mega Watts Baglihar Hydroelectric Project from National Hydroelectric Projects Corporation (NHPC) on September 2, 2011.

Authoritative sources told EXCELSIOR that Government has conveyed to the NHPC authorities that the two years contract for O&M of the first ever mega State-owned project, which was signed in 2009 at a cost of Rs 150 crore, will not be extended and Power Development Corporation would takeover the O&M from it on September 2, 2011.

The PDC, which had also handled Operation and Maintenance of the project before 2009, has geared itself up to shoulder the major responsibility once again despite having some shortcomings with regard to cadre of engineers, sources informed.

At present, the PDC has four Executive Engineers, 12 Assistant Engineers and 15 Junior Engineers at Baglihar and keeping in view the shifting of daunting task of O&M, it has already set in motion the process of appointing 103 Junior Engineers in Civil, Electrical and Mechanical besides some Civil Draftsman to meet the requirement of manpower at different projects particularly at Baglihar, they said while disclosing that till the time these selections are made, the PDC will make some internal arrangements by seeking engineers from Power Development Department on deputation basis.

Like NHPC, which had further outsourced maintenance part to a company having expertise in the field, the PDC has also floated tenders for engaging companies for routine and annual maintenance of the project as the same needs experts. "September 2 is the last date for receipt of tenders, which were floated on August 10, 2011", they said while disclosing that except Salal Hydroelectric Project, the NHPC has outsourced maintenance part in all its projects.

There will be two separate companies for routine and annual maintenance and they will work under the close supervision of PDC. While annual maintenance is carried out in the months of November and December every year by shutting down the units one by one, the routine maintenance is carried out in the running conditions thus is of more importance, sources said, adding only those companies will be finalized which have the experience of handling not less than 300 Mega Watts of hydro electric project.

In order to ensure smooth functioning of the project following return of O&M, the Power Development Corporation has also entered into an agreement with the M/s Voith Siemens, which had executed the electro-mechanical works of the project. As per the arrangement, two experts of the German company will be at the disposal of PDC round the clock for assistance in automated control of the project.

"No doubt the PDC is also outsourcing maintenance part like NHPC but the return of O&M would help in saving crores of rupees, which were otherwise given to the NHPC during the past two years", they said and hoped that the Government would immediately take steps to create separate cadre of engineers for PDC so that the situation like which prompted the handing over of O&M to NHPC doesn't arise again in future.