DERC seeks more time to clear discoms' dues

In a measure to preempt sharp power tariff revision to consumers in Delhi, the Delhi Electricity Regulatory Commission (DERC) has approached the Supreme Court seeking it modify its order issued last month directing the liquidation of regulatory assets accumulated in favour of private discoms by April 2028.

- Abraham Thomas

Filing an application against an August 6 order, the DERC said that the regulatory assets (RA) as of March 31, 2024, in favour of the three discomsBSES Rajdhani, BSES Yamuna and Tata Power-is to the tune of ₹31,552 crore, and liquidating assets to this amount would result in passing the burden on to consumers.

The court had fixed a fouryear period from April 1, 2024, to liquidate RA, but the DERC said that doing so would result in a 70-80% tariff spike to consumers. It said that a seven-year timeline, instead, could absorb the "price shock".