POWER CRISIS : Industrial units in Dadra and Nagar Haveli will have to shell out hefty charges for purchasing power from DNHPDCL

Surat : Industrial units in the union territory of Dadra and Nagar Haveli (DNH) will have to cough up hefty electricity charges due to the increase in the price of coal and supply shortages, which has increased the power price in the open market.

The DNH Power Distribution Coroporation Limited (DNHPDCL), a government undertaking has written letters to the High Tension (HT) consumers in the DNH stating that the price of coal has skyrocketed due to the short supply in the market. This has resulted in the abnormal increase in the power price in open market.

The current power price in open market is around Rs 14-15 per kilowatts hour (kWh). However, the corporation is procuring power from open  market to meet the industrial consumer demand of the DNHPDCL.

According to DNHPDCL’s chief engineer, the approved power purchase cost is around Rs 4.94 per kWh. However, the procurement of power at such an abnormal price from the open market will result inito the increase in the Fuel and Power Purchase Cost Adjustment (FPPCA)—a regulatory adjustment amount that utilities apply on bills based on the varying price of fuel or coal.

DNHPDCL stated that the industrial consumers in DNH have two options i.e to enfore load shedding to optimize power purchase cost or to continue the procurement of power at the cost of FPPCA.