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Projecting an average distribution loss of more than 32 per cent and a combined revenue gap of INR  2026 crore, four power distribution companies of the State have demanded cost-based tariff. Estimating the revenue expenditure for 2014-15 at `10,021 crore, the four distribution companies (discoms) - CESU, NESCO, WESCO and SOUTHCO - are expecting a revenue earning of `7995 crore at the existing tariff leaving a gap of `2026 crore.

The annual revenue requirement (ARR) applications filed by the discoms before Odisha Electricity Regulatory Commission for the ensuing financial year said CESU will have a revenue gap of ` 285.46 crore while the Reliance Energy managed NESCO, WESCO and SOUTHCO will have a revenue shortfall of ` 670.91 crore, `685.17 crore and `384.44 crore respectively.

Having largest number of consumer base, CESU projected a requirement of ` 2584.51 crore for buying power. Revenue requirement for power purchase of NESCO is pegged at `1706.41 crore, while it is `2406.22 crore for WESCO and ` 697.51 crore for SOUTHCO.

Discoms have proposed to reduce revenue gap through revision in retail tariff or Government subsidy or combination of both. Apart from tariff rationalisation measures, all utilities have proposed additional charge of five paise per unit of electricity sold for undertaking measures for execution of disaster mitigation plan. Having failed miserably to reduce distribution and commercial loss, discoms have projected a distribution loss of over 30 per cent in 2014-15.

CESU has projected to reduce the distribution loss by 3.7 per cent from its existing level of 35 per cent. With 40 per cent distribution loss, SOUTHCO tops the list. NESCO and WESCO have projected their distribution loss at 30 per cent and 32 per cent respectively. For domestic category, discoms have demanded 20 paise more per unit for consumers drawing upto 50 units. The existing tariff per unit for first slab is INR  2.30.

Their demand for next slab of consumption from 100 to less than 200 units is 40 paise per unit and 30 paise per unit for consumption between 200 and less than 400 units. The discoms have demanded additional hike of 40 paise per unit for consumption of over 400 units.

Source-On Request