GUVNL increases fuel surcharge

GUVNL increases fuel surcharge

Electricity consumers of Gujarat Urja Vikas Nigam Limited (GUVNL) will have to cough up more for power they consume as the state-run power utility has increased fuel and power purchase price adjustment (FPPPA) charges by 23 paise per unit to Rs 1.84 per unit from Rs 1.61/unit.

The power distribution companies affiliated with GUVNL have been directed to levy fuel surcharge of Rs 1.71/unit for the period from October to December. Discoms do not require Gujarat Electricity Regulatory Commission (GERC) approval to raise fuel surcharge up to 10 paise per unit. However, for the remaining 13 paise of the total 23 paise per unit increase, GUVNL will have to wait for GERC nod.

“GUVNL’s power purchase cost increased from Rs 4.33 to Rs 4.51 per unit in July to September quarter, which resulted into higher fuel surcharge,” said KK Bajaj, a city-based energy and regulatory expert. Read More

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