New Delhi: The prices of petrol may have been slashed by the Government but for Delhiites, the season to rejoice is yet to come.
The Supreme Court has rejected Delhi Electricity Regulatory Commission's (DERC) petition challenging the tribunal order, which fixed the rate of depreciation of power companies at 6.69 per cent as that against of 3.75 per cent declared by DERC.
The Apex Court says the higher rate is to provide quick replacement of the equipment and also stated that the historical method of fixed depreciation should give way to replacement method.
After privatisation, distribution work was given to the private companies and it was their job to plant poles and other equipment across the city.
In a span of four years the depreciation difference amount is over Rs 300 crore. SC says that there are two possible ways of recovering this amount - either the Delhi government should pay it or it can be recovered by hiking tariffs.
Comments
0 comment