Fri Dec 27 21:50:00 UTC 2024: ## Delhi Electricity Bills to Drop Significantly After PPAC Slash

**New Delhi, December 28, 2024** – Delhi residents can expect a significant reduction in their electricity bills following a dramatic cut in Power Purchase Adjustment Charges (PPAC). The Delhi Electricity Regulatory Commission (DERC) has slashed PPAC by over 50%, resulting in a 20-25% decrease in consumer bills, according to officials.

The revised PPAC for December stands at 20.52% for Tata Power Delhi Distribution Limited (TPDDL), 13.63% for BSES Yamuna Power Limited (BYPL), and 18.19% for BSES Rajdhani Power Limited (BRPL). These figures represent a substantial decrease from September’s rates, which were significantly higher for all three distributors.

Delhi Chief Minister Atishi attributed the reduction to the government’s “honest politics and robust demand supply chain management.” However, BJP Delhi unit president Virendra Sachdeva claimed the reduction was a result of BJP protests and the intervention of Lieutenant Governor V K Saxena, urging the AAP government to replicate the success in BJP-governed states.

The PPAC, a surcharge added to electricity bills to compensate for fluctuating power procurement costs, had increased in recent years due to factors such as higher fuel prices, increased demand during summer, and a temporary increase in the proportion of expensive imported coal. The reduction, officials stated, is partially due to decreased demand during winter and a return to the original imported coal blending proportion. The DERC’s order for BRPL and BYPL applies only to the second quarter of FY24-25, while TPDDL’s revised PPAC is pending.

Consumer groups have welcomed the reduction, citing significant relief for Delhi’s residents, particularly the middle class. However, debate continues over the credit for the PPAC decrease, with both the AAP and BJP claiming responsibility.

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