HC Stays CERC Demand Notices To Discoms To Pay Rs 179 cr
The Telangana High Court on Thursday stayed the demand notices issued by the Central Electricity Regulatory Commission (CERC) to the two power distribution companies (discoms) to pay Rs 179 crore for the deficit and losses during the transmission and deviation settlement mechanism (DSM).
Hyderabad:The Telangana High Court on Thursday stayed the demand notices issued by the Central Electricity Regulatory Commission (CERC) to the two power distribution companies (discoms) to pay Rs 179 crore for the deficit and losses during the transmission and deviation settlement mechanism (DSM).
The discoms ahd approached the High Court challenging the notices issued by the National Load Dispatch Centre. N. Sridhar Reddy, counsel for the discoms, argued that the regulatory rules came into force from September 16 of last year and it was not proper to ask for the payment of dues before the rules came into force.
He said that the dues of the northern states were `190 crore, out of which the CERC ordered the payment of Rs 170 crore. He said that the state was ready to pay the actual charges for fluctuations during the supply. However, it was not right to put the burden of other states on the Telangana discoms. The court stayed the notices and adjourned the matter for three weeks.