Rise in fuel prices pushes PSPCL's power purchase cost for Q1 FY12

Change in the fuel cost of central generating stations operated by NTPC and National Power Corporation (NPC) has led to an increase in the power purchase cost (PPC) of Punjab State Power Corporation Limited (PSPCL) for the first quarter (Q1) of the ongoing fiscal.

The power utility has now petitioned the Punjab State Regulatory Electricity Commission (PSERC) and has proposed that this additional expenditure, amounting to Rs 17.47 crore, be adjusted through a fuel cost adjustment (FCA) surcharge.
 8Pertinently, during the quarter period, PSPCL incurred a total cost of Rs 389.97 crore for purchase of 1,909.29 million units (MUs) of power from NTPC and NPC stations, as against Rs 372.50 crore approved by the commission.
 
Additionally, PSPCL has incurred an additional expenditure of Rs 40.8 crore owing to an increase in fuel cost of its own thermal generation, which it has now sought to be adjusted through the FCA surcharge. Notably, the commission had approved Rs 799.6 crore as fuel cost for PSPCL for Q1 FY 2011-12.