Fixed charge burden Rs 1,500 cr
Power consumers are paying approximately Rs 1.05 per unit extra due to the faulty power purchase agreements (PPAs) signed by the state in the name of making Punjab a “power-surplus state”.
This is over and above the separate taxes and cess paid by consumers on power consumed. The Punjab State Power Corporation Limited (PSPCL) has been paying fixed costs to independent power producers (IPPs) despite its failure to draw optimum electricity from them. Till date, it has paid roughly over Rs 5,500 crore in the past over six years as per PPAs with the IPPs.
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