4.23     Petition to be in Hindi

4.23.1  A number of objectors suggested that Madhya Pradesh being a Hindi speaking State, the Tariff Petition should be in Hindi.

4.23.2  The Commission directs the Board to ensure submission of the Tariff Petition in future, also in Hindi.

5.         ANALYSIS OF BOARD’S PROPOSAL

5.1       Sale of Energy

In the absence of Board’s audited accounts and necessary data in this regard, the passing of tariff order is like shooting an arrow in the dark. Item wise sale of energy as given by the Board in its petition and the revised information was scrutinised. The Commission found that figures of sale of energy against SLP connections and agriculture consumers need revision. Consumption estimate for X-ray plants and electric crematoria are not available but these categories do not have any significant bearing on the total revenue as their consumption is only nominal. However, computation of revenue for several categories such as domestic, LT industry, HT, grid tariff and slab tariff etc. can only be approximate as consumption against each tariff sub-class within the same tariff category is not available with the Board.

5.1.1    SLP Connections

5.1.1.1 The data for 1999-2000 supplied by the Board shows a consumption of 23 kWh per month for SLP connections. A single light point consumer permitted to use a 40 watt lamp, would normally consume about 10 units per month, if the lamp is used for about 8 hrs per day.

5.1.1.2 A study made by the Board for SLP connections in Indore, Bhopal and Ujjain regions showed the consumption to be very high. It  varied from 25 to 460 units per month,  indicating gross misuse of unmetered energy.

5.1.1.3 The Government of Madhya Pradesh has withdrawn the facility of free electricity to SLP consumers from January 2001 except for SC/ST consumers below poverty line who are entitled to free electricity upto 20 units per month for which the State Government shall provide subsidy. The total number of such SC/ST SLP consumers is estimated as about 2,50,000 and remaining SLP consumers would be treated as domestic consumers. Accordingly the consumption of electricity in case of above SC/ST consumers (2,50,000) is assessed at 20 units per month per connection. The balance 17,05,435 SLP consumers as estimated by the Board are assessed at 60 units per month per connection.

5.1.2    Agricultural Consumption and Load Factor

5.1.2.1 The number of agricultural consumers in Madhya Pradesh State in the year 2001-02 is estimated to be 12,28,772 of which only 1838 are metered. Studies were carried out for assessing consumption of the agricultural consumers.

(i)            Study by the Board of 128 metered connections in Indore, Ujjain, Bhopal, Rewa, Jabalpur and Gwalior regions, showed average monthly consumption varying from 98.2 kWh/HP/month to 165.53 kWh/HP/month.

(ii)           Another study by the Board based on cropwise number of waterings / number of running hours of pumpsets of unmetered consumers in seven regions, showed that there is wide variation in consumption ranging from 14.68 kWh / HP / month for Sagar region to 220.36 kWh/HP/month for Indore region.

(iii)          Study through Consultant in Indore region revealed that the average consumption was only 130.77 kWh / HP / month.

The studies also took into consideration the reports from Uttar Pradesh and that of M/s DESCON in this regard.

5.1.2.2 It was found during the study that a number of pumpsets were utilised for providing drinking water. Since there is no separate tariff for pumpsets providing drinking water, the assessed hours for drinking water were added by the Board to the hours of irrigation arrived at on crop-wise basis, but such use of water, being commercial, cannot be taken to be for agriculture use.

DESCON report has assumed that on each pumpset 2 nos. of 100 watt bulbs are used for lighting purpose. As such lighting consumption per connection has been assessed on the basis of 25 units per month for 6 months. This assessment based on adhoc assumption is not acceptable to the Commission.

Use of power from agriculture connection for operation of thresher, etc. has been assumed for agriculture purpose.

The consumption per HP per month from different studies works out as follows:

Board’s study                                                                 79.46 units / HP / month

(average for 7 regions)

Consultants study for Indore and Ujjain regions                89.59 units / HP / month

The studies done by the Board and Commission’s consultants indicate that, there are large variations in the usage of irrigation pumps in different regions of the State. The reason for high usage in Indore, Gwalior and Ujjain appears to be selection of pumps near these large cities where power availability is better, as they are being fed from town feeders and also selection of cultivators taking cash crops. A statement showing the region wise study done by Board alongwith the verification done by consultant for Indore and Ujjain regions is given at Annexure IV.

In Indore, Board’s study shows an average consumption of 220.36 units / HP / month, which is very abnormal and unreasonable and which means that a pump runs for approximately 10 hrs per day for all the 365 days a year, which is practically not possible. Consultants study of Indore region shows an average consumption of 130.77 units/HP/moth which the Commission accepts. By only modifying Board’s figure of Indore region, the Load Factor (LF) for the State for the year 2000-01 works out to 11.77% (say 12%). This LF has been taken for 2000-01. Based on this LF, the agriculture consumption for the year 2000-01 works out to 3640.33 MUs as against 4247.05 MUs indicated by the Board. This will affect overall T&D loss for 2000-01.

5.1.2.3 The Average Load Factor for 2001-02

The Board has assumed the LF for agriculture consumers as 14% for 2000-01 whereas, as per sample studies and counter checks by the consultants, it hardly comes to 12%, that too with liberal approach and because of non-availability of authentic data of sample studies. The Board, for the year 2001-02, has assumed the LF of 18% whereas in para 13-A(iii) of the petition, the Board has indicated that for a 4 HP pumpset, the consumption during kharif crop would be 1000 units and for Rabi crop 3000 units. This means a LF of 15.3%. Considering the LF of 12% for 2000-01 and Board’s own submission as above, the Commission has considered the LF for 2001-02 as 15%, which means that correctly assessed agriculture consumption projected for this year shall be 4659.00 MUs and not 5590.70 MUs as indicated by the Board.

5.1.2.4 The correct assessment of agricultural consumption is important on account of its very significant weightage in the total energy use in the State. The flow of required amount of energy to the agricultural sector has also to be ensured in view of the importance of this sector to the State’s economy. It is, therefore, necessary that the power flowing to this sector is correctly measured and plans for future requirements are based upon realistic measurement of energy consumption in the agricultural sector.

The Government of Madhya Pradesh has declared the policy of providing meters on all un-metered connections including agriculture. The Commission directs that all unmetered agriculture connections be metered within 3 years from the date of this order and that no new connection shall be given to any consumers without the meter. Progress of metering be submitted to the Commission on quarterly basis.
 

It is also directed that for the correct assessment of existing agriculture consumption, the following action be taken by the Board.

(i)                Meters installed for sample studies be changed to electronic meters and be continued so as to cover the consumption of the whole year and also to give realistic pattern of cropwise consumption.

(ii)              All further meters installed for sample studies should also be electronic meters.

(iii)            The selection of agriculture consumers for sample studies shall be such that for every region it represents different types of consumers (large, medium and small on open wells, tube wells, perennial sources like river / nallah, etc.), different cropping patterns and the number of crops, in proportion to total number of consumers of the aforesaid nature.

The results of the above sample studies would provide the basis for deciding Load Factor (LF) for 2002-03.