Legal recourse on power tariff hike threatened

Consumers Association of Bangladesh (CAB) will move to the court if the Bangladesh Energy Regulatory Commission (BERC) fails to respond to its call to cancel its order of electricity tariff hike in next 10 days, reports UNB. “We urge the BERC to cancel its tariff order or reduce the tariff within 10 days. Otherwise, we'll move to the court”, said CAB Adviser Prof M Shamsul Alam while addressing a press conference at Dhaka Reporters Unity (DRU) on Sunday.

He brought allegation against the energy regulator for making its order without any justification. BERC held public hearing on the government companies' power tariff enhancement proposals from September 25 to October 5 last year and announced its order on November 23 raising power tariff on an average of 5 per cent with effect from December 1. “BERC did not take the CAB-presented data and other information on power sector while making its decision. So, the decision-making process was faulty and illegal,” said CAB President Golam Rahman, also a former chairman of BERC and Anti-Corruption Commission.

Prof M Shamsul Alam said the BERC order on tariff rise was not a fair and justified one as the companies failed to show proper reasons and justifications in support of their proposals.

He said the BERC should have rejected their proposals keeping the tariff rate unchanged. “They can't enhance the tariff. If needed, BERC can seek the government's subsidy to recover any loss. But they didn't follow the process”, he said.

He also said that the government actually provides loans to power sector, not any subsidy and the consumers have to bear the cost to pay the loan and its growing interest.

 

Legal recourse on power tariff hike threatened

Consumers Association of Bangladesh (CAB) will move to the court if the Bangladesh Energy Regulatory Commission (BERC) fails to respond to its call to cancel its order of electricity tariff hike in next 10 days, reports UNB. We urge the BERC to cancel its tariff order or reduce the tariff within 10 days. Otherwise, well move to the court, said CAB Adviser Prof M Shamsul Alam while addressing a press conference at Dhaka Reporters Unity (DRU) on Sunday. He brought allegation against the energy regulator for making its order without any justification. BERC held public hearing on the government companies power tariff enhancement proposals from September 25 to October 5 last year and announced its order on November 23 raising power tariff on an average of 5 per cent with effect from December 1. BERC did not take the CAB-presented data and other information on power sector while making its decision. So, the decision-making process was faulty and illegal, said CAB President Golam Rahman, also a former chairman of BERC and Anti-Corruption Commission. Prof M Shamsul Alam said the BERC order on tariff rise was not a fair and justified one as the companies failed to show proper reasons and justifications in support of their proposals. He said the BERC should have rejected their proposals keeping the tariff rate unchanged. They cant enhance the tariff. If needed, BERC can seek the governments subsidy to recover any loss. But they didnt follow the process, he said. He also said that the government actually provides loans to power sector, not any subsidy and the consumers have to bear the cost to pay the loan and its growing interest.