New Delhi: The Union Cabinet is likely to approve the new power tariff policy next week that is aimed at boosting regulatory mechanism for discoms and encouraging faster roll out of investments in the sector with focus on renewable energy, sources said.
“Union Cabinet will consider and approve the proposed electricity tariff policy by the Power Ministry in its meeting to be held next week,” said a source.
The central government had approved in 2006 the Tariff Policy under the provisions of Electricity Act, 2003. The Power Ministry is now in the process of getting approval from the Cabinet for a new electricity tariff policy.
Power Minister Piyush Goyal had earlier said, “the policy will reflect a concern to environment and encourage renewable energy. It will encourage faster roll out of investment in the sector”.
Besides, it will strengthen the regulatory mechanism so that discoms become more efficient and conscious towards their duties to consumers, he had said.
The minister had indicated that the new tariff policy will give a big push to electricity generated from renewable energy sources and address concerns related to the environment.
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