Whalesbook
APTEL Orders Immediate Payout of ₹38,552 Crore Power Assets
The Appellate Tribunal for Electricity (APTEL) has ordered the Delhi Electricity Regulatory Commission (DERC) to begin paying out ₹38,552 crore in regulatory assets right away. APTEL denied DERC's request for a three-month extension, citing DERC's delays as unacceptable and costly for consumers.
Supreme Court Mandate and DERC's Delays Explained
Regulatory assets are essentially money that power companies must recover from consumers to cover revenue shortfalls. The Supreme Court, in a ruling on August 6, 2025, stated these assets, plus interest, must be paid to Delhi's private electricity distributors (Discoms) within three years. APTEL warned that DERC's ongoing delays are increasing the amount of these assets, making electricity more expensive for Delhi's residents. The tribunal stated DERC's behavior was "malafide" and lacked any valid reason for further delay.
New Audit Process Ordered
APTEL also rejected DERC's proposal to have the Comptroller and Auditor General (CAG) audit Delhi's power companies. While the Supreme Court did call for a thorough audit, APTEL noted it did not name the CAG as the only option. Instead, APTEL has instructed DERC to hire a chartered accountant within a week. This accountant will conduct a strict audit, following the Supreme Court's original instructions for recovering regulatory assets.