RAB-BASED RECOMMENDATION BY GST COUNCIL

The GST Council has recommended the use of RAB-based mechanism for determining power tariffs.

RAB-based mechanism is based on the value of assets used in the generation and supply of electricity.

This move is expected to bring transparency and efficiency in the power sector.

The RAB-based mechanism will help in reducing the cost of power generation and supply.

It will also help in attracting more investments in the power sector.

The RAB-based mechanism will be implemented in a phased manner.

The GST Council has also recommended the use of RAB-based mechanism for determining tariffs for gas pipelines.