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Modest hike in power tariff but fixed charges may pinch

Hitavada 2018-09-13 09:50:17


Staff Reporter

MAHARASHTRA Electricity Regulatory Commission (MERC) has gone for modest upward revision in power tariff for consumers but at the same time approved MSEDCL’s demand to levy fixedcharges. The same to be increased gradually to ensure the total power bill does not reflect sudden rise. The new tariff will be effective from September 1, 2018.

Announcing the new tariff at a press conference in Mumbai, MERC’s Chairman Anand Kulkarni said that for household category in 0-100 units category, the increase is from current Rs 5.07 to Rs 5.31 and in 101-300 slab it is from current Rs 8.74 to Rs 8.95. Justifying the levying of fixed charges, the Commission felt that iti s not going to increase tariff burdenon consumers anditisa means torecover part of fixed cost incurred by the company.

Similarly, they also under lineda fact that through fixed charges the company claims to be recovering only 18 percent of total cost so that way its been allowed. In the agriculture sector also the MERC has increase tariff from current Rs 3.35/unit to Rs 3.55/unit. MSEDCL has filed mid-term review petition seeking hike in power rates to recover the shortfall in revenue during the next two years period.After completing the hearing across the State,MERC finalised the new rates and announced thesame on Wednesday.

For HT also there is not much increase as for MSEDCL consumers it is from old Rs 8.04 to Rs 8.20. However, in case of Adani, the tariff has been brought down from prevailing Rs 10.07 to Rs 9.37.The HT (Commercial) rate for Adani is from Rs 10.76 to Rs 10.05 but increase for Mahavitaran consumers from Rs 13.47 to Rs 13.80. In the LT category the rates for Adani is maintained as it is at Rs 9.37 but again for MSEDCL consumer there is a increase from Rs 7.83 to Rs 8.25. Special tariff for electric vehicles Agreeing in toto with MSEDCL, the MERC has maintained Rs 6/unit for electric charging stations.

This is meant to encourage switch to electric vehicles in State. The fixed charge will be Rs 70/KVA. MERC, however, has not approved the proposal for rebate to be offered to HT units for consumption beyond the threshold limit. It was observed that offering such incentive during mid-term review process is ill advised and directed MSEDCL to come up with better proposal during next review. Also one more proposal regarding creation of new sub-category for consumers to attract new industry also has been turned down by the Commission with an observation that it would be discriminatory in nature.