Telangana: Increase in power tariff on the anvil

Hyderabad: The increase in power tariff is on the cards in the Telangana state. The state’s Power distribution companies (DISCOMS) have submitted their proposals regarding increase in retail supply tariff to the Telangana State Electricity Regulatory Commission (TSERC). The proposals include an increase in tariff for household and industrial consumers.

According to information DISCOMS suggested 50 paisa increase per unit for household consumers and Rs.1 for the industrial consumers. These companies have apprised the TSERC about the losses incurred by them during the past years.

The power tariff, according to DISCOMS, is being revised after a gap of five years to enable them to overcome the losses.

With the proposed increase in power tariff, the DISCOMS are trying to generate an additional revenue of Rs.6,831 crore, including Rs.2,110 crore from light industrial consumers and Rs.4,721 crore from the heavy industrial consumers.

The increase in revenue proposed by DISCOMS is expected to help them to offset the losses of Rs.10,928 crore as per the proposal submitted on Monday by the Chairman and Managing Director of Southern Discom G. Raghuma Reddy and CMD of Northern Discom A. Gopal Rao to the TSERC.

The DISCOMS are planning to offset the remaining deficit of Rs.4,097 crore by taking steps such as reducing line losses, stopping pilferage and seeking support from the State government.

The DISCOMS and the ERC clearly stated that an increase in tariff is necessary this time as the tariff was last revised in 2017-18.

There are 1.10 crore domestic consumers in the state. The state’s Farmers shall continue to get the free electricity. The poor belonging to SC/ST categories shall continue to get 101 unit free electricity per month.

Similarly the hair cutting salons and laundries in the state will continue to get 250 units of free electricity every month.