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Telangana

Telangana scraps extra charges for power line extensions for homes, farmers

ERC reform ends distance-based payments for new electricity connections; fixed, load-based charges to apply from Thursday

Express News Service

HYDERABAD: In a relief to domestic consumers and farmers, the Telangana Electricity Regulatory Commission has introduced a major reform in the release of electricity connections, doing away with additional charges levied for extending power lines.

The state government issued a gazette notification to this effect on Wednesday. Earlier, applicants were required to pay for line extensions from the nearest electrified point to their premises, with costs varying depending on distance and infrastructure needs such as poles and cables. Under the revised system, consumers will no longer have to make such extra payments. The new guidelines will come into force on Thursday.

As per the revised rules, farmers will be charged `1,000 per kW or part thereof of the contracted load as service line charges. No outright contribution (ORC) will be collected from farmers.

The notification stated that the amendments were aimed at simplifying and speeding up the release of low-tension (LT) service connections and additional loads in electrified areas. It added that the Commission, based on stakeholder requests, introduced uniform, objective and load-based service line charges, removing the need for site inspections and case-by-case cost estimates.

For new LT connections or additional load, other than temporary supply and electrification of layouts, through overhead lines within a one-km radius of the electrified network, the revised service line charges will apply, even if extension of lines from existing distribution mains is required.

Until now, Discoms were collecting additional amounts if there were no nearby lines or substations. Under the new system, fixed charges will be levied irrespective of the availability of infrastructure. For apartments, commercial complexes and multi-storeyed buildings, the combined contracted load will be considered while levying service line charges.

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