BENGALURU: After a gap of 15 years, the Karnataka Electricity Regulatory Commission (KERC) on Wednesday reduced the power tariff by 110 paise per unit for 2024- 25. This is against the proposed hike by electric supply companies (Escoms) of 49-163 paise per unit.
With this, domestic consumers will pay Rs 5.90 per unit instead of Rs 7 from April 1. There will be no changes for those getting zero bills under the Gruha Jyothi scheme.
The KERC order, which was released on its website on Wednesday, stated, “LT domestic lighting energy charges reduced by 110 paise per unit for consumption above 100 units.”
The last time the tariff was reduced was in 2008 when KERC cut it by 50 paise. For 2023- 24, KERC had increased the power tariff by 70 paise per unit.
KERC stated that energy charges for HT commercial consumers too have been reduced by 125 paise per unit and demand charges by Rs 10 per KVA. For HT industrial consumers, the tariff has been reduced by 50 paise per unit and demand charges by Rs 10 per KVA.
The Bangalore Electricity Supply Company Limited (Bescom) too released an order on Wednesday, stating that there will be zero charges for March under the fuel and power purchase cost adjustment (first amendment) regulations.
An energy department official explained that the reduction in power tariff is not because of the upcoming Lok Sabha elections. It is because of the heavy financial burden the state government is bearing in view of its free power scheme.
He said that in Bescom limits, the government is paying a subsidy of Rs 7 per unit, which is the same rate charged to the consumer. This subsidy burden was too high for the government and that was the reason the tariff was reduced, he added.
As per energy department records, 1,67,14,045 consumers are availing benefits under the Gruha Jyothi scheme. Of them, 69,30,742 are in Bescom limits.
As per KERC orders, the peak hours are from 6 am to 9 am and 6 pm to 10 pm. To encourage use of electric vehicles, energy charges for EV charging stations continues to be at a reduced tariff of Rs 4.50 per unit. To promote the purchase and use of energy from renewable sources, KERC announced the green tariff of 50 paise per unit over and above the applicable tariff to HT consumers.
Reacting to the revision in tariff, MG Prabhakar, energy expert, said, “It’s a rationalised and reasoned order. With this order, a consumer who had applied for a prepaid meters will now have to pay a security deposit of one month instead of two months. The special incentive scheme will give fillip to the industrial sector and will help in its growth.”
FKCCI president Ramesh Chandra Lahoti said, “The reduction in energy charges, especially for industrial and commercial categories, is a welcome move. FKCCI also appreciates KERC for reducing the burden on industrial and commercial sectors by disallowing Karnataka Power Transmission Corporation Limited’s (KPTCL) claim for Rs 1,486.23 crore towards the government’s portion of pension and gratuity.”