TNERC approves proposal to hike power tariff in Tamil Nadu

100-unit free power to continue; C4.5/unit for homes; one meter for one house; C8/unit for common light, motor, lift & swimming pool
There has been no hike in power tariff in the State for the last five years. (Representational image)
There has been no hike in power tariff in the State for the last five years. (Representational image)

CHENNAI: After eight years, amid strong opposition, a new power tariff has come into effect in the State as the Tamil Nadu Electricity Regulatory Commission (TNERC) has accepted the Tangedco’s tariff hike proposal on Saturday.

The commission has also approved the proposal to increase tariff by 6% every year from July 1 2023-24 till 2026-27 based on inflation for all type of power consumers in the State. According to the new tariff, Rs 4.50 will be charged per unit (up to 400 units) without subsidy for domestic consumers. The 100-unit free power for all domestic consumers, however, will continue.

Free power for huts, farmers, powerlooms and handlooms will also continue, a press release issued by the State power utility said. A separate tariff of LT tariff-1D (Rs 8 per unit) has been introduced for common lighting, lift, water supply, and garden in residential complexes. The common tariff will also cover gym, swimming pools, sewage treatment plant, water treatment plant, and fire hydrant systems in residential complexes and apartments.

The TNERC has also approved the withdrawal of fixed charges of Rs 20 to Rs 50 bimonthly for domestic consumers to benefit more than 2.37 crore consumers. As per Tangeco proposal approved by the TNERC, every house, residence, or premises should be given only one service connection. If there are more than one service connections in a single property, it has to be merged into a single service under LT-1A (Rs 4.50).

Notice must be served to consumers within a period of two weeks from the date of the order to merge the services. If consumers do not come forward to get the services merged, then such additional connections should be charged under tariff LT-1D (`8 per unit).

While Tangedco wanted a ‘dwelling unit’ to be defined as a facility with living, cooking, and sanitary facility under the Tamil Nadu Combined Development and Building Rules 2019, the TNERC has said the condition of separate sanitary facility may not be practical as there are many row houses with common sanitary facility.

100 EV charging stations on highways

Defining ‘dwelling unit’ as a facility with living, cooking, and sanitary facility will affect several consumers in rural and socially backward areas where there are not enough sanitary facilities. Moreover, to collect fixed charges (Rs 450) for additional connections, Tangedco has proposed that additional connections will be permitted only if they are rented or leased out to different families. But TNERC said,

“Many stakeholders expressed anguish that many multi-floor buildings are partitioned on each floor between brothers, sisters, father-son or any other combination of the same family without a scope for rental agreement within families.”

Therefore, the commission said, “In such cases where additional connections were obtained with proper physical segregation, it is not reasonable to impose fixed charges of Rs 450. Therefore, the commission is of the view that wherever the additional connection is effected with due fulfilment of the provisions of the TN Electricity Distribution Code 2004, for same families having separate family cards, the fixed charges need not be imposed.”

Tariff for EVs
Domestic consumers can charge their EVs in their homes and for vehicles that are not for own use, public charging stations will be allowed to operate under slabbased HT tariff.

“In the first phase, Tangedco will set up 100 EV charging stations on highways. Tenders would be floated for this soon,” a senior official told TNIE. The official also added that TN electrical vehicle policy 2019 envisages charging stations to be set up every 25km along highways and roads.

6% annual tariff hike
The commission has also approved the proposal to increase tariff by 6% every year from July 1 2023-24 till 2026-27

Related Stories

No stories found.

X
The New Indian Express
www.newindianexpress.com