Power tariff in Tamil Nadu lower compared to 18 states

State offers first 100 units for free while Rajasthan charges Rs 935
BESCOM
BESCOM
Updated on
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CHENNAI: A comparison of power tariffs across the country shows that 18 states charge consumers higher than Tamil Nadu, even after the recent tariff increase.According to data accessed by TNIE, in Rajasthan, consumers have to pay Rs 935 for the first 100 units and Rs 1,583 for 200 units. But the first 100 units are free in TN and it is only Rs 225 for 200 units.

Similarly, Maharashtra collects Rs 7,160 for 750 units from power loom weavers and Rs 7,058 in Uttar Pradesh under the Low Tension (LT) service, while there are no charges in TN in this slab. But consumers have been blaming the Tamil Nadu Generation and Distribution (Tangedco) for not analysing anomalies in a few slabs.

Electricity Minister V Senthil Balaji said, “Before preparing the tariff proposal, I discussed it with officials and compared other states. We submitted the proposal to the regulatory commission only after that. Many states are collecting peak-hour charges and TN is not the first one to do it.”

The minister pointed out that the power utility had no other option, and there was pressure from the Union government. Nevertheless, the State government agreed to provide an additional subsidy of Rs 4,000 crore to the power utility.

K Kathirmathiyon, secretary, Coimbatore Consumer Cause, told TNIE that Tangedco’s retail tariff was acceptable. He had not been criticising the new tariff that was very low compared to other states.“If the tariff was increased gradually every year, consumers would not have felt this heat. Besides, Tamgedco could have avoided this huge loss,” he added.

He added that as per the new tariff that came into effect on September 10, the power utility introduced a new service LT 1D for common supply such as lighting, lift, gardening and so on, and collected Rs 8 when there were no commercial activities. Despite requesting the regulatory commission, it failed to consider consumers’ grievances.

Although the tariff was realistic, he said the power utility should focus on reducing revenue gaps and operating profitably.Kasthurirangan, chairman of the Indian Wind Power Association, told TNIE that though the tariff was low, Tangedco increased wheeling charges (network charges), demand charges, and peak hour charges up to 200%.

Many industries are enthusiastic about running their businesses in Tamil Nadu because of affordable electricity charges. But now, the situation has turned around after the implementation of the new tariff. “The Tamil Nadu government has to understand the ground reality,” he added.

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