Power tariff hike inevitable, hint Telangana Ministers

The increased cost of coal means an additional burden of Rs 725 crore on Discoms every year, the Ministers said.

Published: 15th December 2021 09:16 AM  |   Last Updated: 15th December 2021 09:16 AM   |  A+A-


Representational Image

By Express News Service

HYDERABAD: Finance Minister T Harish Rao and Energy Minister G Jagadish Reddy, who reviewed the financial position of the Discoms, dropped enough hints on Tuesday that a power tariff hike was inevitable. 

They reinforced the hints by saying that the hike of the green energy cess from Rs 50 per tonne of coal to Rs 400 per tonne has imposed an additional burden of Rs 7,200 crore on the State government in the last seven years.

The increased cost means an additional burden of Rs 725 crore on Discoms every year, the Ministers said. They made it clear that the Discoms were facing losses and the State government was paying Rs 18,167 as subsidy every year for each agriculture connection. The coal transport charges have increased by 40 per cent. Moreover, due to the impact of the Covid-19, the officials could not collect Rs 4,374 crore revenue, the Ministers said.

The observations of the Ministers over the last two days does indicate a power tariff hike.  Incidentally, the Discoms are yet to file the tariff proposals with TSERC, despite the deadline passing by.


Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on are those of the comment writers alone. They do not represent the views or opinions of or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp