Proposal to hike power tariff leaves consumers fuming

February 07, 2015 01:09 pm | Updated November 16, 2021 05:18 pm IST - Bengaluru

File Photo: Bhagya Prakash K.

File Photo: Bhagya Prakash K.

Bangalore Electricity Supply Company’s (Bescom) proposal seeking tariff hike by 80 paise per unit across all categories have left consumers fuming, especially after the power utility announced that its operation has been profitable for the past two years.

Bracing up to a possible round of shock this summer, as the new tariff is expected to be enforced in April, power consumers on Friday asked: “After Bescom has posted profits for the last two years, why is it asking the consumers to pay more?”

While Karnataka Electricity Regulatory Commission (KERC) approved a 32-paise hike in tariff last year, it is expected to announce this round of tariff hike that will be enforced in April after consultation on Bescom’s proposal of 80 paise.

During a year when all the electricity supply companies in the State have sought a hike in tariff by 80 paise per unit across all categories, consumers, consumer rights activists and farmers voiced strong opposition to the proposed hike during the public hearing organised here on Friday by the KERC.

This, soon after Bescom Managing Director Pankaj Kumar Pandey announced that it had posted a profit of Rs. 54 crore in 2013 -2014. While stating that it was expected to post a profit this year as well, he also said: “But we incurred a loss of Rs. 350 crore in 2012-13.”

“The neighbouring States are supplying electricity to consumers at a lower price. Then why can’t it be done here?” asked Giri, one of the participants from Anekal. Other consumers asked why they were being burdened with another hike in tariff. Only last year, the KERC had approved a tariff hike of 32 paise per unit.

However, Mr. Pandey argued that though the tariff had been hiked by 170 paise/unit during 2009-08 to 2014-15, the actual realisation was only 102 paise/unit.

Bescom has cited consumers leaving the grid is claimed to be one of the reasons for loss of revenue totalling Rs. 184 crore.

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