The Bangalore Electricity Supply Company’s (Bescom) experimental “telescopic tariffs”, under which three additional slabs were created for domestic consumers in urban areas, appears to have paid off.
With the Karnataka Electricity Regulatory Commission (KERC) giving its nod, Bescom’s decision to introduce the slabs, through which the utility was allowed to charge consumers more after they crossed one set of units, is said to have contributed to reducing the revenue gap for Bescom. As a result, the slabs will continue the coming tariff year too.
R.C. Chetan, Director (finance), Bescom, said 82 paise hike sought for 2018-19 would be sufficient to bridge the gap in expenditure and cost. “Last year, we also had emergency power purchase (owing to breakdown of the Sharavathi Hydro Power Station) but there was no such thing this time,” he said.
However, its plans to seek different tariffs for its consumers has been put off for a year. Dr. Chetan said the five-year duration of the tariff year would end in 2017, which is why they would pitch the new proposal the next filing year.
Among Bescom’s reasons for the need to have a separate tariff from the other four electricity supply companies (Escoms) was the difference in the consumer base.
Officials had pointed out that while around 60% of electricity supplied by other Escoms go to irrigation pump (IP) sets, this quantum is only 20% for Bescom and the remaining 80% is metered consumers. They also pointed to the high power purchase costs and the large number of industries that Bescom caters to.
