Soon after assuming office, Chief Minister Jayalalithaa made good one of her key promises made during the election campaign—provision of 100 units of power for all domestic consumers in the State.
It is estimated that the State government would have to pay an additional subsidy of Rs. 1,609 crore to Tangedco.
While 78.55 lakh consumers would not have to pay any electricity bill at all under the scheme, 55.36 lakh consumers in the 200-units slab would make a saving of Rs. 150 in the bimonthly bill; those falling in the 201-500 units slab numbering 49.66 lakh would save Rs. 200 and more than 7.30 lakh consumers consuming above 500 units would save about Rs. 350.
For instance, if a consumer has used 201 units, as per the old rates, the electricity charge would be Rs. 433 (200 units x Rs. 2 + 1 unit x Rs. 3 + Rs. 30 fixed charge). However, now, he has to pay only Rs. 233 for 101 units (100 units x Rs. 2 + 1 unit x Rs. 3 + Rs. 30 fixed charge). Similarly, if a consumer uses 501 units bimonthly, his bill as per old tariff would be Rs. 2,136.60; but now, he has to pay Rs. 1,786.60 for 401 units after deducting 100 free units (100 units x Rs. 3.50 + 300 units x Rs. 4.60 + 1 unit x Rs. 6.60 + Rs. 50 fixed charge).
The Chief Minister also signed an order providing 200 units of free electricity to handloom weavers and 750 units of power for powerloom weavers.
