In Bengaluru, Bescom seeks average ₹1.96/unit hike in tariff

Consumers serviced by the Bangalore Electricity Supply Company (Bescom) many have to brace for a shock as the power utility has sought a massive ₹1.96/unit hike in tariff for the coming financial year. Bescom has filed its tariff petition with the Karnataka Electricity Regulatory Commission (KERC).

Last year, the commission had allowed a 33 paise per unit increase across all electricity supply companies (Escoms) against the different hikes that the five Escoms had sought ranging from ₹1 to ₹1.67 per unit.

Justifying the steep hike, Bescom officials cited a revenue deficit of ₹5,872.08 for the financial year 2020-21. “The ₹1.96 hike is not going to be a burden on all consumers. We are asking the government to make up for most of the deficit by increasing the subsidy for irrigation pump (IP) sets by ₹3,” explained an official.

According to the tariff petition, the existing tariff for IP sets is ₹3.90 per unit while the proposed tariff is ₹6.90.

Domestic consumers coming under Bruhat Bengaluru Mahanagara Palike (BBMP), municipal corporations and urban local bodies will be impacted based on which slab of consumption they fall under.

According to the tariff document, domestic consumers with installations up to 1 KW will see a 9.03% increase in their monthly bill for the first 50 units – from ₹277 to ₹302. For consumption of 100 units, the increase will be 4.66% – from ₹537 to ₹562.

Those with 3 KW installations and higher consumption will see over 12% increase in their electricity bills under the proposed tariff. For consumption of 200 units, the bill will shoot up from ₹1,352 to ₹1,527 due to a 12.94% increase.

For 300 units, the bill will increase by 12.90% from ₹2,132 to ₹2,407, and for 400 units, from ₹2,912 to ₹3,287 due to a 12.88% increase.

Fixed charge hike

What has riled consumers further is the hike sought in fixed charges per month from ₹60 to ₹85 for the first KW, and from ₹70 to ₹95 for additional KW.

Y.G. Muralidharan from Consumer Rights Education and Awareness Trust (CREAT) said Bescom has only been increasing tariff without improving its services. “The fixed cost hike definitely has to be opposed. There has been no improvement in infrastructure. They should be nothing more than the power purchase cost, and they are asking for too much this time,” he said.

This article is closed for comments.
Please Email the Editor

Printable version | Nov 26, 2020 1:16:10 PM |

Next Story