Domestic tariff slabs reduced from 4 to 2 for Bescom consumers  

To rationalise and simplify tariffs, the Karnataka Electricity Regulatory Commission has announced that urban and rural categories will be merged into a single category under which rural consumers can avail themselves of a rebate of 30 paise per unit

May 12, 2023 10:28 pm | Updated 10:42 pm IST - Bengaluru

The Discounted Energy Rate Scheme, which was applicable only to HT consumers before, has now been extended to LT industries and LT commercial installations with a sanctioned load of 50 kW and above.

The Discounted Energy Rate Scheme, which was applicable only to HT consumers before, has now been extended to LT industries and LT commercial installations with a sanctioned load of 50 kW and above. | Photo Credit: K. MURALI KUMAR

The Karnataka Electricity Regulatory Commission (KERC), on May 12, Friday, announced non-telescopic tariff slabs for the domestic consumers of Bangalore Electricity Supply Company (Bescom), under which the number of tariff slabs would be reduced from four to two. However, the same would not be applicable to LT industrial consumers.

Under the new structure, the first slab would be from 0 to 100 units, for which fixed charges would be ₹110 per kilowatt (kW) up to 50 kW and energy charges would be 475 paise per kW. The second slab would be from zero to all units (every additional kW above 50 kW), and the fixed charges for the same would be ₹210, and energy charges would be 700 paise per kW.

In the existing tariff structure, those who consumed 0-50 units were paying a fixed charge of ₹100, while those who consumed 51-100 units were paying ₹110. With the new changes, the tariff would be uniform for the consumers until 100 units. While Bescom, in its proposal, had asked for slabs to be reduced from four to three, the commission has simplified it into two categories.

In order to rationalise and simplify tariffs, the commission has announced that urban and rural categories will be merged into a single category under which rural consumers can avail themselves of a rebate of 30 paise per unit.

Discounted scheme for industries and commercial consumers

The Discounted Energy Rate Scheme (DERS), which was applicable only to HT consumers before, has now been extended to LT industries and LT commercial installations with a sanctioned load of 50 kW and above, the commission said.

For the same, energy charges of ₹5 per unit, as opposed to existing charges of ₹6 per unit, have been approved by the KERC. The 50 paise rebate, which was being provided to micro and small industries, will also be continued for another year. The tariff for “time of day” will remain unchanged this year.

Among other highlights of this year’s tariff revision, the commission has announced that to encourage the use of electric vehicles, the energy charges at EV charging stations had been reduced from ₹5 per unit to ₹4.50 per unit.

Linking R.R numbers of IP sets with Aadhaar mandatory 

In a new set of directives given to the Escoms, KERC has said that the companies should link R.R. numbers of IP sets with the Aadhaar numbers of the consumers. The commission has said that the same should be implemented within six months, and upon failure, the subsidy from the government shall not be released for those consumers.

Portal for PPA details

The KERC has directed the Escoms to set up a portal to maintain the details of PPAs executed and approved by the competent authorities to monitor the terms and conditions of the PPAs and also to regulate the payment of power purchase bills online.

Incentives withdrawn

The commission has withdrawn incentives given to consumers opting for an Electronic Clearing System (ECS), which is 0.25% of the bill amount, as well as the 50 paise per unit solar water heater rebate. Bescom has made the installation of solar water heaters mandatory in all residential buildings with a built-up area of 600 sq.ft and above constructed on sites measuring 1200 sq.ft and above falling within the limits of municipal / corporations and Bangalore Development Authority. The commission said many consumers in the public hearing suggested to withdraw the solar rebate as any rebate extended to any particular consumer is to be borne by other consumers in the tariff.

“We welcome the continuation of the Special Incentive Scheme for HT Industries. We also welcome the continuation of the reduction of 50 paise per unit for MSME industries. However, we are of the view that an increase in Fixed Charges and Demand Charges will have an impact on the manufacturing cost and cause an increase in raw material prices. This does not augur well for the manufacturing sector.”B.V. Gopal Reddypresident, FKCCI

“It was not appropriate for Bescom to increase the electricity tariff by 70 paise per unit after the elections. This level of hike in tariff will be a burden to the common people as well as industrialists. We need to hold talks with the power department about the same after deliberations.”P.C. Raopresident, Bruhat Bengaluru Hoteliers Association

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