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Shocker for malls, multiplexes in Mumbai

Malls and multiplexes which get their power from the Tata Power Company will pay 146% extra in power bills from this month, reports Dharmendra Jore.

india Updated: May 02, 2007 00:30 IST

Shopping complexes and multiplexes which get their power from the Tata Power Company (TPC) will pay 146 per cent extra in power bills from this month.

The Maharashtra Electricity Regulatory Commission (MERC) approved the hike late on Monday evening.

However, TPC’s domestic (residential) consumers have been spared a stiff hike. Those consuming less than 400 units per month will pay three to four per cent less, while those using above 400 units will be charged six per cent extra from May 1.

MERC created a new category for multiplexes and shopping malls having a sanctioned load of more than 20kW. They will pay Rs 6.25 per unit as energy charge plus a reliability charge of Rs 2.21 per unit, increasing their monthly bill by 146 per cent.

MERC has offered a welcome incentive for residential consumers using less than 300 units per month. They will not share the cost of expensive power TPC will procure. However, all consumers – expect those below the poverty line – will pay the standby charge, a levy for ensuring uninterrupted power.

Of the Tata’s bulk consumers, the Central and Western Railway will pay eight per cent less. The remaining in the bulk category, including refineries, textile mills, fertilizer factories, commercial consumers in the Bandra Kurla complex, Malad, Borivli, Kandivli and Goregaon and advertising/hoardings will face a 10 to 40 per cent hike.

MERC has observed that the new tariff structure would help the TPC conserve energy in view of a shortage. It expects bulk consumers to save energy or else pay more.

The fixed charge for advertisement/hoardings in commercial establishment, flood lighting and neon signs has been increased from Rs 200 to Rs 400 per month. The energy charge has been increased from Rs 11 to Rs 12 per unit.

In addition, a reliability charge of Rs 2.21 will be levied. "Such consumers can opt out for captive power supply through DG sets rather than take supply from the distribution licensee," said MERC.