State govt mulls power tariff hike | india | Hindustan Times
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State govt mulls power tariff hike

india Updated: Oct 25, 2011 01:09 IST
Sanjeev K Ahuja
Sanjeev K Ahuja
Hindustan Times
Sanjeev K Ahuja

Residents of the Millennium City may have to shell out more for electricity consumption post Diwali. Reeling under huge losses, state-run electricity distribution companies is likely to approach the Haryana Electricity Regulatory Commission (HERC), seeking an increase in the tariff structure, on the pretext that the rates in the state were less than that of the neighbouring states of Delhi and Punjab.

The residents have been suffering from prolonged outages for more than a month now. If the rates go up, it would be another blow for them, as the residents have been paying through the nose for power produced by diesel-run generators or captive power plants (CPPs).

The electricity so produced costs Rs 10-12 per unit compared to the Dakshin Haryana Bijli Vitran Nigam’s (DHBVN) rate of Rs 3-5 per unit.

Haryana power minister Capt. (retd.) Ajay Singh Yadav said the Dakshin and Uttar Haryana Bijli Vitran Nigams have sought tariff hike from the HERC. "The Discoms have been reeling under huge deficit as the rate at which they supply power is very less. As a result, the companies are incurring huge losses," he said.

The minister said the decision on increase in tariff would be taken by the HERC. However, he added that Haryana consumers would be paying less than those in Delhi and Punjab even after the rates are revised.

The latest hike in power tariff had taken place in June. From June 1, 2011, domestic tariff was increased between 5-10 paise per unit, while non-domestic (commercial) and industry tariffs were increased by 10 paise per unit. This is the third power tariff hike since June 2010.