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Uniform power tariff in Maharashtra likely for usage of up to 300 units

The state has convened a meeting next month with distribution companies supplying power in the city and the proposal for uniformity in tariff rate may be discussed with them.

mumbai Updated: Apr 18, 2018 00:39 IST
Surendra Gangan
Surendra Gangan
Hindustan Times
mumbai news,power tarrif,Chandrashekhar Bawankule
(HT File)

The state government is hopeful of a uniform electricity tariff structure in Mumbai for people with consumption of up to 300 units.

The state has convened a meeting next month with distribution companies supplying power in the city and the proposal for uniformity in tariff rate may be discussed with them.

Energy minister Chandrashekhar Bawankule said on Tuesday the government will request companies to file a tariff petition with the Maharashtra Electricity Regulatory Commission (MERC) for uniformity.

He said uniformity of tariff for consumers with usage of fewer than 100 units has already been brought and the endeavour will be to bring it further for consumers with usage of up to 300 units per month. “As we announced earlier, the tariff rate for consumers with less use of power has been equal for consumers of all three companies in the city. We will request companies to submit a proposal to the MERC for such uniformity,” Bawankule said.

Besides the BMC-run utility BEST, Tata Power Company and Reliance Energy supply electricity to about 50 lakh consumers in the city. According to an official from the energy department, “The proportion of domestic and industrial/commercial consumers of all three distributors is different, making the cross subsidy formula difficult to implement.”

Expert Pratap Hogade said, “The minister has been making empty promises. The multi-year tariff has been passed by MERC to be forced until March 2020. The companies are unlikely to move for mid-term review of tariff just for uniformity. Even if they do, how are they going to adjust their losses due the changes in the rate.”

First Published: Apr 18, 2018 00:38 IST