Electricity tariff hiked by average 30 paise in Karnataka

Bengaluru: The Karnataka Electricity Regulatory Commission (KERC) has approved an average increase in tariff by 30 paise per unit for consumers of all electricity supply companies (ESCOMs) and Hukeri Rural Electricity Co-operative Society in the State, for the financial year 2022, resulting in an average hike of 3.84%.

"The Commission has approved an average increase in tariff by 30 paise per unit (considering increase in Fixed / Demand and Energy charges) for FY 2021-22," it said in a release.

The ESCOMs had sought an average increase of 135 paise per unit or 17.31%.

The Commission has also determined revised retail supply tariff for consumers of Mangalore Special Economic Zone (MSEZ) at Mangaluru and AEQUS SEZ in Belagavi District.

The revised retail supply tariff includes the revised transmission tariff to be payable by ESCOMs to KPTCL for Financial Year 2021-22.

The revised tariff will come into effect for the electricity consumed from the first meter reading date falling on or after April 01, 2021.

However, to soften the burden of increase in tariff on the consumers, during the prevailing lockdown situation on account of Covid –19 pandemic in the State, the arrears towards revision of tariff for the month of April 2021 and May, 2021 will be recovered during the month of October 2021 and November, 2021 respectively, without interest.

To encourage the use of clean energy and reduction of carbon emission in the State and to encourage commuters to use public transport, the KERC has not increased the tariff applicable to BMRCL and approved to continue the existing concessional tariff of Rs.5.20 per unit. Also, In order to encourage the use of electric vehicles (EV), the existing concessional tariff of Rs.5 per unit will continue.

For the domestic consumers, installations of government / charitable educational institutions and hospitals in BESCOM (BBMP & the other Municipal Corporation areas), the increase in energy charges across the State is 10 paise per unit and for LT industrial consumers the tariff is increased by 10 paise per unit.

The Commission retained a rebate of 105 paise for installing LED / Induction lamp lighting for streetlight installations by the urban and rural local bodies including BBMP.

Reacting to the tariff hike, Congress leader and Leader of Opposition in the Assembly Siddaramaiah termed the decision to increase electricity tariff as "disastrous" and "BJP's shock to Karnataka". "The decision of the CM of Karnataka to increase the electricity tariff is disastrous for everyone. Common man to Industries, all are suffering due to pandemic and the increase will kill everyone," Siddaramaiah said in a tweet. "Karnataka has surplus power and yet BJP government continues to purchase power from the central grid, Adani and others at higher cost, price for which our people have to pay," he alleged in another tweet.