Delhi power tariff hiked by over 8%

Interestingly, the decision of new power tariff came barely one month after Comptroller and Auditor General (CAG) had written a strongly worded letter to the Lieutenant Governor of Delhi on non-cooperative approach of Discoms in CAG audit and inefficiency of top babus to rein them in. 

Addressing a press conference, PD Sudhakar, chairman of the DERC announced that the hike will translate between 10 paisa and Rs 1.10 per unit for consumers in the city. The regulatory body also announced the creation of a new slab of 801 to 1200 units. As per the new tariff, which came into effect on Thursday itself, the rate for consumption of electricity between 0 to 200 units will be Rs 4 – a hike of 10 paisa per unit.

Electricity consumption between 201 and 400 units will be charged at Rs 5.95, a hike of 15 paisa; between 401 and 800 units at Rs 7.30, an increase of 50 paisa; between 801 and 1200 units at Rs 8.10, a hike of Rs 1.10; and consumption above 1200 units will be charged at Rs 8.75 per unit.

The DERC chairman said that effective power rates for those consuming upto 800 units will actually come down, as the commission was scrapping the power purchase adjustment cost (PPAC) currently levied at 6 to 8 percent for all consumers. But as the PPAC have been waived off only for next three months, the bill is likely to go up in the winter season when power demand increases in the city. The regulatory body however has continued 8 percent surcharge on power bills to allow Dicoms to recover their past dues- regulatory assets.

According to Sudhakar, upto 70% domestic users consume upto a maximum of 400 units per month. The power tariffs for NDMC areas have been increased by up 9.52 percent. The Commission further announced that from now on, normal charge will be levied for electricity use in common areas of CGHS/DDA societies like parking. Earlier, this consumption used to be charged under the highest slab. Also, domestic tariffs will be applicable in public parks instead of non-domestic tariffs, Sudhakar announced. Power tariff for all commercial users like industries and Delhi Metro has, meanwhile, been hiked by upto 11%.