Summer respite: Power tariff slashed in Delhi, more consumption means more savings

Households that consume more will reap the maximum benefits of the new tariff order, while it will be of little benefit to those who consume around 100-150 units per month as the DERC has raised the fixed charge.

Written by Sourav Roy Barman | New Delhi | Updated: March 29, 2018 4:52:11 am
Summer respite: Power tariff slashed in Delhi, more consumption means more savings As per the revised energy charges, those consuming between 0-200 units will be charged Rs 3 per unit, a reduction of Re 1 from prevailing charges. (Photo for representational purpose)

Power bills in Delhi are set to come down, with the Delhi Electricity Regulatory Commission (DERC) slashing energy charges across slabs, under which the savings will be directly proportional to consumption. Households that consume more will reap the maximum benefits of the new tariff order, while it will be of little benefit to those who consume around 100-150 units per month as the DERC has raised the fixed charge.

For example, a household that consumes 105 units currently has to pay Rs 267. With the new rates coming into force from April 1, one will have to shell out Rs 323 for the same consumption. But as one goes up the consumption ladder, savings will come into the picture. For consumption of 210 units, instead of paying Rs 750 under the prevailing rates, one will have to pay Rs 691. DERC member B P Singh said discoms will have a revenue surplus of Rs 437 crore under the revised tariff structure.

Read | How higher fixed charge, lower energy charge impact consumer

As per the revised energy charges, those consuming between 0-200 units will be charged Rs 3 per unit, a reduction of Re 1 from prevailing charges. Those consuming 201-400, 401-800, 801-1200 units will have to pay Rs 4.5, Rs 6.5, Rs 7 per unit respectively. The current charges for these categories are Rs 5.95, Rs 7.30 and Rs 8.10 respectively.
However, the fixed charges of those having a 2KW connection have been increased from Rs 20 to Rs 125; Rs 140 as opposed to Rs 35 for 2KW- 5 KW connections; Rs 175 for 5KW-15KW connections; and Rs 200 for 15KW-25KW connections.

There are around 48 lakh domestic category consumers in Delhi, Singh said, adding that “overall, bills will come down”. “Subsidy is the issue of the government and we have no role in that. It is up to the government as to how they pay the rebate — on fixed amount or on percentage. We determine tariff, not subsidy. That is not in our jurisdiction,” Singh told reporters when asked about the impact on households that consume less.

Read | Delhi power tariff cut: AAP calls it a victory, Opposition targets fixed charge 

Singh said the new tariff structure was arrived at after cross-checking figures cited by discoms in their petitions. DERC also conducted public hearings where suggestions from people and RWAs were taken. “The Commission appointed CAG-empanelled auditors to verify the books of accounts of the BRPL, BYPL, TPDDL and NDMC for the year 2016-17 to verify their claims,” he said.

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