MPERC announces retail supply tariff

Bhopal, Apr 01: The MP Electricity Regulation Commission (MPERC) has announced the revised retail supply tariffs with an overall increase of 2.76 percent for the year 2008-09. The domestic consumers have been spared with any kind of hike in tariffs, while the rebate for agricultural consumers has been hiked to 1.5 times. Special incentive of 5 percent on energy charges has been offered to various sections of consumers for encouraging energy efficiency.

SERC has decided to notify the roadmap for cross subsidy reduction as directed by the section 8.3 of the Tariff Policy notified on January, 2006 so that the tariffs are within +/- 20 percent of the average cost of supply, informed JL Bose Chairman MPERC. He added that the state government has advised to maintain uniform tariffs for the three distribution companies in the state. He informed that the companies have been provided the T&D losses trajectory at 27 percent, 37 percent and 29.5 percent respectively for the West, Central and East discoms and added that any further losses would not reflect in tariffs.

Bose informed that domestic consumers have been spared from any hike in tariffs apart from a nominal increase of Rs 10/KW in fixed charges for consumption above 100 units in urban areas. He also accepted that suggestion of telescopic charges for domestic consumers for shielding them from sharp rise of tariffs for different slabs. He stated that the non-domestic users would be an increase of 8p with an option of demand-based tariff. Fixed charges has been increased by Rs 20 for consumers under public water supply and by Rs 10/KW per month and 10p/unit under street light category.

At the same time, in order to encourage energy efficient means, incentive of 5 percent has been introduced for public water works and street lights. Meanwhile, a marginal increase of 15p/unit has been affected for agricultural farmers. Commission has increased the DSM rebate by 1.5 times to 45p and farmers might avail the subsidies by using energy efficient equipments. The state CM has already announced that the farmers have to pay only 75p/unit. Energy charges for industrial consumers at all voltage level have been increased by only 9p/unit which accounts for the marginal 2.63 percent increase, said Bose.