Hyderabad: Big Relief for Power Consumers in Telangana
The people of Telangana have received good news regarding their electricity bills. The Telangana State Electricity Regulatory Commission (TGERC) has decided not to increase the power tariff for households using more than 300 units of electricity. This means domestic consumers will not have to pay more for their electricity this year.
Recently, power companies (Discoms) in the state had asked the TGERC to raise the charges for those using more than 300 units of electricity. They also wanted to increase the rates for consumers using high-tension (HT) power. The companies made this request as part of their Annual Revenue Requirement (ARR) for the financial year 2024-2025, hoping to collect an extra Rs 1,200 crore to cover their revenue shortfall.
However, TGERC Chairman, Sriranga Rao, announced that there will be no change in electricity charges for all domestic users. Additionally, the monthly minimum energy charges have been removed for households.
For commercial users in the non-domestic category, there is some good news too. The fixed charges for those in the low-tension (LT) category who consume up to 50 units of electricity have been reduced from Rs 60 per kW to Rs 30 per kW. The monthly minimum energy charge has also been reduced from Rs 65 to Rs 50 for single-phase supply, and from Rs 200 to Rs 100 for three-phase supply.
In the agricultural sector, no changes were made to the electricity rates. The Commission also announced an increase in the horsepower (HP) limit for horticulture and nurseries from 15 HP to 20 HP, allowing more farmers to receive free electricity.
To encourage the use of electric vehicles (EVs), the Commission lowered the fixed charges for EV charging stations from Rs 50 per kW to zero. This move is expected to promote the adoption of electric vehicles in the state.
The TGERC has also directed the power companies to speed up their demand-side management (DSM) projects and submit a report on their progress. Additionally, the companies have been asked to follow the standard of performance (SoP) regulations.
The Commission approved an ARR of Rs 54,183 crore for the year 2024-2025, which is less than the Rs 57,728 crore requested by the Discoms. The revenue gap approved by the Commission is Rs 11,156 crore, lower than the Rs 13,022 crore proposed. The state government’s subsidy commitment has increased by Rs 2,347 crore compared to last year, marking a 26% rise. The total subsidy for this year stands at Rs 1,14,999 crore.