New power tariff structure in works, large domestic consumers to be charged more

New power tariff structure in works, large domestic consumers to be charged more

The burden of subsidising the power bills of agricultural and low-income families is set to move from industrial consumers to large domestic and commercial consumers of electricity.

The government plans to introduce a new tariff structure to charge more from large domestic power consumers rather than industrial units that currently share the cross subsidy burden.

Most states categorise households consuming more than 800 units of power a month as large domestic power consumers rather than industrial units that currently share the cross subsidy burden.

Most states categorise households consuming more than 800 units of power a month as large domestic consumers. The government is also working on simplifying tariff patterns by classifying consumers in two to three categories and sub-categories to bring transparency in power billing.

An expert committee has been set for this. It comprises senior officials from various states and the power ministry to work on the new tariff structure that encourages energy conservation by residential consumers and reduces the power bill of industrial consumers.

The committee is also studying the possibility of increasing fixed charges on connected load of domestic consumers to encourage them to surrender unutilised load. Read More…

Leave a Reply

Your email address will not be published.