Nominal increase in U'khand industrial power tariffs

After increasing power tariffs by 15 per cent last year, majority of domestic consumers in Uttarakhand have been left out of the new hike this year.

The Uttarakhand Electricity Regulatory Commission (UERC) today issued a new tariff order for the 2010-11 increasing domestic and industrial tariffs by 3 to 9 per cent in the hill state.

However, 80 per cent of the domestic consumers would not be affected since they use less than 100 units of power where UERC has not increase any tariffs.

Under the new order, which is the second in six months, the UERC increased the tariffs for domestic consumers by 5 to 9 per cent in two catagories. Significantly, there has been no change on the fixed charge for domestic consumers.

Consumers using up to 100 units of power, which are 80 per cent of the total domestic consumers, have been left out of the hike.

However, all those using power upto 200 units would have to dole out 5 per cent extra charges on the exisiting tariffs of Rs 440 per month. Similarly, 9 per cent extra tariff on the exising rates of Rs 660 has been slapped on conusmers using more than 300 units of power.

There has been no increase in tariffs for BPL catagory and people living in snow-bound areas.

In the industrial sector, the regulator has slapped a nominal hike of 3 to 5 per cent this time. "We are not punishing industries this time as the steep power hike had already taken place," said chairman of the UERC B J Talwar,.

To meet its power purchase cost and other expenses, Uttarakhand Power Corporation Limited (UPCL) had projected a total annual revenue requirement (ARR) of Rs 2,737.78 crore considering distribution loss of 24 per cent for the year 2010-11. To bridge the gap, the UPCL has recommended an overall increse of 19 per cent hike.

But under the new order, tariffs have been increased only by 3 to 9 per cent.