Post-poll shock: KERC effects 23 paise hike in power tariff
The subsidy to be paid for free power to 2.10 mn IP sets below 10 HP & 2.29 mn households has risen to Rs 5,381 cr & Rs 4,722 cr
 "Post-poll shock: KERC effects 23 paise hike in power tariff")
The average tariff increase approved by the Karnataka Electricity Regulatory Commission ranges from 20 paise to 30 paise per unit for different categories of consumers. This is against the 70 paise per unit increase sought by the Escoms uniformly for all the categories of consumers other than IP set users and Bhagya Jyothi and Kuteer Jyothi beneficiaries.
The lowest tariff increase of 20 paise per unit is approved for domestic consumers for the monthly consumption of less than 100 units. For consumption exceeding 100 units, the increase will be 25 paise per unit.
The revised tariff for domestic consumers in urban areas will be Rs 2.50 per unit up to 30 units, Rs 3.70 per unit for consumption between 31 and 100 units, Rs 4.85 per unit for consumption between 101 and 200 units and Rs 5.85 per unit for consumption beyond 200 units per month.
For domestic consumers in rural areas, the revised rates will be Rs 2.40 per unit up to 30 units, Rs 3.40 per unit between 31 and 100 units, Rs 4.55 per unit between 101 and 200 units and Rs 5.35 per unit for consumption beyond 200 units per month.
For the residential apartments under high tension category, the tariff has been increased from Rs 4.70 per unit to Rs 4.90 per unit.
Commercial & Industrial Tariff
The tariff for Commercial and Industrial consumers across the State has been increased by 25 paise per unit.
The revised rates for LT industrial units in Bangalore will be Rs 4.45 per unit for the first 500 units and Rs 5.45 per units for consumption above 500 units.
In other areas, the new rates will be Rs 4.25 per unit for the first 500 units, Rs 4.95 per unit for consumption from 501 to 1000 units and Rs 5.25 per unit for consumption above 1000 units.
For LT commercial units, the new tariff in urban areas including Bangalore and other city corporation areas will be Rs 6.45 per unit for the first 50 units and Rs 7.45 per unit for consumption beyond 50 units. In the rural areas, the new rates will be Rs 5.95 per unit for the first 50 units and Rs 6.95 per unit for consumption beyond 50 units.
For the HT industrial users in BBMP and other City Municipal Corporation areas, the new tariff will be Rs 5.35 per unit for the first 100,000 units and Rs 5.75 per unit for consumption beyond 100,000 units. In all other areas, the new rates will be Rs 5.35 and Rs 5.65 respectively.
For HT commercial users, in Bangalore and other city corporation areas, the new tariff will be Rs 6.95 per unit for the first 200,000 units of consumption and Rs 7.25 per unit for consumption beyond 200,000 units. In all other areas, the new rates will be Rs 6.75 and Rs 7.05 respectively.
Government Subsidy
The amount of subsidy to be paid by the government towards free supply of electricity to 2.10 million IP sets below 10 HP, and 2.29 million Bhagyajyothi / Kutirjyothi households is increased to Rs 5,381 crore for 2013-14 from Rs 4,722 crore paid for 2012-13.
The bulk of this increase is on account of the increase in the consumption of IP Set users, which is going up from 15,318 million units estimated for 2012-13 to 16,679 million units in 2013-14.
The commission has not increased the tariff for LT and HT water supply installations both in urban and rural areas. The existing rates of Rs 3.20 per unit for LT water supply and Rs 3.80 per unit for HT water supply will continue. The tariff for streetlights has been increased from Rs 4.20 per unit to Rs 4.45 per unit in both urban and rural areas.
On a detailed review of the tariff applications of the Escoms for 2013-14, the KERC has approved a total expenditure of Rs 24,469 crore for all the Escoms, which would be supplying about 49,267 million units (excluding transmission and distribution losses of about 18.92 per cent) during FY14.
The electricity supply companies will procure about 61,074 million units as against about 58,000 MU procured for FY13.
The Bangalore Electricity Supply Company (Bescom) will account for over 50 per cent of the energy supplied at 24,978 million units with an annual revenue requirement (ARR) of Rs 12,581 crore for FY14.