Power challenge: Summer comes at a price for discoms as energy bills soar

Increase in cost has pushed states to seek tariff hike in the range of 15-30%

This summer will be challenging for power distribution companies (discoms) with an unprecedented surge in electricity demand and the cost of energy, largely dependent on coal, going up.

Since January, the Centre has been pushing for a variety of regulations to ensure a steady supply of electricity and avoid a deficit of coal.

The impending cost increase has pushed the discoms to seek tariff hikes. Large states such as Uttar Pradesh, Maharashtra, and Madhya Pradesh have submitted an across-the-board tariff increase in the range of 15-30 per cent. While approval is pending, the proposals are indicative of the cost pressure