Low Electricity Bills! States Are Giving Concessions on Electricity Tariff

Due to nationwide lockdown, the country’s economy has suffered highly. Not just the private sector, even the government’s treasure is about to get emptied. As a result, the government is trying to increased taxes and tariffs. One such tariff that was supposed to be hiked was power tariff or electricity tariff. But thankfully, some state governments haven’t increased the tariff but actually reduced it. Right now, four states have done so.

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The concession rate given by states differs according to the consumption volume. Here’s a list of states that have given the concession and changed rules on electricity tariff

Haryana

Haryana Electricity Regulatory Commission (HERC) did not increase the power tariff for any category. By this step of HERC, 68 lakh people will get the benefit. Domestic households who use electricity up to 150 units per month will now have to pay Rs 2 per unit for the first 50 units.

Domestic households who will consume power up to 800 units per month will now have to pay 42 paise per unit lesser than they used to do earlier.

Punjab

Punjab State Power Corporation Limited (PSPCL) has given relief to industrial consumers, rather than domestic households. During the financial year 2020-2021, all three industrial consumers – large supply (LS), medium supply (MS), and small supply (SS) industrial consumers – will have to pay lesser tariff for their night hours (10 pm to 6 am) power consumption.

The new rate for these consumers will be Rs 4.83 per kVAh. If they want to use power during day hours, they will have to pay the same old tariff, i.e., Rs 5.80 for medium supply consumers and Rs 5.37 per kVAh for small supply consumers.

Himachal Pradesh

Himachal Pradesh Electricity Regulatory Commission (HPERC) has not decreased the tariff, but it has not increased it either, which it planned earlier. HPERC said that the rates would remain the same for the financial year 2020-21.

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New industries that will start its production from June 1, 2020, will get a concession of 10% on the power tariff. The sectors that are planning to extend their production will also get the 10% concession. The government has done so to increase the production in the state that was on a halt since the first day of nationwide lockdown.

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Odisha

The Odisha Electricity Regulatory Commission (OERC) official announced on Wednesday that it is also not going to increase the power tariff. The tariff will for the financial year 2020-21 will remain the same as that of 2019-20.

Apart from the power tariff, the Odisha state government has also decided that it is not going to increase either RST (Retail Sales Tax) or BSP (Billing and Settlement Plan). However, if the COVID-19 situation gets any better, the government may revise its position on RST and BSP.

We will you updated if other states also come up with such notifications.

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