UP power rate to increase up to 12 pcs
Lucknow, September 3 () The Uttar Pradesh Electricity Regulatory Commission on Tuesday approved an increase of up to 12 percent in the energy rate for various categories of energy consumers to compensate for higher spending on public distribution services.
The commission, however, also abolished the 4.8 percent regulatory surcharge for state inconvenience, giving customers relief from a sharp increase.
The new rates will take effect from the date they will be notified by the government, according to an official statement.
For national consumers, the commission approved an 8-12 percent increase in energy rates. The actual increase after deducting the regulatory surcharge would be 3.72 percent to 7.72 percent.
Similarly, the category of industrial consumption (heavy) received a rate increase within the range of 5-10 percent. The effective increase after reducing the regulatory surcharge from 4.28 percent would be 0.72 percent to 5.72 percent.
For consumers with agricultural measurement, there is an increase of 9 percent for Urban Schedule and 15 percent for Rural Schedule (effective after reducing the RS by 4.28 percent = 4.72 percent to 10.72 percent), according to the statement.
The lower rate increase has been approved for industries among all categories of consumers to stimulate consumption, which in turn will reduce the total cost of purchasing energy due to the stranded cost and will induce economic growth in the state.
To deter unmeasured connections and for the conversion of unmeasured connections to measures, an increase in the rate for unmeasured domestic connections has been approved.
The statement declared the abolition of the regulatory surcharge for state inconvenience and 6 percent of NPCL as the most prominent feature of the order.
The Commission will use the surplus of Rs 10,793.21 crore existing at the end of fiscal year 2016-17, to adjust in the future in order to meet the gaps of fiscal year 2017-18 onwards and also, if necessary, to resolve Uncertainties The statement says that rates have been revised taking into account the increase in the cost of spending and the decrease in revenue, which has widened the gap and financial efficiency of state disturbances. SAB SMI MR MR