31/03/2012

Another power hike in Bihar; industrialists flay decision

Patna,(BiharTimes): The Bihar Electricity Regulatory Commission (BERC) on Friday approved an average increase of 12.1 per cent in the electricity tariff across the board against the Bihar State Electricity Board’s proposal for an up to 50 per cent raise.

The new rate will be applicable from April 1 and would yield an additional revenue of Rs 348.06 crore to the BSEB.

BERC has allowed an increase of only 10 paise per unit for the first 300 units of power consumed by domestic consumers on single phase and three-phase power connection. For power consumption above 300 units, an increase of 20 paise per unit has been allowed.

The power tariff for industrial consumers has been raised, on an average, by 50 paise per unit.

According to BERC chairman U N Panjiar  the Commission has retained the existing tariff under the Kutir Jyoti scheme for BPL families, agriculture and other rural consumers. He said BERC had tried to protect the revenue interest of BSEB and at the same time ensured that consumers are not subjected to high tariff increase.

He said a 10% premium on energy charge has been allowed for providing almost 24-hour power supply. Consumers’ complaints would also be attended round-the-clock in notified areas with provision of change of transformers.

The existing provision of 10-day grace period for realization of delayed payment surcharge has been retained. Panjiar said that the BERC had rejected the proposal of BSEB to withdraw it. The existing rate of rebate for timely payment and the rate of delayed payment surcharge have been retained.

The BERC allowed BSEB only 27% transmission and distribution loss against 42% sought by it. The regulator approved a revenue gap of Rs 841.17 crore, of which Rs 683.90 crore would be met by state government subsidy.

It needs to be recalled that the BSEB had filed an aggregate revenue requirement tariff petition on November 15, 2011, with BERC, the body entrusted with the job of fixing electricity tariff, with a proposal to increase the rate by up to 50 per cent for different categories of electricity consumers to bridge its burgeoning revenue gap.

Now the BSEB will have to supply 24 hours power to Patna, Rajgir and Bodh Gaya. Thus it would have to supply at least 600 hours in a month, excluding the duration of grid failure, plant failure of power supplier, scheduled shut down and emergency breakdown.

The BERC, while hearing the BSEB’s plea to increase the tariff, had sought suggestions and objections from all sections of the society, including domestic consumers, commercial users, farmers, industries and a host of other organisations.

Those seeking new connections in a quick span of time could get the facility under the newly introduced tatkal connection.

However, industrialists like Sanjeev Chaudhary, Sanjay Bharatiya, S K Patwari and Umesh Poddar, who were present at the BERC office on Friday, said the hike was quite high and would affect industries in Bihar.

Other members of Bihar Chamber of Commerce expressed the similar view.

They said that 50 paise per unit for industrial users is a big increase and added that industrialists of Bihar are already paying higher than neighbouring states and it would make products of Bihar less competitive.

 

 

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