Bengaluru: In the wake of the Karnataka Electricity Regulatory Commission (KERC) on last May 12 increasing the electricity tariff by 70 paise per unit, BESCOM has mentioned the revised electricity charges in the electricity consumption bill for the month of May to be issued in the month of June.
As the Electricity price revision order will be effective retrospectively from April, the dues of April has been mentioned in the bill. Also electricity charges are being collected in two tiers as per KERC order. A rate of Rs 4.75 per unit is charged for the first 100 units of electricity consumed by the customer. BESCOM released a media statement and said that if the unit exceeds 100 units, the second tier rate of Rs. 7 per unit will be applicable for that number of units used.
Earlier it was collected at three tier rates (Telescopic), Rs 4.15 was collected for the first 50 units, Rs. 5.6 for the next 50 units and Rs 7.15 for more than 100 units. Mahantesh Belagi, Managing Director of BESCOM, said that it has been clarified in the order issued by KERC on May 12 to collect in two tier rates (Non-Telescopic).
KERC has fixed Rs. 110 for electricity sanctioned load of 1 to 50 KW and Rs. 210 for electricity sanctioned load above 50 KW in the fixed charges in the rate revision order. As per KERC Tariff Regulation Notification 2006 all ESCOMs have to apply before KERC for electricity tariff revision in the month of November every year.
KERC issues tariff revision order in the month of March or April every year after considering the plea of ESKs inviting objections to the application. This is a normal practice of KERC and the law allows KERC to voluntarily order hike in electricity rates if ESKs do not apply for rate revision.
The rate revision order, which was supposed to come into effect in March/April this year, was put on hold by KERC on March 29, 2023, after the Election Code of Conduct came into effect. As soon as the elections were over, KERC had given an order on May 12 to revise the rates and implement them retroactively from April.
The Bescom MD informed that in response to the request given for revision of electricity rates in November 2022, the amount increased by 70 paise per unit to be applied from April is being collected in the month of June. KERC has issued an order to revise electricity rates by 40 paise per unit on November 4, 2020, by 30 paise per unit on June 6, 2021 and by 35 paise per unit on April 4, 2022.
KERC permits ESCOMs to levy fuel and power purchase cost adjustment charges due to power tariff revisions implemented by KERC from time to time and the difference in price of fuel cost on power purchased by ESCOMs from generators. The Central Government had amended the Electricity Rules, 2005 on December 29, 2002 to direct collection of fuel and electricity purchase charges on time.
As per this amendment, KERC had issued a notification on February 23, 2023 to collect fuel and electricity purchase cost from consumers every month. Therefore, KERC has given permission to charge 59 paise per unit of fuel and electricity purchase cost to BESCOM customers, and this amount is being collected from customers in the month of June, said BESCOM MD.