Hyderabad: Massive power tariff hike in offing

Hyderabad: Power tariff is set to rise steeply if the hikes proposed by the power distribution companies on Tuesday are accepted by the Electricity Regulatory Commission.

The discoms have reduced the existing 12 slabs to four, and have wired them for a steep increase. The power utilities have proposed non-telescopic method under which households have to pay tariff for the entire consumption at the next level even if they consume one unit more than the slab limits.

Under the non-telescopic system, a household consuming 100 units would pay Rs 260. If the consumption reaches 101 units, the tariff at the next level (Rs 3.25) would apply and the bill would be Rs 332.50, or an increase of over Rs 72.50.

Read: Hyderabad: Proposed tariff hike in a month

Under the existing telescopic system, the first 100 units is charged at one level, and the one extra unit is charged in the next level.

The discoms proposed hikes to raise an additional Rs 1,958 crore in 2016-17, and brought slabs from 12 to four. It proposed hikes ranging from 65 paise to 72 paise per unit for those consuming between 101 and 400 units in the domestic sector.

Four slabs for domestic category have been proposed.

First slab:
Up to 50 units: Rs 1.45 per unit  
50-100 units: Rs 1.45 for first 50 units
and Rs 2.60 per unit between 50 and 100 units.

Second slab:
101-200 units: Rs 3.25 per unit for first 100 units.

Third slab:
201-400 units: Rs 4.80 per unit for first 200 units, Rs 8.15 per unit for 200-400 units.

Fourth slab:
Above 400 units: Rs 9.50 per unit existing tariff Rs 8.50 per unit.