Power tariffs in city may go up from April

Mumbai: Starting April, power consumers in the city may have to pay more as two major suppliers - Adani Electricity Mumbai Limited and Tata Power Company - have proposed tariff hikes to Maharashtra Electricity Regulatory Commission (MERC).

Adani has planned to increase the fixed charge for residential consumers by 25%-29% and to hike by 85 paise- ₹1.10 per unit in energy charge for those using more than 300 units a month. Tata Power, on the other hand, has proposed to reduce by 5 paise per unit for consumers using more than 300 units but for consumption up to 300 units per month it has suggested a hike of 71 to 75 paise in energy charge.

In a city like Mumbai, an average household that uses air conditioners and other equipment uses 300 to 500 units a month.

As per provisions of the Electricity Act 2003, Tata and Adani have submitted their mid-term review petitions to MERC and have invited objections and suggestions from people. The public notice of BEST, which is the third supplier, is awaited. MERC will decide the actual tariff hike after hearing the petitions.

When contacted, an Adani spokesperson said, “We are focusing on procurement of renewable energy for stabilisation in power tariffs.”

Pratap Hogade, president of State Electricity Consumers Organisation, said, “Tata Power has proposed a 12% and 14% hike in the next two years. This is more than the standard limit of 10% percent. MERC should not allow it.”

“For commercial and industrial consumers, Tata Power has reduced the tariff by average 15%. The fixed charge for electric vehicle charging stations has also been removed in the proposal submitted to MERC,” a Tata Power spokesperson said.