The Hindu : Other States / Rajasthan News : Power tariff raised by 10.5 p.c. in Rajasthan

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Friday, May 27, 2005

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Power tariff raised by 10.5 p.c. in Rajasthan

Special Correspondent

`Relief package' for domestic consumers, farmers

JAIPUR: The Rajasthan Government on Thursday announced an increase in the power tariff by nearly 10.5 per cent in all categories by partially accepting the recommendations of the State Electricity Regulatory Commission. The hike will lead to a financial burden amounting to Rs. 392 crores on agricultural and domestic consumers effective from May 1 last.

Announcing the revised tariff structure along with a "relief package" for the consumers at a press conference here, the Minister of State for Energy, Gajendra Singh, said the State Government would continue to provide a subsidy ranging from Rs. 130 crores to Rs. 160 crores to the three power corporations - established after unbundling of the State Electricity Board - depending on the power consumption.

The hike has been introduced after a gap of about four years following the recommendation of the Commission to revise the rates from January 1 this year. The State Government exempted the consumers from the proposed hike till April 30 last and gave an additional subsidy of Rs. 171 crores to the power companies to compensate the losses.

The power companies, situated in Jaipur, Ajmer and Jodhpur, will now earn an additional sum of Rs. 522 crores annually, facilitating a partial reduction in their annual burden of Rs. 1,041 crores. Mr. Singh said the liabilities were constantly increasing in view of rising coal prices, rail freight, dearness allowance paid to the employees and the increasing interest on debt burden.

Hesaid the State Government had provided a record subsidy of Rs. 1,161 crores to the power corporations during 2004-05 for reinforcing their financial strength and ensuring uninterrupted power supply to consumers. Moreover, two per cent of the hike affected in the new tariff scheme will be borne by the State Government through the relief package for various categories of consumers.

The electricity charges for the domestic consumers have been increased from Rs. 1.70 per unit to Rs. 1.95 per unit for the first 50 units per month, and thereafter Rs. 3.50 per unit, against Rs. 2.75 per unit charged earlier. The agricultural consumers will now pay Rs. 1.10 per unit against the previous rate of 90 paise per unit. Those getting power at farm-houses will be charged at the rate of Rs. 3.40 per unit. The fixed charges for each connection have also been revised.

The flat rate tariff has been increased from Rs. 85 per horse power per month to Rs. 120 in the general category and Rs. 200 for the consumers in the special `fodder scheme'. The non-domestic consumers, using electricity for commercial purpose, will now pay Rs. 4.50 per unit for the first 100 units per month and thereafter Rs. 4.90 per unit.

The Minister for Parliamentary Affairs, Rajendra Rathore, who accompanied Mr. Singh at the press conference, said the hike introduced by the previous Congress-led Government was to the tune of 18 per cent in 1999 and 17 per cent in 2001. Mr.. Singh said the relief package would be applicable to the domestic consumers with low income, below poverty line (BPL) families in both the urban and rural areas, farmers using sprinklers and drip irrigation, and the industrial consumers keeping a good load factor.

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