UT, Chandigarh department has established a norm of rising the electricity cost by 5% in next financial year. This decision was taken by the electricity board to incorporate the paucity of Rs. 208 Crore lettered in the count of tariff petition. After the plea was declined by the JERC that is Joint Electricity Regulatory Commission for the current fiscal, the electricity board is going to bridge the deficit in the amount of tariff by enhancing the existing electricity cost by 5%.
Chandigarh Electricity Board To Compensate the Electricity Tariff Deficit by Increasing Tariff in Next Fiscal
The deficit in the electricity tariff bill this year was accounted for Rs. 208 Crore. After the plea of Chandigarh electricity department got rejected, the board has decided to bridge the difference by increased electricity tariff in next financial year in different slabs of domestic as well as commercial categories. In total Chandigarh has 2.15 Lakh electricity consumers out of which there are 1.75 lakh consumers that fall in the domestic category. The revenue gap in the electricity bill was accounted Rs. 208 crore in the financial year 2014-15 and since then the recovery of the amount was charged in through the department consolidated fund. Although, this year the plea to cover the tariff gap for the financial year from the consolidated fund was rejected. On account of rejection, the electricity board has now planned to raise the electricity tariff in Chandigarh by 5%.
The recovery of this outstanding revenue gap in the electricity cost, the Chandigarh Electricity board has planned to increase the tariff for the consumers in the phased manner. This new electricity tariff will be implemented in the next financial year for the particular consumer category. So, get ready to pay more for electricity even in UT, Chandigarh.
This increase in the electricity tariff is on account of the outstanding gap between the electricity cost incurred in the last financial year. The numbers suggest that the electricity board found the deficit of Rs. 208 Crore in electricity consumption in fiscal 2016-17. On rejection of the plea to recover the amount from the consolidated funds, electricity board plans to increases the electricity tariff by 5 % in Chandigarh on specific consumer categories.
Source – TOI