Two days after Jalandhar bypoll win, AAP doles out power shocker in Punjab

Ruchika M Khanna

Chandigarh, May 15

Two days after the ruling AAP secured a landslide victory in the Jalandhar Lok Sabha bypoll, riding high on the grant of 300 units of free power to domestic consumers, the government today increased electricity tariff for all categories of consumers.

The Opposition Congress and the SAD slammed the move, saying it was the AAP government’s “first gift” to people after it won the bypoll.

30 paise/unit hike for Golden Temple

Tariff for Golden Temple and Durgiana Temple has been increased by 30 paise per unit. Against Rs 6.11 per unit after crossing 2,000-unit mark, the shrines will now pay Rs 6.41.

The Punjab State Electricity Regulatory Commission (PSERC) announced an increase of 8.64 per cent in tariff for this year. Fixed charges as well as per unit tariff have been increased, taking the average cost of power to Rs 7.04 per unit, up from Rs 6.48 per unit last year. The tariff has been increased after three years. Though the tariff order comes into effect from April 1, this year it will come into effect from May 16 since the model code of conduct was in force in view of the bypoll.

Domestic consumers, who will continue to get 300 units of free power each month, will have to pay Rs 15 per kilowatt as additional fixed charges and an average of 65 paisa per unit hike.

The commercial consumers will have to pay additional Rs 25-30 as fixed charges and bear a hike of 47 paisa average per unit rate.

The state industry will have to pay Rs 25-30 as additional fixed charges. The per unit tariff for different categories of industrial consumers has gone up by 90 paisa.

The hike in tariff has been necessitated to meet the increased annual revenue requirement of the Punjab State Power Corporation Ltd on account of increase in cost of coal as imported coal is now blended with domestic coal, increase in rate of short-term power purchase from power exchange, besides normal inflationary increase.

Even for the agriculture consumers, per unit cost has been increased by 90 paisa. Though power for such consumers is free, the tariff hike will increase the subsidy burden of the state. Similarly, the hike in tariff for domestic consumers eligible for free units will be absorbed by the government.

Chief Minister Bhagwant Mann said the revised tariff would not impact the common man as the increase would be borne by the government for free power to domestic consumers and farmers.

The state had set aside Rs 20,243 crore for power subsidy in 2023-24. According to the new tariff order, the subsidy bill will now be Rs 21,162 crore, with agriculture consumers getting Rs 8,809 crore subsidy, domestic consumers Rs 7,310 crore and industrial consumers Rs 2,530 crore.