Maharashtra to ensure consumers are not burdened by power tariff hike

The Maharashtra government will intervene once Maharashtra Electricity Regulatory Commission (MERC) passes its order on tariff proposals of power distribution companies to ensure that power consumers are not over burdened with increased power tariff rates.

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This was stated in the Legislative Council by State Energy Minister Chandrashekhar Bawankule during a debate raised with Narendra Patil (NCP) on tariff hike proposal of BEST before MERC.

"There are three to four options before the government as to how to cover the Rs 1,689 crore Transport Deficit Recovery Loss (TDLR)," Bawankule said adding that TDLR losses are rising every year.

Bawankule said that there are 10 lakh consumers in the city. He said the proposals includes imposing electricity duty charges on Tata Power, Reliance and Mahavitaran, imposing transport tax on Property Tax by Brihanmumbai Municipal Corporation (BMC) which has so far not been implemented.

"Power distribution companies do not ask for government approval before submitting their tariff proposal to MERC. So far the MERC has not given its order and till then the old rates will apply," he said.

Bawankule added that after the MERC gives the order then the government shall intervene. He said that the government along with BEST, BMC and Mahavitaran will hold a meeting to discuss proposal as to how the consumers are not burdened with increased tariff rates. If the commercial consumers are charged more there is possibility of them moving to Reliance Energy, he said.