Power Tariff Hike Looms In Karnataka: Escoms Push For ₹1.50/unit Hike

Consumers in Karnataka may soon face an increase in their power bills as the state's Electricity Supply Companies (Escoms) have proposed a tariff hike to the Karnataka Electricity Regulatory Commission (KERC).

Citing mounting financial pressures, Escoms such as Bescom, Hescom, Mescom, Jescom, and Sescom have submitted proposals seeking an increase in electricity rates. They argue that rising costs of coal procurement, power purchases, and supply expenses have severely impacted their financial stability.

Proposed Hike Details

• Bescom has requested a tariff increase of ₹1.50 per unit.
• Other Escoms have sought a hike of ₹1.20 per unit.

The companies claim these adjustments are essential to offset growing operational costs and prevent further financial losses.

The Escoms have attributed their losses to several factors, including:

• Increased coal procurement costs.
• Escalating power purchase expenses.
• Rising operational and supply-related challenges.

Earlier this year, KERC revised electricity rates downward, further exacerbating the financial difficulties faced by these companies.

KERC, which annually reviews and revises electricity tariffs, is currently evaluating the proposals submitted by the Escoms. As part of the process, public consultations have already been conducted, and the commission is expected to announce its decision soon.

If approved, the revised tariffs are likely to take effect in the coming months, leading to higher electricity bills for consumers across the state. The proposed hike has sparked concerns among citizens and businesses, who fear additional financial pressure amid rising living costs.

KERC is yet to comment on the proposals, but the commission has historically sought to balance the financial needs of Escoms with the affordability concerns of consumers. The final decision is expected to reflect these considerations.