Haryana rollbacks power tariff hike; reduces farm tariff

Chandigarh, Jan 16: Ahead of elections,

government today gave a major relief to power consumers by rolling back power tariff hike for consumption of up to 500 units by domestic consumers and reducing tariff for farm sector by 60 per cent for current fiscal.

The decision, which will cost Rs 600 crore per annum to the state exchequer, will benefit 38 lakh domestic consumers and 5.50 lakh agriculture consumers.

"Government has withdrawn the tariff increase (about 13 per cent) made from April 2013 onward for domestic consumers consuming up to 500 units per month. Moreover, the Fuel Surcharge Adjustment (FSA) of financial year 2013-14 will also remain same," Chief Minister Bhupinder Singh Hooda said in a release.

"As a result of this decision, up to 1000 units bimonthly consumption will get the benefit of old slab system as well as reduction in tariff and FSA to the last year’s level," he said.

The domestic sector power rate from April 1, 2013 were Rs 5.24, Rs 5.94 and Rs 6.32 per unit for those consuming up to 250 units, between 250 and 500 units and above 500 units respectively. Giving relief to farm consumers, Hooda said tariff being charged to agriculture consumers has been reduced by 60 per cent in the state.

"Now the agriculture consumer will have to pay 10 paisa per unit (present rate 25 paise per unit) or Rs 15 per BHP per month," he said.

Hooda said that this decision would provide relief to the electricity consumers in the state to the tune of Rs 600 crore annually and the entire expenditure of granting these benefits to the consumers would be borne by the state government. The decision would directly benefit 38 lakh domestic consumers in the state which accounts for 95 per cent of total consumers, added Hooda.

Notably, Haryana government had already decided not to hike power tariff for 2014-15. On December 31 last year, Haryana Government had announced to give relief of about Rs 200 per bill to each of about 40 lakh urban and rural domestic consumers consuming less than 1600 units of electricity bi-monthly in the state from January 1.

PTI