UP Discoms Propose 9.21% Electricity Tariff Hike for 2015-16

Uttar Pradesh Discoms have filed the petition on 2^nd February 2015 for the tariff increase for the year 2015-16 which is now being heard by UPERC. The Discoms have proposed a hike in the UP electricity tariff by 9.21% though the tariff required to meet the full revenue gap is 19.59%. The biggest percentage increase inUP electricity tariff has been proposed for the domestic consumers which can go up to 19% for the consumers in the lowest consumption slab.

The variable tariff in Uttar Pradesh consists of energy charges, regulatory surcharge and taxes as shown below. The regulatory surcharge and tax are together calculated as 10.22% of energy charges and demand charges. As such any increase in energy and demand charges will lead to increase in these charges also.

Domestic Consumers:

The variable charges to be paid by a domestic urban consumer are as follows –

	Units consumed (Units or kWh)	Energy Charges (Rs per kWh)	Tax (5%)	Regulatory Surcharge (5.22%)	Variable Charges (Rs per kWh)
Metered Domestic Consumer	600	5.63	0.28	0.29	6.20

The benefit of telescopic UP electricity tariff i.e. the lower tariff for lower consumption slab is available to all the consumers in the state unlike in neighboring Haryana state.

Commercial Loads:

The small commercial consumers have a telescopic UP electricity tariff with any units consumed over 1000 kWh attracting the Energy charges of Rs 7.1 per kWh. The variable tariffs for these consumers having a consumption of 1000 units and 1500 units per Month are as below.

	Units consumed (Units or kWh)	Energy Charges (Rs per kWh)	Tax (5%)	Regulatory Surcharge (5.22%)	Variable Charges (Rs per kWh)
NON DOMESTIC LIGHT, FAN AND POWER	1000	6.64	0.33	0.35	7.31
	1500	6.79	0.34	0.35	7.48

Private Advertising / Sign Posts / Sign Boards / Glow Signs / Flex		14.00	0.70	0.73	15.43

As shown above, the variable tariff for the advertising sign boards is the highest in the state.

However, for the commercial loads over and 75 KW, the charges are significantly higher as shown below. These consumers are charged per kVAh energy tariff. In the table below, the energy charges are converted to per kWh using a power factor of 0.9.

Commercial Loads / Private Institutions / Non domestic bulk power consumer with contracted load 75 kW & above	Energy Charges (Rs per kWh)	Tax (5%)	Regulatory Surcharge (5.22%)	Variable Charges (Rs per kWh)
Commercial Loads / Private Institutions / Non domestic bulk power consumer with contracted load 75 kW & above	Energy Charges (Rs per kWh)	Tax (5%)	Regulatory Surcharge (5.22%)	Variable Charges (Rs per kWh)
At 11 kV	7.56	0.38	0.39	8.33
At 33 kV & above	7.33	0.37	0.38	8.08
Public Institutions, Registered Societies, Residential Colonies / Townships, Residential Multi-Storied Buildings including Residential Multi-Storied Buildings with contracted load 75 kW & above
At 11 kV	7.33	0.37	0.38	8.08
At 33 kV & above	7.11	0.36	0.37	7.84

Industries:

For the small and medium size industries, the variable charges vary from Rs 6.83 to Rs 7.49 per kWh as shown in the table below.

SMALL AND MEDIUM POWER (<75 KW)	Energy Charges (Rs per kWh)	Tax (5%)	Regulatory Surcharge (5.22%)	Variable Charges (Rs per kWh)
0 – 1000 kWh / month	6.20	0.31	0.32	6.83
Above 1000 kWh / month	6.80	0.34	0.35	7.49

For large and heavy industries, the variable charges are again specific in per kVAh terms which are converted in the table below using a PF of 0.9. The UP electricity tariffs are the highest for the industries connected at 11 KV voltages as shown below.

LARGE AND HEAVY POWER	Energy Charges (Rs per kWh)	Tax (5%)	Regulatory Surcharge (5.22%)	Variable Charges (Rs per kWh)
For supply at 11 kV	7.00	0.35	0.37	7.72
For supply above 11 kV and up to & including 66 kV	6.67	0.33	0.35	7.35
For supply above 66 kV and up to & including 132 kV	6.44	0.32	0.34	7.10
For supply above 132 kV	6.22	0.31	0.32	6.86

In fact the Discom tariffs in Uttar Pradesh are on the lower side vis-à-vis that in the other neighbouring states. However due to the year round power cuts, the consumers end up paying much more as they have to constantly invest in the Investors and the Diesel Generator sets.