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UP Electricity Tariff Increase 2015-16: Rates Rise by Rs 0.40–1.00 per Unit – What Consumers Need to Know

UP Electricity Tariff Increase 2015-16: Rates Rise by Rs 0.40–1.00 per Unit – What Consumers Need to Know

 

As per the approved tariff order of UPERC dated 18th June 2015, the tariffs for the consumers in the state of Uttar Pradesh are increased for all the consumer categories. The increased electricity tariffs varies from Rs 0.40 per unit to Rs 1.0 per unit depending on your consumer category (with the exception of Private Advertising and Sign Post) and the number of units consumed. A Unit is equivalent to one kWh (kilo watt hour).

 

The highest increase in tariff is witnessed by the Private Advertising and Sign Post going up from Rs 14 per kWH to Rs 18 per kWh. The demand charges are also significantly increased for this category.

 

Apart from an increase in the Fixed Charges and Variable Charges, the regulatory surcharge has also been increased from 5.22% to 7.12% which is applicable on the fixed and variable charges. The regulatory surcharge for Noida electricity consumers remains same at 8% as per the order. KESCO (Kanpur) consumers will be levied a regulatory surcharge of 4.13% only.

 

Overall the variable charges (consisting of Energy charges, Regulatory Surcharge and Taxes) will vary from a minimum of Rs 6.00 to a maximum of Rs 8.8 per kWh for the urban domestic, commercial and industrial consumers in the state. The demand charges will be over and above these charges.

 

The electricity charges for the consumers in Noida are typically lower by around 15 paise per kWh (Unit) vis-à-vis that for the other consumers in the state. However, the regulatory surcharge is more here by 0.88% (around 6-10 paise per kWh).

 

In another important decision, for the purpose of billing below 10 kW load, the fixed charge will be computed on the basis of contracted load in kW. Therefore, consumer upto 10 kW load will have to pay fixed charges as per their contracted load. However, for all consumers with contracted load of 10 KW and above having TOD/Demand recording meters installed, the billable load during a month shall be the actual maximum load as recorded by the meter or 75% of the contracted load, whichever is higher.

 

As such there is a strong incentive for the consumers having more than 10 KW load to decrease their maximum load to the extent possible. Rooftop solar solutions can be one way of decreasing the maximum peak.

 

FPPCA (Fuel and Power Purchase Cost Adjustment) surcharge is also expected to be further imposed on the consumers over and above their tariffs. The FPPCA surcharge would vary across categories depending on their approved Average Billing Rate.

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