The Tamil Nadu Electricity Regulatory Commission (TNERC) has announced a 4.83% increase in electricity tariffs across all consumer categories, effective from July 1. The decision raises questions about whether the government will absorb the hike for subsidized consumers, such as domestic users, huts, agricultural operations, handlooms, and power looms.
According to TNERC's order, domestic consumers will see an increase ranging from Rs 0.20 to Rs 0.50 per unit. In multi-storey buildings, energy charges will rise to Rs 8.55 from Rs 8.15 per unit, and fixed charges will increase to Rs 107 from Rs 102 per kilowatt per month.
Tangedco, the state electricity board, stated that out of 2.47 crore consumers, 1 crore will not be affected by the tariff hike. Consumers using up to 200 units will experience a Rs 10 increase in their bi-monthly billing cycle, those using up to 300 units will see a Rs 30 increase, and those consuming more than 500 units will face an Rs 80 increase.
For other low-tension (LT) consumers, the tariff increase ranges from 20 to 60 paise per unit, with fixed charges rising from Rs 5 to Rs 27 per kilowatt per month. High-tension (HT) consumers will face a hike of 35 to 60 paise per unit, with demand charges increasing by Rs 27 per kVA per month.
Sources indicated that the government would cover Rs 660 crore of the additional burden on various consumers this year, though specific subsidy details have not been provided.