Electricity rates in New Delhi to rise

Residents will pay 1.5% more for three months beginning May.

The rate increase was approved last week by the city’s power regulator to adjust the power purchase cost of the distribution companies.

The power purchase cost adjustment surcharge will be applicable on pro-rata consumption from this May to July. It will be calculated on the total energy and fixed charges billed to a consumer. However, it will not be levied on the 8% surcharge that consumers already pay.

Customers of BSES Rajdhani Power Limited and BSES Yamuna Power Limited will pay 4.5% as fuel surcharge while those of Tata Power Delhi Distribution will pay 3%.

These three distribution companies had submitted petitions to the government in April seeking much higher tariff hikes. BRPL wanted the variable PPAC component to be hiked by 9.2%, BYPL by 9.13% and Tata Power by 1.71%.

This is the second tariff increase in six months. The last hike raised rates from 1.5% to 3% in February.