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Home KSEB Partial Relief for power consumers in Kerala

Partial Relief for power consumers in Kerala

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KSERCThe State Cabinet has announced a partial relief for consumers from the steepest hike in electricity tariff in 10 years notified the other day. An estimated 69 lakh consumers are expected to benefit, Chief Minister Oommen Chandy told media persons after a meeting of the Cabinet on 01-08-2012.

The State government will extend subsidy for consumers with a maximum level of consumption of 120 units a month. It has also decided to absorb in entirety the hike announced for electricity used for agricultural purposes/activities.

The State government will provide a grant of Rs 294.66 crore to the public sector utility Kerala State Electricity Board (KSEB) to implement the concessions announced.

The situation will be reviewed after three months and appropriate decision taken on persisting with these concessions based on the situation prevailing then.

The Kerala State Electricity Regulatory Commission had imposed an average 30 per cent hike in tariff across all classes of consumers.

"The State government is duty-bound to implement the orders of the regulator and that is why a grant is being provided to KSEB to make good its loss through concessions announced," Chandy said.

The public utility had sought to mop up additional revenues of Rs 1,676.84 crore through the revision in tariff.

But it had triggered widespread protest in the State and hence the announcement of subsidy to domestic consumers, a State government official said.

No relief has been announced for domestic consumers falling in the higher slabs of consumption or the trade and industrial sector.

Source- Hindu


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