Electricity Rates Hike: Big shock of inflation, electricity became expensive, rates increased after 5 years

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Electricity prices have increased in Chandigarh. The Joint Electricity Regulatory Commission (JERC) has approved the increase in electricity rates in Chandigarh. A tariff hike of 9.4% has been approved for the financial year 2024-25 with effect from 01.08.2024 and due to this electricity has become expensive in Chandigarh.

As per the mandate of Electricity Act (2003), JERC has to ensure stability of electricity. It has decided to increase the electricity tariff keeping in mind the cost of power purchase, revenue generation and other expenses.

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According to information, UT’s electricity department has set a target of increasing revenue by 19.44 per cent in the financial year 2024-25 and therefore proposed this but JERC has approved a tariff hike of 9.40 per cent. However, compared to Punjab and Haryana, Chandigarh will still get electricity at a lower price.

In Punjab, domestic connections will be charged at Rs 4.88 per unit (average) for 0-100 units, Rs 6.95 per unit (average) for 101-300 units and Rs 7.75 per unit for 301 and above units. On the other hand, Haryana domestic connection is Rs 2 per unit for 0-50 units, Rs 2.50 for 51-100 units, Rs 2.75 for 0-150 units and Rs 5.97 per unit for slab 151 units and above.

It may be mentioned that earlier in Chandigarh electricity rates were increased in the year 2018-19. Electricity tariffs were reduced by 9.58% for the year 2021-22. In a meeting chaired by UT administrator Gulab Chand Kataria, the engineering department was asked to look into the matter and now the new rates have been approved and the rates will be applicable from August 2024.

On the other hand, earlier the High Court had also given green signal to the privatization of Electricity Board in Chandigarh. This case was going on in the court for many years, but recently the court gave its decision on this petition.

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