Power Tariff hike In Odisha To Be Effective From April 1
24 March, Bhubaneswar
Power tariff will be hiked in Odisha with effect from 1st April .
The Odisha Electricity Regulatory Commission(OERC) Tuesday announced tariff hike for 2015-16 financial year for domestic category consumers by 20 paise per unit while for agriculture sector by 40 paise per unit.
The tariff for electricity for the farming sector was hiked by 40 paise per unit — the first such hike in 15 years.
However, the monthly minimum charges and meter charges have remain unchanged.
The reasons for tariff hike is reportedly due to increase in the number of electricity consumers, inadequate generation of low cost hydro power to meet growing demands and rise in the cost of coal and furnace oil.
“The Commission was forced to resort to a tariff hike due to a steep rise in coal prices and the Central Electric Regulatory Commission (CERC) directive to increase tariff,” said OERC secretary G.K. Dhal.
“The principal reason for tariff hike in 2015-16 is due to the pass through of Rs.740.72 crore towards past power purchase dues of NTPC by GRIDCO as per the CERC order dated 15 May 2014,” said an OERC release.
The opposition Congress and BJP have criticised the power tariff hike, while Minister of State for Energy Pranab Prakash Das, defending the OERC decision , has said an increase by 20 paise per unit on domestic use will hardly hit the consumers.
Leader of Opposition Narasingha Mishra of Congress said that the hike in the power tariff on farming sector proved that Naveen Patnaik government’s lack of interest in the development of farmers.
Electricity consumers’ association president Ramesh Satapathy criticised the state government for the hike.