It has been proposed to increase electricity rates in Madhya Pradesh. Madhya Pradesh Power Management Company has proposed to eliminate the slab between 151-300 units. This may put more burden on middle class consumers.
By Prashant Pandey
Published Date: Mon, 06 Jan 2025 07:50:40 AM (IST)
Updated Date: Mon, 06 Jan 2025 07:54:03 AM (IST)
HighLights
- Proposal to increase electricity rates in Madhya Pradesh.
- The burden will be greater on middle class consumers.
- The slab between 151-300 units will be eliminated.
Naiduniya Representative, Jabalpur(Electricity Rate Hike). The electricity company is trying to put the burden on domestic consumers by increasing the rates. Madhya Pradesh Power Management Company has given a proposal to Madhya Pradesh Electricity Regulatory Commission to abolish the slab between 151-300 and charge flat rate after 151 units.
If the proposal is accepted, the biggest loss will be to those middle class consumers who come outside the scope of subsidy. There are about 25 lakh such domestic consumers in the state, on whom preparations are being made to impose a burden of 50 paise per unit.
Madhya Pradesh Power Management Company has filed a petition in this regard in the Madhya Pradesh Electricity Regulatory Commission. Before hearing on this, the Commission has invited objections from the public till January 24.
Let us tell you that MP Power Management Company has stated the total revenue requirement for the financial year 2025-26 as Rs 58744 crore and the revenue received at current rates as Rs 54637 crore. The company has proposed an average increase of 7.52 percent to compensate for this difference amounting to Rs 4107 crore.
Four categories of consumers combined into three
In this proposal, the company has reduced the four categories of electricity consumption of domestic consumers into three. The first category has been kept at 50 units, the second category at 51 to 150 units and the third category above 151. Currently, separate rates were fixed for the category of 151 to 300 units.
Now the company wants to fix a rate above 151 units. Due to this, it is proposed to impose a burden of 50 paise per unit on the consumer. At present there are 1 crore 27 lakh total domestic consumers in the state. In this, the electricity company gives subsidy to about one crore consumers. These consumers fall within the range of monthly consumption of 150 units.
The company bills Rs 100 for 100 units and the normal rate for the next 50 units, saving the consumer over Rs 450. Meanwhile, there are more than 25 lakh electricity consumers whose monthly consumption remains within 151 to 300 units. Now such consumers will also have to pay the bill at flat rate.
More burden on middle class
Advocate Rajendra Aggarwal, an expert in electricity matters, said that due to the change in tariff, more burden is being put on middle class consumers whose monthly consumption is between 151 units to 300 units. This class is outside the scope of government subsidy, hence they have to pay the full price of electricity.
one rate plan
CGM Shailendra Saxena of Madhya Pradesh Power Management Company said that the company wants to fix one rate by eliminating the slab of 151 to 300 units. Electricity bill will be charged at a normal rate from such category of consumer.
Current and proposed electricity rates for domestic consumers
Unit–Now—Offer—-Increase
Upto 50 units- 4.27 —- 4.59 —- 32 paise
51- 150 units- 5.23—- 5.62—- 39 paise
151-300 units- 6.61—- 7.11—– 50 paise
More than 301 – 6.80—- 7.11—– 31 paise
