Hyderabad: Telangana’s power distribution companies (DISCOMs) have proposed a tariff hike in their Annual Revenue Requirement (ARR) for the fiscal year 2024-25, aimed at generating Rs 1,200 crore to help cover a significant revenue gap of Rs 14,222 crore. The remaining deficit of Rs 13,022 crore is expected to be covered by state government subsidies.
In their ARR submission, DISCOMs have projected energy sales of 75,895 million units (MUs) and a power purchase quantum of 85,284 MUs. The estimated cost of power purchases is Rs 42,702 crore, while additional transmission costs, both inter and intra-state, are projected to add Rs 5,271 crore. The costs for the State Load Dispatch Centre (SLDC) are pegged at Rs 84 crore, and distribution costs are estimated at Rs 9,377 crore. Interest on consumer security deposits will account for Rs 423 crore.
The total ARR for the 2024-25 financial year is calculated at Rs 57,857 crore, while the expected revenue stands at Rs 44,835 crore, leaving a substantial revenue shortfall. The proposed Rs 1,200 crore tariff hike is intended to partly reduce this gap.
High Tension (HT) consumers are expected to see a significant hike in both energy and fixed charges. For those with loads at 33 kV and 132 kV or above, charges will align with those for 11 kV consumers. Fixed charges for HT consumers are set to increase from Rs 475 to Rs 500 per kVA.
For Low Tension (LT) consumers, no energy charge increase has been proposed. However, those consuming more than 300 units will see a rise in fixed charges.
