Hyderabad: The state government is likely to take a decision on the increase in power tariff and forward proposals to the State Electricity Regulatory Commission Telangana (TSERC) within a few days.
G Energy Minister Jagadish Reddy and Finance Minister T Harish Rao held a meeting with officials Transco, Genco and Discom on Monday and discuss the possibility of increasing tariffs for different categories of consumers to bridge the gap and income.
Telangana Distribution Company has stated that there is a gap of Rs 21,500 crore of revenue earnings and revenue requirements for two years (2021-22 and 2022-23) and submit a proposal on 30 November.
Power utilities have estimated their revenue requirements for 2022 -23 at Rs 53 053 crore, while the requirement for 2021-2022 is Rs 45, 618 crore.
The state government has provided subsidies for various categories of consumers, especially the agricultural sector with the tone of Rs 5652 crore every year.
“Today, we have discussed about the increase in power tariff by officials over the direction of the Chief Minister K Chandrasekhar Rao.
Another meeting will be conducted immediately prior to completing the increase in power rates,” said Energy Secretary G Jagadish Reddy told TOI.
Apart from bridging the gap, the government will take power infrastructure projects, he added.
Minister said that in seven years as many as 57 lakh new connections, including seven lakh agricultural power connections, is given.
“Demand for power has increased from 7778 MW to 16 623 MW and the government spent Rs 33 722 crore,” said Jagadish Reddy.
During the meeting, the ministers took the opinions Transco and Genco’s Chairman and Managing Director (CMD) D Prabhakar Rao and Reddy TSPDCL CMD G Raghuma