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Discoms lower tariff for BPL, Astha categories to 4.5 a unit
Discoms lower tariff for BPL, Astha categories to 4.5 a unit

Time of India

time5 days ago

  • Business
  • Time of India

Discoms lower tariff for BPL, Astha categories to 4.5 a unit

Jaipur: The state's discoms, in their revised petitions to Rajasthan Electricity Regulatory Commission (RERC) for approval of aggregate revenue requirement (ARR), electricity tariffs, and investment plans for financial year 2025–26, have reduced the power rates proposed for BPL and Astha consumers. Earlier, Rs 6 a unit was proposed for these categories of consumers. Discoms, during the hearing of their petitions by RERC Monday, said they brought down the rate to Rs 4.5 a unit considering the views of stakeholders. However, stakeholders said that the tariff was still higher compared to states like Gujarat and Maharashtra, where the rates are Rs 1.5 and 1.56, respectively. They highlighted that the effective fixed charge for BPL and Astha Card consumers in Rajasthan, calculated based on data from the Jaipur discom, stands at Rs 421 per kW per month, substantially higher than the corresponding rates in other states, which are just Rs 5 in Gujarat and Rs 34 in Maharashtra. Anshuman Gothwal from Centre for Energy and Environment People (CEEP) expressed concern over the continued issues of inequity and the lack of cost-reflectiveness in the proposed tariff structure. He said, "The tariff design appears to favour high-consumption households, as they bear comparatively lower fixed charges on a per-kW basis. This results in low-usage, economically weaker consumers effectively subsidising those with higher electricity consumption—an outcome that contradicts the principles of progressive and equitable tariff design. "

Raj's 3,200MW thermal power tender draws experts' criticism
Raj's 3,200MW thermal power tender draws experts' criticism

Time of India

time20-05-2025

  • Business
  • Time of India

Raj's 3,200MW thermal power tender draws experts' criticism

Jaipur: Energy sector experts on Tuesday expressed serious concerns against the state power procurement agency, Rajasthan Urja Vikas and IT Ltd 's (RUVITL) move to invite bids for securing 3,200 MW of thermal power for 25 years. The Rajasthan Electricity Regulatory Commission (RERC) heard the matter on Tuesday but postponed the final hearing to July, considering additional submissions made by stakeholders. In December 2024, RUVITL issued a tender seeking a long-term supply of coal-based power . The move, which aims to meet the state's projected power deficit in FY 2031-32, drew sharp criticism from stakeholders, who said the proposal was economically unsound and technically unsubstantiated. Anshuman Gothwal of the Centre for Energy, Environment & People (CEEP) said that the state agency failed to explain why such a long-term coal tie-up was the most cost-effective solution. "RUVITL has not furnished any analysis to support the economic or technical prudence of choosing coal over cleaner and cheaper alternatives such as firm and dispatchable renewable energy (FDRE) sources like solar or wind combined with long-duration energy storage. The omission raises serious questions about the rationale behind the tender," said Gothwal. Experts argued that choosing coal in the face of cheaper and cleaner alternatives would burden both the state and its electricity consumers. In recent national-level bids by SECI (Solar Energy Corporation of India), tariffs for solar coupled with energy storage (FDRE) hovered around Rs 3.52 a unit. They said adopting solar with storage could bring down the tariffs for consumers by nearly Rs 50 a unit, while coal-based power is expected to push the tariff up by more than Rs 1 a unit. According to an analysis, adopting FDRE instead of coal could save the state nearly Rs 5,960 crore in just the first year of operation, with cumulative savings of over Rs 58,000 crore within a decade.

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