Bihar power shock: BERC increases electricity tariffs by 55%

After three years, the power tariffs delivered a big shock in Bihar. The Bihar Electricity Regulatory Commission (BERC) approved an unprecedented 55 per cent increase in electricity tariff. The hike is expected to boost distribution companies’ kitty by Rs. 4,700 crore. From the next month onwards, the consumers would now have to shell out Rs. 2.75 to Rs. 3.65 per unit more under the approved tariff for the next fiscal. “The DISCOMs have proposed overall hike of about 84 per cent in the tariff for FY 2017-18, whereas we have approved overall increase of about 55 per cent without taking state government’s subsidy into account,” said BERC chairman S K Negi. “However, if the state government extends subsidy support to BPL and rural consumers as agreed in the Ujjwal DISCOM Assurance Yojna (UDAY), the increase may come down to around 28 per cent only,” he added. However, even after the adjustment of subsidy into the revised tariff, it would still be sharpest ever increase in the power …