The power tariff hike that came into effect from Sunday will impact 43 per cent of the 2.5-crore consumers in Andhra Pradesh.
Those consuming less than 500 units per month in the State, who constitute 57 per cent of the consumers (1.42 crore), have been left untouched, according to Mr Ajay Jain, Chairman and Managing Director of AP Transco.
During an informal meet, Mr Jain said the tariff proposals have factored the increased cost of fuel — coal and gas and other inputs and transmission costs before finalising the new tariff structure. The cost of generation has gone up from Rs 3.18 a unit in 2004 to Rs. 4.42 this year. The tariff hike has been limited as transmission and distribution losses have been brought down from 22.3 per cent in 2004 to 16 per cent in last year.
He said that the Government has assured seven hour power supply to 30-lakh farm sector consumers.
For the first time, fuel surcharge provision has been made for the entire year. If the hydel power generation goes up, the benefits could be passed on to consumers.
According to proposals, domestic category who consume less than 500 units a month have not been levied any new tariffs. The tariff for consumers in 51 to 100 units category has been hiked from Rs 2.60 to Rs 2.80 a unit.
The tariff has been hiked from Rs 3.05 a unit to Rs 3.60 a unit for 100-200 units a month slab; Rs 4.75 to Rs 5.75 for 200-300 unit slab, Rs 6 to Rs 6.75 for 300-500 slab and Rs 6.25 to Rs 7.25 for 500 units and above.
The tariff for industrial consumers has been increased from Rs 4.13 a unit to Rs 5 a unit. For the ferro alloys units, it is up from Rs 2.65 a unit to Rs 3.65 a unit and further more for other higher categories.
New category
A new category has been carved out for aviation wherein it has been hiked from Rs 4.10 a unit to Rs 4.54 a unit. The railway traction too, has been increased from Rs 4.45 a unit to Rs 5.43 a unit.
Meanwhile, political parties and trade bodies have expressed concern about the tariff proposals.
These proposals are lower compared to neighbouring States, Mr Jain said.