Electricity to Get Cheaper in Rajasthan, Consumers to Get Major Relief | Udaipur Kiran


Jaipur, October 3 (Udaipur Kiran News): Rajasthan power distribution companies — Jaipur, Jodhpur and Ajmer Discoms — have presented their tariff petitions for the financial year 2025–26 before the Rajasthan Electricity Regulatory Commission (RERC) on April 2, 2025. Acting on these petitions, the Commission on Friday approved revised power tariffs aimed at simplifying the structure and reducing costs for consumers across categories.

Despite rising operational and supply costs, the Discoms have prioritized consumer interest by rationalizing tariffs and reducing multiple charges. The new structure seeks to make the tariff system simpler and more transparent.

For the first time, Discoms have proposed a reduction in energy charges across almost all consumer categories. Only the domestic consumers using up to 50 units per month will continue paying the same ₹4.75 per unit. When the petitions were filed, consumers were paying ₹0.70 per unit as fuel surcharge. Discoms have now proposed a regulatory surcharge of ₹0.70 per unit for domestic consumers using up to 100 units per month, and ₹1 per unit for other categories, including industrial users.

No Impact of Regulatory Surcharge on 300-Unit Domestic Consumers

Rajasthan has around 1.35 crore domestic consumers, of which 1.04 crore receive subsidies under the Chief Minister’s Free Electricity Scheme. About 62 lakh consumers, who use up to 100 units per month, pay zero bills due to the subsidy. The government will also bear the burden of the regulatory surcharge for these users.

For domestic consumers in the 51–150 unit slab, energy charges have been reduced from ₹6.50 to ₹6.00 per unit, giving relief of ₹0.50 per unit. Similarly, consumers in the 150–300 unit slab will get ₹0.35 per unit relief.

In the industrial category, rates have been unified:

  • Large industries: reduced from ₹7.30 to ₹6.50 per unit

  • Medium industries: reduced from ₹7.00 to ₹6.50 per unit

  • Small industries: unified at ₹6.00 per unit

Relief for Over 20 Lakh Agricultural Consumers

For agriculture consumers, energy charges have been reduced from ₹5.55 to ₹5.25 per unit. The state government will bear the regulatory surcharge for them as well.

Plan to Reduce Regulatory Assets Burden

Rajasthan Discoms are burdened with regulatory assets worth ₹49,800 crore — accumulated deficits recognized by the regulator but not yet recovered through tariffs. To reduce this burden, Discoms have proposed regulatory surcharges. Revenue collected will be used to repay loans and strengthen power infrastructure, helping reduce supply costs in the long run.

Discoms are also focusing on reducing power purchase costs by expanding solar energy capacity. Over 1,800 MW of decentralized solar projects have been commissioned under the KUSUM scheme. The state targets 12,000 MW of solar capacity.

Through improved power purchase management, the average power purchase cost has come down from ₹5.07 per unit (2023–24) to ₹4.87 per unit (2024–25).

With the proposed regulatory surcharge, regulatory assets could be reduced by ₹6,700 crore, improving financial health and service quality.

Rajasthan’s Supply Cost Still Higher Than Many States

Average power supply cost per unit:

  • Rajasthan: ₹7.96

  • Andhra Pradesh: ₹7.26

  • Madhya Pradesh: ₹7.14

  • Uttar Pradesh: ₹7.84

Rajasthan faces high supply costs due to geographical challenges, long transmission distances, and higher transportation costs for coal. In western Rajasthan, scattered populations and deep water tables increase infrastructure costs.

Despite this, maximum power tariffs in Rajasthan remain lower than in states like Maharashtra, Tamil Nadu, and Andhra Pradesh:

  • Domestic: ₹7.50/unit

  • Commercial: ₹8.50/unit

  • Industrial: ₹6.50/unit

Summary

With simplified tariffs, reduced energy charges, and state-backed subsidies, Rajasthan consumers will benefit significantly. The new tariff structure aims to balance affordability with financial sustainability, while promoting clean energy and efficient cost management.

 

 



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