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Bescom Proposes Significant 67-91 Paise per Unit Tariff Hike for Next Three Years | Bengaluru News

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Bescom seeks 67-91 paise/unit tariff hike for next 3 yrs

Bengaluru: To meet the rising expenses incurred for the purchase of power to manage surge in demand, Bangalore Electricity Supply Company (Bescom) has sought revision of power tariff: 67 paise per unit for 2025-26, 74 paise per unit for 2026-27, and 91 paise per unit for 2027-28.
For the first time, the utility has sought a three-year tariff revision in line with Karnataka Electricity Regulatory Commission (KERC) directive to adopt the multi-year tariff method.
KERC will conduct hearings with stakeholders, escoms and citizen groups before announcing the final tariff revision by March-end. Going by historical data, KERC approves 20%-35% of the hike amount sought by escoms.
According to Bescom’s petition, the tariff revision was necessitated by surging demand and support pension for employees of the erstwhile Karnataka Electricity Board.
“Nearly 85% of the revised tariff will be spent towards purchase and transmission of power. The demand for power has been constantly surging, post Covid pandemic, especially in the commercial and industrial sectors. Bridging the widening gap between demand and supply, we went in for increased purchase of power, incurring huge expenses,” explained an energy department officer, adding they would have asked for 25-30 paise hike per unit if employees’ pension was not covered in the tariff.
The surge in demand is largely due to the renewed focus on medium- and small-scale industries, along with commercial establishments that have come up recently. As the city and its adjoining districts are transforming into industrial hubs, there will be more demand for energy in the coming days, said the official.
Unlike the previous years, the revision in tariff is unlikely to pinch the pockets of citizens as nearly 2 crore households are covered under the state government’s Gruha Jyothi scheme and the state government is likely to bear their burden in the form of subsidy.
Even though Bescom has filed a tariff revision petition for the next three years, it can still seek mid-term review depending on the expenses incurred year on year. “These tariff estimates exclude fuel-adjustment charges, which will again be determined periodically,” said an accounting official from the energy department.
Infographic on Tariff Revision sought by Esocms in the last one decade and tariff approved by KERC
YEAR
Tariff sought by ESCOMS (Paise/unit)
Tariff approved by KERC
(Paise/unit)
2011-12
88
23
2012-13
73
13
2013-14
70
23
2014-15
66
13
2015-16
102
30
2016-17
102
48
2017-18
148
48
2018-19
82
13
2019-20
120
33
2020-21
126
40
2021-22
135
30
2022-23
194
35
2023-24
139
70
In 2024-25, the KERC had not only merged the previous slabs to bring all categories including subsidized consumers under one category but also reduced the energy prices by 110 paise per unit.
EoM //— MSID:: 115977457 413 |

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