Punjab wasting 30 percent surplus power, need to revisit domestic tariff

CHANDIGARH : Punjab is neither able to consume 30% surplus power within state or sell it outside as cheap power is available through exchange as such it must devise other ways and means to make best use of surplus power.
The recent tariff order issued by Punjab state Electricity Regulatory Commission (PSERC) has reduced the industrial tariff for small power consumer by 38 paise per unit, 36 paise per unit for medium supply consumer and 11 paise for large supply in order to boost the power consumption as the growth in the industrial sector has slowed down and is below the national growth rate.
The peak load hour restrictions surcharge of Rs. 2 per unit has been removed .A lower base tariff of Rs. 4.99 per unit is chargeable from industrial consumers for the additional power used above the threshold limit of last two years annual consumption.
The total power consumed by industry is 14736 million units out of this 78.79% is consumed by large scale industry, 14.86% by medium scale industry and balance 6.35%is consumed by small scale industry.
The domestic tariff rate has not been touched by the PSERC and the existing three slab system of Rs.4.56 for first 100 units , Rs. 6.14 for next two hundred units and Rs. 6.56 for units above 300 units remain unchanged. The cost of supply for domestic consumers is Rs. 6.02 per unit. The first 100 units of power is supplied at a subsidized rate of 20.75% whereas those consuming above 300 units are paying 20.89% extra.
In the slab of 100 units the supply is 5902 million units, in the next slab of 100-300 units the power supply is 4243 million units and 3382 million units are supplies in the top slab of more than 300 units. The total domestic supply is 13528 million units. The total metered sales within the state is 33032 million units.
The tariff relief given to the industry is not sufficient to increase the power consumption drastically in the state. It may happen after few years when industrial growth in state picks up and achieves growth rate equivalent to national level. The cheap power is not only the criteria for industrial growth in Punjab.
There is a need to enhance domestic consumption of power as the paying capacity of people of Punjab has increased. The use of domestic electrical gadgets is increasing and the urban middle class people will be willing to pay enhanced bills if domestic tariff is brought down to a reasonable level and round the clock supply is ensured.