Residents of Karnataka will have to pay higher amounts for electricity starting on October 1, after Karnataka Electricity Regulatory Commission (KERC) increased power tariffs for the third time this year. The hike is a result of modifications made as part of Fuel Adjustment Charges (FAC). Bengaluru residents will have to pay an additional 43 paise per unit, while residents under the Mangalore Electricity Supply Company Limited (MESCOM) will pay an additional 24 paise per unit.
Hubli Electricity Supply Company Limited (HESCOM), Chamundeshwari Electricity Supply Corporation Limited (CESC), and Gulbarga Electricity Supply Company Limited (GESCOM) customers would each pay an additional 35 paise per unit. "The commission having recognised the increase in FAC changes along with the increase in the overall power purchase cost, during the first quarter of FY23 decides to allow the ESCOMs to collect the FAC per unit of sale in all the energy bills to be issued from October 1 to March 31, 2023," the KERC order stated.
Prices are valid from October 1 until March 31, 2023. According to KERC authorities, the prices have increased as a result of rising coal prices and other costs. According to BESCOM MD Mahantesh Bilagi, the KERC periodically reviews tariff prices for FAC based on coal purchase cost prices and conducts this exercise once every three months. This year, the KERC has raised electricity rates three times. In April, it rose by an average of 35 paise per unit, and in June, it rose by 25 to 30 paise per unit.
Consumers will be responsible for paying the price hikes brought about by the June order as well as the September order from October through December 31. From December to March, only the third order of the price hike will be in place, according to a report in Deccan Herald.