Electricity tariff relief: State government announces reduction in power tariff by 19 paise per unit, will benefit 1.40 crore power consumers in the state.
Consumers will get relief of Rs 356 crore in three months: Energy Minister Saurabh Patel
Power consumers will directly benefit from lower power generation costs
The state government has announced a significant reduction in electricity prices. State Energy Minister Saurabh Patel has announced a reduction of 19 paise per unit in electricity tariff. He said the government has decided to reduce the fuel surcharge levied on consumers by state-owned power companies. As a result, more than 1.40 crore customers in the state will get a three-month relief of Rs 356 crore.
The reduction will provide a relief of Rs 356 crore to power consumers
Energy Minister Saurabh Patel said that in addition to energy charge, fuel surcharge is levied on electricity bill from consumers consuming electricity. The collection of this fuel surcharge is based on the formula laid down by the Hon'ble Gujarat Electricity Regulatory Commission. During the last quarter i.e. during the quarter of July 2020 to September 2020, all the four power distribution companies under Gujarat Energy Development Corporation Limited were levying fuel surcharge at the rate of Rs. 2.00 per unit. Against this, a fuel surcharge of Rs 1.81 per unit has to be levied during the October-December-December 2020 period. . The reduction will provide a relief of Rs 356 crore to power consumers.
The state government has announced a reduction in fuel charges for the three months of October, November and December. The government announced a reduction of 19 paise per unit. Currently, the fuel surcharge is Rs 2 per unit. Which will now be 1 rupee and 81 paise. The state government's decision will benefit 14 million power consumers in the state to the tune of Rs 356 crore in three months.
Energy Minister Saurabhbhai Patel said that the state government led by Chief Minister Shri Vijaybhai Rupani has taken various decisions in the interest of consumers so that the power consumers in the state get electricity at cheaper rates and the burden of power generation costs is not borne by the consumers. The state government has decided to reduce fuel surcharge from consumers by 12 paise per unit.
Relief in electricity bill with direct benefit
The main reason for the decline in fuel surcharge is that during this quarter, the state government has purchased gas at cheaper rates in the interest of consumers, and has produced gas-based power, which has reduced power generation costs, which the state government has decided to directly benefit. This means that more than 1.40 crore consumers will get these benefits directly, which will reduce their electricity bills and reduce their bills, he added.
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