Power Tariff to Go up by Re 1 per Unit
Union Power Minister Sushil Kumar Shinde has said that power tariff will be up by Re 1 per unit (kwh) due to the government’s decision to increase gas prices on Wednesday, said media reports.
“The power tariff would go up. We have not worked out the details, but it is likely to be about Re 1 per unit,” Shinde was quoted as saying on the sidelines of a FICCI event.
The Central Electricity Regulatory Commission (CERC) regulates power tariff, reports said.
The government had on Wednesday hiked up the prices of natural gas by more than double to $4.20 per mm Btu, said reports.
In a cabinet briefing, information and broadcasting minister Ambika Soni said that the Cabinet also hiked the price of gas sold to power, fertiliser and city gas projects from Rs 3,200 per thousand cubic metres ($1.79 per million British thermal unit) to Rs 6,818 per thousand cubic metres ($3.818 per mmBtu), reports said.
The new gas rate would result in 2.75% increase in power tariff on an overall basis, and up to 20% hike in the price of compressed natural gas (CNG) for automobiles.
CNG currently costs Rs 21.90 per kg in Delhi.
(Based on internet reports)
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