APERC’s increased tariffs to only benefit Jagan?

The APERC (AP Electricity Regulatory Commission), recommended an increase in the power tariff on Wednesday. Commission chairman Justice Nagarjuna Reddy released the proposed tariff at Tirupati. The commission proposed an average increase of Rs 1 per unit, with the proposed tariff now costing 45 paise more per unit for less than 30 units, 91 paise per unit for 31 to 75 units, Rs 1.40 per unit for 76 to 125 units, Rs 1.57 per unit for 126 to 225 units, Rs 1.16 per unit for 226 to 400 units and Rs 55 paise increased per unit for all units beyond 400 units, in the domestic sector.

The present charges are Rs 1.45 per unit below 30 units, Rs 2.09 per unit for 31 to 75 units, Rs 3.10 per unit for 76 to 125 units, Rs 4.43 per unit for 126 to 225 units, Rs 7.59 per unit for 226 to 400 units. Above 400 units, the government is charging Rs 9.20 per unit. The proposed tariff increase would give Rs 1,400 crore additional revenue to the Discoms from the domestic sector, with the state government expected to extend Rs. 11,123 Crores subsidy to eligible consumers.

This tariff increase is expected to cost a lot for consumers in the state, and especially affect middle-class consumers the most. On the whole, the popular belief is that the person who would benefit the most from this increased tariff is Chief Minister YS Jagan Mohan Reddy, who, according to experts and opposition party members, is getting back the money he’s spending in the form of welfare schemes, through this.