Respite for consumers: Kerala offers 20% to 50% subsidy on electricity bills

Respite for consumers: Kerala offers 20% to 50% subsidy on electricity bills
Households, where electronic gadgets and appliances are used excessively stare at ‘shocking’ current bill.

In the wake of growing criticism that the electricity board has been fleecing domestic consumers with inflated power bills, the state government on Thursday decided to offer 20 to 50 per cent subsidy on the additional amount.

The concession was announced by Chief Minister Pinarayi Vijayan at his customary Covid press conference in Thiruvananthapuram on Thursday.

Usually, BPL families who use up to or below 40 units of electricity a month with less than 500 watts of connected load are given power free of cost. It has now been decided to offer free even the additional power, over the 40 units ceiling, these poor households had consumed during the lockdown. They need no pay for the additional power they had used during the four months from February to May.

Those using up to 40 units a month but with a connected load of 1000 watts are provided power at Rs 1.50 per unit. The additional power they had consumed will be charged at Rs 1.50 per unit itself, the higher unit cost that is applicable for consumption beyond 40 units will not be imposed on them.

Those who use up to 50 units will get 50 per cent subsidy on their additional bill amount (difference of the new bill and the previous bill).

For example, if a consumer's new bill is Rs 1,000 as against his last bill of Rs 500, she will get 50 per cent subsidy on the additional amount of Rs 500. This means she will get Rs 250 as subsidy, and she has to pay Rs 750 this month.

Those who had normally consumed only up to 100 units a month will get 30 per cent subsidy on the extra bill. Consumers who use up to 150 units will get 25 per cent subsidy on the extra bills while those who use above 150 units will get 20 per cent subsidy on the extra bill, extending the subsidy to all class of consumers. However, a household will be eligible for subsidy only if it had scaled up to a higher consumption slab during the lockdown period. Take for instance a household in the 0-300 units slab. If the household was found in the same slab during the lockdown period, it will not be eligible for subsidy. In other words, there will be subsidy only if there is an abnormal spike in the power bill.

The chief minister said consumers can pay the bill in five instalments. The state electricity board had earlier given three-instalment facility to the consumers.

“The electricity board will incur additional liability of Rs 200 crore. “However, this will benefit 90 lakh consumers,” he said.

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