State discoms hike industry power rates

Try to keep steady inflow of revenues under UDAY

Ten of the 26 states that signed up for the Ujwal DISCOM Assurance Yojana (UDAY) have increased energy charges for industries in the range of 3% to a whopping 25% in FY18. This is a new avenue to improve revenues as they undergo financial restructuring. 

Experts, however, said this was against one of the essential pillars of UDAY, though it might help reduce the financial stress of state power distribution companies (discoms) to some extent.

Till now, Andhra Pradesh, Assam, Bihar, Chhattisgarh, Odisha, Maharashtra, Gujarat, Madhya Pradesh, Uttarakhand and Meghalaya have revised tariffs. In Gujarat, the rates are almost the