Telangana government is planning to increase the power tariff as it is incurring heavy losses year after year. The new power hike is likely to come into effect from April 2022. Telangana State Southern Power Distribution Company Limited (TSSPDCL) and Telangana State Northern Power Distribution Company Limited (TSNPDCL) have submitted their aggregate revenue requirements (AAR) to Telangana State Electricity Regulatory Commission (TSERC) for 2021–22 and 2022–23. In the last six years, there was no increase in power tariff.

In the current scenario, it is necessary to increase one rupee per unit so as to meet the financial crisis as per DISCOMS.

If there is an increase of 5-10 paise per unit then it takes a long time to overcome the financial problems, so the DISCOMS are planning to increase Re 1 per unit.

ERC chairman said that "The Discoms’ revenue gap for 2021-22 is Rs 10,624 crore and if the revenue gap of 2022-23 is also added, the total gap would be Rs 21,552 crore. ARR filings are not accompanied by tariff proposals as per the provisions of the Regulation."

TSERC had observed that to bridge the revenue gap and strengthen the financial position of DISCOMS there is a need to enhance the retail supply tariff. So, the electricity bills may increase after April 2022.

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