BEST power tariff to fall by 3-10% in island city

MUMBAI: The BEST is cutting electricity tariff by 3-10% for residential consumers within the island city in 2018-19. It has sought a further 2-3% dip in cost in its mid-term review petition pending before regulator MERC, officials said.


"According to the multi-year tariff order of the MERC, we have got permission for a drop in tariff (see box for rates)," said a senior BEST official, who did not wish to be named.

So, if you were in the 101-300 units category, and your monthly bill was around Rs 1,000, the bill could come down by a maximum of Rs 80, the official said.

"Consumers can expect further savings due to a drop in monthly electricity bills for next financial year," he said, mentioning the 2-3% cut sought in the mid-term review petition.

BEST already has the cheapest power tariff in Mumbai for high-end residential users as compared to its rivals across the state. For commercial users/offices/business houses in the island city, the tariff has already dropped by more than 17% in the past two years, and this helped BEST retain its customers. In the industry category, the tariff dropped by 19% a couple of years ago. There could be a further reduction in these categories as well although the details are not known, sources said.

The BEST also plans to call in arrears from customers. A recent report had showed that Rs 79 crore had been recovered till date, but Rs 24.4 crore was yet to be recouped from government departments, and Rs 24.8 from non-government agencies. BEST committee member Rajesh Kusale agreed that pending dues were mounting.

Consumer activist Kamlakar Shenoy has petitioned the MERC alleging that BEST was "illegally" collecting double fixed charges from a section of electricity consumers in the island city.

BEST officials denied the charge, saying the power bills were being generated properly. Shenoy has demanded action against BEST officials.