Gujarat govt reduces fuel surcharge on power consumption 

The government said the reduction in fuel surcharge is due to availability of cheaper coal and gas in the international markets.

In a move that will marginally reduce the electricity bills for many consumers, the state government on Wednesday said it has decided to reduce the fuel surcharge by 19 paise for every unit of power consumed.

The reduction in prices will be applicable only to 1.4 crore customers who are under the four state-run power distribution firms. The government said the reduction in fuel surcharge is due to availability of cheaper coal and gas in the international markets.

In an official release issued here in this regard, the state government stated that the four power distribution companies under the Gujarat Urja Vikas Nigam Limited were charging Rs 2 as fuel surcharge on per unit of power for the July-September 2020 quarter. Now this has been reduced to Rs 1.81 for the October-December 2020 quarter. The state government said that the price reduction will provide a total benefit of Rs 356 crore to consumers for the quarter.

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