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Web Exclusive | September 2016

Coal price increase may push up power tariffs

With a hike in coal prices and levy of coal terminal charge, electricity consumers may end up paying more as discoms increase tariffs to counter the hike. This is due to the hike in coal price. Discoms and energy experts estimate a 10-14 paise per unit increase in electricity tariffs starting this October as discoms may choose to pass the increased power generation cost to the consumers. The cost of power generation in the state had firmed up by 5-7 per cent after the public sector giant Coal India Ltd (CIL) raised coal prices by 6.3 per cent few months back and the ministry of railways started levying coal terminal charge for loading and unloading of coal. 

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