Tata Power’s Mumbai customers to pay lower tariff
7.5 lakh consumers get substantial tariff reduction after an order by Appellate Tribunal for Electricity (APTEL)
Tata Power shares up 12 per cent after upgrade
New Delhi Tata Power on Friday said its 7.5 lakh consumers in Mumbai to get substantial tariff reduction after an order by Appellate Tribunal for Electricity (APTEL), staying hike by state regulator MERC.
"The APTEL today passed an order granting interim relief sought by Tata Power by staying the Maharashtra State Electricity Regulatory Commission's (MERC) revised tariff schedule on MTR (multiple tariff revision) frameworks approved by the Hon'ble Maharashtra Electricity Regulatory Commission (MERC)," a company statement said. In the interim period, the tariff proposed by the company to MERC on March 31, 2020, becomes applicable once again, it added.
This tariff is 25-35 per cent lower than the existing one and will be for the benefit of the consumers, according to the company. The consumer of Tata Power will benefit from this order. It also vindicates the stand of Tata Power that it can offer cheaper electricity to Mumbaikars, it stated. Customers of Tata Power in Mumbai will get the benefit of this order, as the company will be able to pass on the relief to its 7.5 lakh consumers, it said.
Tata Power, in its pursuit of fairness and affordability for its customers, approached APTEL, seeking an interim stay on the recent tariff order, dated March 30, 2023, issued by the MERC, it stated. The said tariff order would have increased the price paid by consumers despite Tata Power maintaining a competitive average cost of supply, it explained. "We will ensure that the relief granted by the APTEL is passed on to our 7.5 lakh consumers, further reinforcing our steadfast commitment to fairness and affordability in all our operations," Tata Power President, Transmission and Distribution, Sanjay Banga said.
