Mumbai multiplexes, malls under new tariff category

Mumbai: The Maharashtra Electricity Regulatory Commission (MERC) has introduced a new tariff category for all multiplexes and shopping malls in Mumbai having a sanctioned load of more than 20 KW and consuming power from Tata Power Company. The new category will have a tariff of fixed charge of Rs 300 per kVA per month and energy charge of Rs 6.25 per kWh.

The commission also increased the fixed charge for LT IV category, which includes floodlights, neon signs at various places and advertisements and hoardings in commercial establishments, to Rs 400 per month from Rs 200 per month and energy charge to Rs 12 kWh from the existing Rs 11 per kWh.

MERC introduced these changes to give an 'in-built' incentive to consumers to reduce their consumption, as the impact on the bills is designed to increase as the consumption increases.

It has noted that if the demand in Mumbai continues to grow at the current rate, then it is likely that the city, including consumers of Tata Power Co, will have to face load shedding during system peak hours, even after paying the reliability charges.

In its Tariff Order for 2007-08, the commission has directed Tata Power Company's Distribution Business to achieve a two per cent reduction in costly power purchase.