Residents of Delhi may soon have to restructure their monthly budgets with the electricity bill set to become a heavier burden starting October.
While the charges remain the same, the Delhi Electricity Regulatory Commission (DERC) has increased the pension surcharge component by 2%, with the new rate applicable from October 1 onwards.
Additional costs like per unit energy cost and fixed charges will remain constant, as per DERC.
The 2% hike is limited to the ‘pension trust surcharge’ which now stands at 7% from earlier 5%.
DERC said, “After considering all the relevant factors, the Commission has come to the conclusion that there are no good reasons to make any increase in the existing tariff structure.”
What is Pension Surcharge?
Pension surcharge is a component of the electricity bill levied for the purpose of pensions given to retired power utilities employees. The surcharge has been in place from before the decentralisation of the electricity sector.
This pension surcharge collection is shared with power discoms to help them cover up for revenue deficits.
As reported by a leading daily, the regulatory asset surcharge will remain the same at 8%.
In 2020, the pension surcharge was increased from 3.8% to 5% after a similar tariff order by DERC.
