J&K administration blames low metering for hike in electricity tariff

Srinagar, June 23

While facing criticism over arbitrary power tariff hike, the Jammu and Kashmir administration on Sunday stated that the electricity tariff rates in J&K are set by the Joint Electricity Regulatory Commission (JERC), an independent body.

JERC fixes power rates

• J&K admn says JERC calculates rates to cover costs such as power purchase, genuine transmission expenses, staffing, and maintenance
• In Kashmir region, only 32% of residential consumers are metered and are being billed as per actual metered consumption
• 68% of residential consumers charged on a flat-rate basis, which often does not correspond to their actual connected load or consumption

“These rates are meticulously calculated to cover costs such as power purchase, genuine transmission expenses, staffing, and maintenance, to ensure that consumers are charged fairly. It is pertinent to mention that in J&K, the electricity tariff being charged from consumers stands as one of the lowest across the country,” a government spokesman said.

On Saturday, Apni Party president Altaf Bukhari accused the Power Development Department of “unfairly punishing poor residents of J&K by raising electricity bills monthly from Rs 500 to Rs 1,050 in some areas and Rs 900 to 1,600 or even Rs 2,100 in other areas just to cover their inefficiencies in minimising transmission losses.”

“People are suffering due to high electricity charges. The J&K administration should take note that poor people are not targeted for administrative failures. This harassment to poor people must stop immediately,” Bukahri said.

The spokesman claimed that metering percentage is very low, particularly in the Kashmir region, where only 32% (3,18,605 no.) of residential consumers are metered and are being billed as per actual metered consumption against the total residential consumer base of 9,82,125. “The remaining 68% of residential consumers (6,63,520 no.) are charged on a flat-rate (fixed charges) basis, which often does not correspond to their actual connected load or consumption. This discrepancy leads to a significant gap in energy accounting, resulting in substantial losses for discoms, particularly during peak demand periods. Recent surveys and enforcement drives have revealed instances where consumers have declared much lower connected loads than their actual usage, exacerbating these losses,” the spokesman claimed.

Government spokesman claimed discoms in J&K are actively participating in the Government of India’s RDSS scheme to improve power supply quality and reliability by strengthening supply infrastructure. “Conditional financial assistance is provided under this scheme based on achieving specific targets to reduce Aggregate Technical & Commercial (AT&C) losses and bridge the gap between Average Cost of Supply (ACS) and Average Revenue Realized (ARR). Key initiatives under the scheme include achieving 100% smart metering and LT-AB cabling, aimed at improving financial sustainability and eligibility for central grants. Intensive enforcement efforts are also essential to combat power pilferage,” he stated. “Accordingly, apart from technological interventions like smart metering and AB cabling, discoms are intensifying enforcement activities in all areas to check pilferage and book the defaulters under the electricity norms / Electricity Act-2003,” he added.

“To further reduce losses in unmetered areas, the measures like calibrated rationalisation of load as per actual electricity usage/connected load following Electricity Supply code regulations, ensuring that no consumer receives high or inflated bill are taken,” he said.

“The JERC has devised flat-rate tariffs so to incentivise consumers opting to switch to metered billing thereby reflecting actual consumption more accurately. Consumers are also counselled and encouraged to opt for metered billing if they find flat-rate charges disproportionate to their consumption,” he added.