Consumers can save upto 20% in electricity bills with new power tariff rule
The Government of India has introduced two changes to the prevailing power tariff system and now across the country consumers can save up to 20 per cent in power bills by planning usage during solar hours or daytime as the government is set to implement a ‘time of the day’ tariff.
The Government of India has introduced two changes to the prevailing power tariff system, through an amendment to the Electricity (Rights of Consumers) Rules, 2020.
The changes are the introduction of the Time of Day (ToD) Tariff, and the rationalization of smart metering provisions, the Ministry of Power said.
“Under the ToD Tariff system, the Tariff during solar hours (duration of eight hours in a day as specified by the State Electricity Regulatory Commission) of the day shall be 10 per cent-20 per cent less than the normal tariff, while the tariff during peak hours will be 10 to 20 per cent higher, the release stated.
ToD tariff would be applicable for Commercial and Industrial consumers having Maximum demand of 10 KW and above, from April 1, 2024, and for all other consumers except agricultural consumers, latest from April 1 2025. Time of Day tariff shall be made effective immediately after installation of smart meters, for the consumers with smart meters, it further said.
Union Power and New and Renewable Energy Minister RK Singh said that the ToD is a win-win for consumers as well as the power system.
