Tata Power's rate hike hits Mumbai's most vulnerable

Tata Power, a major power distribution company, has proposed a "rationalization" of tariffs, indicating a potential significant increase in power rates, especially for lower-end consumers.

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According to an advertisement published in newspapers, the proposed changes could see a rise in the rate per unit, affecting subscribers consuming up to 100 units per month and those using between 101-300 units.

The proposal suggests an increase to Rs 7.37 per unit from the existing Rs 3.74 for consumers using up to 100 units per month. For those consuming between 101300 units, the proposed rate is Rs 9.31 per unit, up from the current Rs 5.89. When questioned about the apparent doubling of charges for those consuming up to 100 units per month, a Tata Power official explained that the Maharashtra Electricity Regulatory Commission had earlier stayed a tariff structure in July, reverting to an older structure introduced in 2020.