Delhi Electricity Rate Hike Approved by Supreme Court – Here’s What You Need to Know

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There is a big and bad news for the people living in the capital Delhi . Yes, electricity may soon become expensive in Delhi. The Supreme Court has approved the increase in electricity rates in Delhi.

However, the Supreme Court has clearly said that the electricity rates in the capital should be increased only within the limit keeping in mind the rules, so that the pockets of the common people are not affected. This simply means that the electricity rates in Delhi will soon be increased.

DERC has to prepare a clear blueprint for increasing electricity rates

The Supreme Court has said that the electricity rates in the capital should not exceed the limit set by the Delhi Electricity Commission and it should remain affordable. Along with this, the court has asked the Delhi Electricity Regulatory Commission (DERC) to prepare a clear blueprint regarding increasing the electricity rates as to when and how the electricity prices will be increased in the city. However, it is clear from the instructions of the Supreme Court that this will not have any significant impact on the people of Delhi.

Electricity distribution companies were demanding increase in rates for a long time

Let us tell you that electricity distribution companies have been demanding to increase the electricity prices for a long time. Electricity companies say that the cost of production and distribution of electricity is constantly increasing and they are incurring huge losses by selling electricity at the current rate. Therefore, it is becoming very difficult to work with the current rate. However, the Delhi Electricity Regulatory Commission had rejected the demand of electricity distribution companies.

200 units of electricity is free in Delhi

Let us tell you that due to the subsidy available on domestic electricity connection in Delhi, 200 units are free. However, after 200 units of electricity, customers have to pay for each unit. Also, the more electricity you consume, the more you will have to pay for each unit.

 

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