Tata Steel electricity likely to get dearer in Jamshedpur

Jamshedpur and Seraikela to face steep price surge

Mail News Service

Jamshedpur: In a move that is likely to send shockwaves through households and businesses in Jamshedpur and Seraikela-Kharsawan, Tata Steel and Tata Steel UISL have once again proposed a significant increase in electricity tariffs. This proposal comes after a previous tariff hike in December 2023.  Tata Steel UISL has filed an application with the Jharkhand State Electricity Regulatory Commission (JSERC) for the new tariff revision. The public has been invited to submit suggestions and objections regarding the proposed hike, with a deadline set for January 28, 2025.

This latest proposal for a tariff increase follows a previous rejection in June 2024, when the company had attempted to raise rates, only to be turned down. Now, the new proposal aims to further burden consumers across various sectors, from domestic households to industrial units. Tata Steel and Tata Steel UISL will provide their response in writing by February 4, 2025, after considering the public feedback.

Proposed tariffs by Tata Steel for Jamshedpur

For residents and businesses in Jamshedpur, the proposed tariff revisions are sweeping. The fixed charges and energy charges for different consumer categories are set to increase. Under the proposed plan, for Domestic LT (Low Tension) consumers using up to 100 units, the fixed charge will rise from Rs 30 per month to Rs 34, and the energy charge will climb from Rs 3 to Rs 3.36 per kilowatt. Similarly, for Domestic LT consumers above 100 units, the fixed charge will increase from Rs 65 to Rs 73 per month, while the energy charge will rise from Rs 5.15 to Rs 5.77 per kilowatt.

Other consumer categories will also see a sharp rise in costs. Irrigation and agricultural services will see their fixed charge go up from Rs 20 to Rs 22 per month, and energy charges will increase from Rs 5 to Rs 5.60 per kilowatt. Commercial services will experience a hike from Rs 120 to Rs 134 in fixed charges per month, with energy charges soaring from Rs 5.75 to Rs 6.44 per kilowatt. For industrial consumers, both low tension and high tension consumers will also bear heavier charges. The Low Tension Industrial rate will go up from Rs 150 to Rs 168 per month in fixed charges, with energy charges rising from Rs 5.50 to Rs 6.16 per kilowatt. Meanwhile, High Tension Industrial users will see an increase from Rs 385 to Rs 431 in fixed charges, with energy charges escalating from Rs 6.30 to Rs 7.06 per kilowatt.

Seraikela-Kharsawan’s proposed tariff 

In Seraikela-Kharsawan, Tata Steel UISL has also proposed steep hikes across multiple categories. For Domestic Rural consumers, the fixed charge is set to increase from Rs 40 to Rs 45 per month, while the energy charge will rise from Rs 3 to Rs 3.09 per kilowatt. Urban consumers in the Domestic Urban category will see their fixed charges go from Rs 75 to Rs 80 per month, with energy charges rising from Rs 3.25 to Rs 3.35 per kilowatt.

Notably, commercial rural and urban consumers will face hikes in both fixed and energy charges. For Commercial Rural, the fixed charge will go from Rs 75 to Rs 80 per month, and the energy charge will increase from Rs 3 to Rs 3.09 per kilowatt. Similarly, Commercial Urban consumers will see their fixed charge rise from Rs 150 to Rs 155 per month, with energy charges escalating from Rs 4.15 to Rs 4.64 per kilowatt.

In irrigation and agricultural services, the proposed tariff hike is particularly sharp. Fixed charges are set to rise from Rs 20 to Rs 25 per month, while energy charges will climb from Rs 3.90 to Rs 4.06 per kilowatt. Industrial consumers will also experience similar hikes: Low Tension Industrial charges will go up from Rs 150 to Rs 155 per month, with energy charges rising from Rs 4.50 to Rs 4.64 per kilowatt. High Tension 11kV charges will see a modest increase from Rs 350 to Rs 355 per month, with energy charges rising from Rs 4.90 to Rs 5.05 per kilowatt.

Public outcry likely as hike proposal heads for final decision

As Jamshedpur and Seraikela-Kharsawan brace for a possible rise in electricity costs, the public’s reaction is expected to be one of concern and dismay. The general public has until January 28, 2025, to voice their objections and suggestions, but with the history of tariff increases and the pressure to meet financial targets, it remains to be seen whether the JSERC will approve this latest proposal.

For now, consumers across these areas will be anxiously awaiting the response from Tata Steel and Tata Steel UISL, as well as the final decision from the regulatory commission. With the potential for both residential and commercial electricity costs to surge, this proposal could impact everything from household budgets to business operations in these vital districts of Jharkhand.