The Pune Municipal Corporation (PMC) has turned down the Maharashtra State Electricity Distribution Company Limited’s (MSEDCL) request to retain excavation charges, potentially leading to an increase in electricity bills. The PMC, facing losses due to excavation work by the power utility, has decided to charge MSEDCL Rs 6,096 per running metre, a significant hike from the previous rate of Rs 2,350. The MSEDCL warns that the increased charges will be reflected in electricity bills, indicating a potential burden on consumers.
PMC’s Decision and Hike in Charges
On October 20, the PMC’s road department proposed new rates for excavation and laying electrical cables, which was subsequently approved in a meeting held on Thursday. The PMC, previously charging MSEDCL Rs 2,350 per running metre, has aligned the rates with other government agencies at Rs 6,096 per running metre. The decision aims to mitigate losses faced by the PMC in the excavation process.
Impact on Electricity Bills and Consumer Concerns
MSEDCL expressed dissatisfaction with the PMC’s decision, stating that the increased excavation charges will inevitably lead to a hike in consumer tariffs, estimated to be a minimum of 2 percent. Consumers are voicing concerns about the potential impact on electricity bills, with some expressing discontent over the additional financial burden.
PMC’s Perspective and Consumer Reactions
Vikram Kumar, the municipal commissioner, highlighted the necessity of the decision to counter losses incurred by the PMC in excavation work. Consumer reactions vary, with some expressing frustration over the expected increase in electricity bills, citing existing economic challenges and rising expenses in other areas.
MSEDCL’s Response and Future Implications
Rajendra Pawar, chief engineer, Pune Circle, MSEDCL, revealed that they had requested the PMC to maintain the existing excavation rates, but the PMC refused to decrease the charges. As a result, MSEDCL anticipates an increase in expenditure costs and plans to pass on the burden to consumers through a minimum 2 percent hike in consumer tariffs in the coming days.
