Bescom tariff likely to come down marginally

The KERC has approved the FAC of 37 paise per unit for the duration between January 2023 and March 2023

The power tariff in the Bangalore Electricity Supply Company Limited (Bescom) jurisdiction is likely to come down marginally, owing to a revision in the Fuel Cost Adjustment charges (FAC).

Bescom is responsible for power distribution in eight districts - Bengaluru Urban, Bengaluru Rural, Chikkaballapur, Kolar, Davangere, Tumakuru, Chitradurga, and Ramanagara.

The Karnataka Electricity Regulatory Commission (KERC) has approved the FAC of 37 paise per unit for the duration between January 2023 and March 2023.

According to officials, a reduction in fuel and power purchase costs was observed between July 2022 and September 2022 and this was reflected in the reduction of FAC charges.

The KERC had revised the FAC charges to 44 paise in September.

FAC is collected based on the coal purchase cost and the KERC revises it every three months to allow the electricity supply companies to manage their expenses for fuel purchases.

The power tariff was also hiked by 5 paise in April this year and was followed by a revision of FAC in June.