With the Consumer Price Index (CPI) for April 2025 declining compared with last April, industries in Coimbatore are demanding that the Tamil Nadu Power Distribution Corporation (TNPDCL) retain the electricity tariff for industries at the same level or reduce it.
Based on the multi-year tariff revision introduced in 2022, industries will see 6% increase in power tariff from July 1.
The Tamil Nadu Electricity Regulatory Commission (TNERC) order says that the control period under the multi-year tariff frame work shall be five years. The year preceding the first year of the control period shall be the base year where the Commission desires to fix multi year tariff. A formula based on Consumers’ Price lndex (wholesale Price lndex (or) a quantum (Percentage / value) required to meet the Aggregate Revenue Requirement of the licensee shall be prescribed.
Industry sources here said the All India Consumer Price Index for April 2025 is 3.48 % as against 4.83 % in April 2024.
Since there is a decline in the CPI, the Commission and the TNPDCL should not implement the annual 6 % annual hike in tariff this year.
They urged the TNERC also to issue orders to either retain the tariff or reduce it.
Electricity consultants said if the CPI has reduced in April this year, the TNPDCL and the TNERC should not hike the tariff from July 1.
Published – June 21, 2025 08:10 pm IST