Telangana Government has imposed an additional burden of Rs 1,813 crore during the current financial year by effecting a steep hike in the power tariff and the Road Transport Corporation bus fares.
While 7.5 per cent increase in the power tariff will mop additional revenue of Rs 1,527 crore, the increase of bus fares of 80 paise per km has resulted in an additional burden on the citizen to the tune of Rs 286 crore.
This is first such hike by the Telangana Rashtra Samiti Government since the formation of the State two years ago.
The two power distribution companies in the State had proposed a raising the power tariff by Rs 1,958 crore but the State Power Regulatory Commission agreed to increase it only by
Rs 1,527 crore.
Both the tough decisions came at the same time and were announced late last evening giving fresh ammunition to the Opposition who have charted the Chief Minister K Chandrasekhar Rao with adopting anti people approach.
However the State Government has defended the power tariff hike pointing out that there was no change in the tariff for the 60 of the 86 lakh consumers who use less than 100 units of power per month. The tariff was hiked for the other categories under which those using upto 200 unit per month will have to pay Rs 3.30 per unit for the first 100 units and Rs 4.30 per unit for the second hundred units.
The slabs of the domestic consumers categories were also reduced by the SERC from eight to seven.
There was no increase in the tariff for the agriculture sector. However the horticulture nurseries will have to pay more.
The bus fares of all the buses except the rural services were increased by flat 10 per cent. The State Transport Minister P Mahender Reddy said that the bus fare hike had become necessary due to the financial crisis of the Telangana State Road Transport Corporation. “The hike fare will save RTC and the jobs”, he said adding that the bus fare increase will fetch Rs 286 crore. This will also help in improving the function of the RTC by purchasing 1,200 new buses.
Chief Minister K Chandrasekhar Rao has also announced an assistance of Rs 750 crore for the RTC.