There is always a chorus of voices against the rise in prices, irrespective of the sector or sphere. The rule applies whenever power tariffs rise too. This time around in Goa, the scenario was the same, but somewhere down the line over the past few tariff rises, the
voices have begun to make sense.
The Goa Electricity Department has come out with their new tariffs. There is an obvious rise in industrial rates but domestic consumers see a good drop in rates. The tariff of low tension domestic consumers has come down from Rs 3.20 to 2.40 per unit for units consumed between 201-300, and for units consumed between 401-500, there is a drop of 40 paise from the
earlier Rs 3.60. The remaining slabs remain untouched and the
minimum usage rate of Rs 130 for the first 200 units, is among
the lowest in the country. This also brings down the overall
expenditure for domestic users in the State and comparisons
with other states show that there is anything between a 30 percent
to 40 percent higher charge in
Maharashtra, Karnataka etc.
But it is not there that the chagrin
exists. No consumer will complain
about a drop in prices, even
if it is election year. It is the industrial
sector where the Goa Electricity
Department has aimed to make
up the difference. A new category
called ‘Agriculture Allied’ now has
to pay a tariff of Rs 2.10 per unit, as
opposed to the overall Agricultural
category of old where the charges were Rs 1.30 per unit. Agricultural
Allied now consists of nurseries, hatcheries, prawn
farms, and other units that do not fall under Agriculture A, under
which units and concerns directly related to farming and
agriculture, including that of livestock and those involved in
irrigation fall. This means that Agricultural Allied has widespread
application, comprising of food processing units etc.
As one of India’s burgeoning industries, the higher costs here
might serve as a deterrent. There are also higher costs for high
tension industries and hoarding, the latter of which saw an almost
30 percent increase to Rs 9 per unit.
Goa may be charging lower rates than most parts of India,
but in other states, like Karnataka and Maharashtra for instance,
mentioned since they share a border, the infrastructure
provided is excellent in most places. Goa is charging higher
infrastructure tax and rates but not improving on the poor
infrastructure that exists in the State, this despite having a Rs
800 crore kitty that is just sitting in the State coffers.
There is a need to boost infrastructure. There is also a need
to work on alternative methods of power generation, since the
proposal to build two power plants was vetoed on account of
them being coal generated. Hydro power is possible but there
are concerns by environmentalists, since the rivers and dams
are located in wildlife sanctuaries. Solar power is the best bet
but this process would have to be bootstrapped for now.
There is little hope that the government will roll back the prices.
If they do, they would have to go back to the previous domestic
rates, which would irk the local consumer. Hence, a plan to
build infrastructure, and fast, is the more logical way out.
