Telangana’s power distribution companies (DISCOMs) have proposed a tariff hike in their Annual Revenue Requirement (ARR) for the fiscal year 2024-25, aimed at generating Rs 1,200 crore to help cover a significant revenue gap of Rs 14,222 crore. The remaining deficit of Rs 13,022 crore is expected to be covered by state government subsidies.
In their ARR submission, DISCOMs have projected energy sales of 75,895 million units (MUs) and a power purchase quantum of 85,284 MUs. The estimated cost of power purchases is Rs 42,702 crore, while additional transmission costs, both inter and intra-state, are projected to add Rs 5,271 crore. The costs for the State Load Dispatch Centre (SLDC) are pegged at Rs 84 crore, and distribution costs are estimated at Rs 9,377 crore. Interest on consumer security deposits will account for Rs 423 crore.