Consumer category wise analysis of tariff of BESCOM

Student name: Ms Gauri Menon
Guide: Dr Naqui Anwer
Year of completion: 2020
Host Organisation: Brookings India
Supervisor (Host Organisation): Dr Rahul Tongia

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Abstract:

This work focuses on the study of different categories of consumers under BESCOM. The data was collected from tariff orders of various years from the KERC website. The data was consolidated and analysis was carried out with respect to Average Billing Rate, Average Cost of Supply and a revenue model was made in Analytica and a sensitivity analysis was carried out.

It was observed that the industrial and commercial categories are squeezed in terms of Average Billing Rate and Domestic and Agricultural categories have an Average Billing Rate which is so much lesser than their Average Cost of Supply.

In the Domestic Category the residential apartments are charged higher than the normal domestic household.

Due to higher charges which must be paid by commercial and industrial consumers, they are moving out of BESCOM and opting for open access. Also the incorporation of renewable energy has resulted in BESCOM falling into a utility death spiral.

Keywords: Average Billing Rate, Average Cost of Supply, DISCOMS, LT, HT