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Due to a surge in global gas prices, power tariffs have been increased in Tripura.

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Tripura's Power Minister, Ratan Lal Nath, addressed the recent power tariff increase in the state, attributing it to the significant surge in global gas prices. The spike in gas prices has imposed additional financial strain on the state-owned Tripura State Electricity Corporation Limited (TSECL), prompting the Tripura Electricity Regulatory Committee to deem the tariff adjustment necessary.

Minister Nath acknowledged that even with the tariff adjustment, TSECL would continue to operate at a deficit due to a substantial gap between revenue generation and expenditures. Nevertheless, he expressed optimism about the corporation's future prospects, aiming to transform it into a profitable government enterprise. This transformation plan involves streamlining billing processes and taking timely actions to curb theft.

Minister Nath pointed out that tariffs had been revised multiple times during the Left's tenure, resulting in an overall tariff increase of 134 percent between fiscal years 2006-07 and 2014-15. However, there were no adjustments until 2023, when a seven percent increase was mandated after a rigorous process that included public hearings, addressing objections, and consulting consumers and advisory bodies. He emphasized that neither TSECL nor the Power Department had the authority to alter energy rates.

Minister Nath explained that the surge in gas prices had a substantial impact on Tripura, as its energy production primarily relies on gas-based thermal power production. Gas prices had risen by 196 percent from 2.90 US dollars to 8.57 US dollars per MMBtu (Metric Million British Thermal Unit) in Indian currency terms in 2022-23.

Despite the tariff adjustment, Minister Nath assured consumers that diligent bill payment would be rewarded with a flat five percent rebate if settled within seven days of receiving a fresh statement. For prompt payers, the net impact of the increase amounts to only two percent, and while this would affect TSECL's finances, consumers would ultimately benefit from this arrangement.

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