Daijiworld Media Network – Mangaluru (MS)

Mangaluru, Jan 9: Mescom has proposed a tariff hike of Rs 0.70 per unit for the fiscal year 2025-26 in its submission to the Karnataka Electricity Regulatory Commission (KERC). If approved, electricity charges are set to rise in the coming year.

Mescom stated that the current tariff rates are insufficient to cover operational costs and manage revenue effectively. The company has invited the public to submit their objections to the proposed hike.

Currently, the electricity supply cost stands at Rs 9.23 per unit, while the consumer tariff is Rs 8.53 per unit, resulting in a shortfall of Rs 0.70 per unit. According to Mescom, its revenue for the financial year 2023-24 was Rs 5,924.73 crore, whereas expenditure amounted to Rs 6,310.39 crore, leaving a deficit of Rs 367.66 crore. For the 2025-26 fiscal year, the estimated revenue is Rs 5,850.81 crore, but the actual requirement is Rs 5,961.63 crore, creating a deficit of Rs 110.82 crore.

For the first time, Mescom has submitted a multi-year tariff revision proposal to KERC. The plan includes a hike of Rs 0.70 per unit for 2025-26, followed by Rs 0.37 per unit for 2026-27 and Rs 0.54 per unit for 2027-28.

Jayakumar R, managing director of Mescom, stated, "An increase in electricity tariff is inevitable. Mescom has submitted a proposal in this regard to KERC."