New Delhi: Rather than being charged for electricity at the same rate at all times of the day, the tariff for what you pay for electricity will vary according to the time of day.
Under the ToD Tariff system, the tariff during solar hours (duration of eight hours in a day as specified by the State Electricity Regulatory Commission) of the day shall be 10%-20% less than the normal tariff, while the tariff during peak hours will be 10 to 20 per cent higher. ToD tariff would be applicable for commercial and industrial consumers having maximum demand of 10 KW and above, from April 1, 2024, and for all other consumers except agricultural consumers, the latest from April 1, 2025. Time of Day tariff shall be made effective immediately after installation of smart meters, for the consumers with smart meters.
Most of the State Electricity Regulatory Commissions (SERCs) have already implemented ToD tariffs, for large Commercial and Industrial (C&I) categories of consumers in the country. With the installation of smart meters, ToD metering at the domestic consumer level will be introduced as per Tariff Policy mandate.
Moreover, the existing penalties for the increase in consumer demand beyond the maximum sanctioned load/demand will reduce after the Central Government amended the Electricity (Rights of Consumers) Rules, 2020 by introducing the Time of Day (ToD) tariff and simplification of smart metering rules, today.
As per the amendment in the metering provision, post-installation of a smart meter, no penal charges will be imposed on a consumer based on the maximum demand recorded by the smart meter for the period before the installation date. The load revision procedure has also been rationalized in a way that maximum demand shall be revised upwards only if the sanctioned load has been exceeded at least three times in a financial year. Moreover, smart meters shall be read remotely at least once a day and the data shall be shared with Consumers in order to enable them to make informed decisions about the consumption of electricity.
It may be mentioned that the Electricity (Rights of Consumers) Rules, 2020 were notified by the government on December 31, 2020, based on the conviction that power systems exist to serve consumers and that consumers have rights to get reliable services and quality electricity. The rules seek to ensure that new electricity connections, refunds and other services are given in a time-bound manner and that willful disregard for consumer rights results in the levying of penalties on service providers and payment of compensation to consumers.
The Ministry of Power said the current amendment to the Rules is a continuation of the measures taken by the government, to empower power consumers, to ensure a 24X7 reliable electricity supply at affordable cost, and to maintain a conducive ecosystem for investment in the power sector.
– global bihari bureau