Mysuru, Oct. 11 (BCT)- The Mysore Industries Association (MIA) has strongly opposed the proposed revision of electricity tariffs that would substantially increase power costs for industrial consumers to offset subsidies extended to Irrigation Pump (IP) sets in the agricultural sector.
The proposed revision, currently under consideration by the Karnataka Electricity Regulatory Commission (KERC), aims to recover part of the subsidy shortfall arising from the Government’s subsidised power supply to farmers. The Association has formally submitted a petition to KERC, urging the Commission to reject the move.
According to the proposal, the Chamundeshwari Electricity Supply Corporation (CESC) and other ESCOMs have sought to raise energy charges for LT-5 (industrial) consumers from Rs. 4.50 to Rs. 5.20 per unit and for HT-2A (industrial) consumers from Rs. 6.60 to Rs. 6.70 per unit. Fixed charges would also see an increase of Rs. 15 to Rs. 20 per horsepower (HP), depending on the category.
‘Unjust’ hike in just months
MIA President P. Vishwanath and General Secretary Suresh Kumar Jain have termed the hike ‘unjustified,’ especially coming just months after the last tariff revision ordered by KERC in March.
“This is an attempt to recover the Government’s subsidy liability from industries,” they said.
They argued that industries were being unfairly made to shoulder the financial burden created by Government Policy and that the shortfall in subsidy contributions should not be compensated by penalising industrial and commercial users.
“This move will severely impact operational costs and erode the competitiveness of local industries,” the Association stated in its representation, calling upon KERC to reconsider the proposal.
State defaulted on subsidies
MIA members pointed out that the State Government has repeatedly defaulted on timely subsidy payments to ESCOMs, leading to financial strain that is now being transferred to the industrial sector. They noted that industrial power tariffs in the Mysuru region are already higher than those in comparable industrial clusters across South India.
Any further increase, they cautioned, would hurt cost competitiveness, particularly for Micro, Small and Medium Enterprises (MSMEs), rendering many units economically unviable. Higher tariffs could also discourage new investment and further strain existing industries already struggling to sustain operations.
MIA has demanded a transparent review process and broader stakeholder consultation before implementing any additional tariff increases.
This post was published on October 11, 2025 6:59 pm