SRINAGAR: The Federation of Chambers of Industries Kashmir (FCIK) has filed a review petition before the Joint Electricity Regulatory Commission (JERC), challenging the recent power tariff revision for industrial consumers and seeking an interim stay on the enhanced rates.
In its 17-page petition, the industry body has sought reconsideration of JERC Order No. 06 of 2026 dated August 20, arguing that the increase imposed on industrial consumers is significantly higher than the 5 per cent hike proposed by the Kashmir Power Distribution Corporation Limited (KPDCL) and Jammu Power Distribution Corporation Limited (JPDCL).
According to FCIK, the revised tariff raises the principal energy charge for low-tension (LT) industrial consumers from ₹4.20 to ₹4.60 per kVAh, an increase of 9.52 per cent, while the charge for high-tension (HT) industrial consumers at 11 kV has been increased from ₹4.10 to ₹4.50 per kVAh, up by 9.76 per cent. The petition also points to increases in fixed and demand charges.
The federation contended that while the tariff order has been widely described as reflecting an overall revenue increase of 6.83 per cent, the actual increase borne by industrial consumers is close to 10 per cent.
FCIK has questioned the basis of the enhanced industrial tariff, noting that the tariff order acknowledges the absence of category-wise and voltage-wise cost of supply data with the distribution companies. Without such data, the federation argued, there is no transparent basis for imposing a higher increase on industry.
The chamber also objected to what it described as the transfer of system inefficiencies to industrial consumers. The petition cited projected distribution losses of around 19 per cent for KPDCL and 15 per cent for JPDCL, collection efficiency of 93 per cent and provisions exceeding ₹102 crore towards bad debts.
Referring to the public consultation process, FCIK claimed stakeholder participation in Kashmir was limited and argued that stakeholders were invited to respond to a proposed 5 per cent increase rather than the higher industrial tariff eventually approved.
The federation has sought restoration of pre-revision tariffs for existing industrial consumers until category-wise and voltage-wise cost of supply data are established. It has also requested disclosure of category-wise losses, collection efficiency, arrears, bad debts and the methodology used for determining the revised industrial tariff.
Pending disposal of the review petition, FCIK has requested JERC to keep the enhanced industrial tariff in abeyance and allow billing at pre-revision rates, subject to final adjustment.
In the petition, FCIK maintained that industrial consumers were not seeking exemption from legitimate electricity costs but were questioning the basis for a near-10 per cent increase when the utilities had originally proposed a 5 per cent hike.
