MERC or Maharashtra Electricity Regulatory Commission to increase charging prices of EVs in Mumbai – Know Everything in 2023
Yes, you heard that right, as we know Maharashtra is one of the highest states to have EVs roaming around and that means the need for EV chargers is huge. The state though has done a good job in both subsiding EVs and increasing charging stations across Mumbai, Pune and other parts of Maharastra, so the business capital of India has seen rapid growth in EV adoption.
MERC to increase charging prices of EVs in Mumbai
Electric vehicle (EV) owners in Mumbai may need to brace themselves for a costlier charging experience. The Maharashtra Electricity Regulatory Commission (MERC) has recently approved a 14%-18% tariff hike for power utilities that operate EV charging stations across the city. This move will affect all power companies that offer electric vehicle charging services, with the revised tariff now set at Rs. 7.25 per unit.
However, there is a silver lining to this decision. Power utilities are provided with a concession of Rs. 1.50 per unit in electricity wheeling charges for charging EVs during the night hours of 10 PM to 6 AM. This concession is to encourage more EV owners to charge their vehicles during non-peak hours, which will not only reduce their electricity bill but also lessen the load on the grid during peak hours. This concession will be passed on to consumers, making it cheaper to charge their EVs at night.
The MERC order also states that the revised tariff is applicable for EV charging stations, including battery swapping stations. Power consumption for other facilities at charging stations, such as restaurants and convenience stores, will be charged at a commercial tariff. Individual users can take separate connections under this category for charging their EVs.
According to a transport commissioner officer, the annual registration of EVs has gone up by 40 times in the past four years in Mumbai. With a predicted 50% growth in EV registrations in 2023, the need for more charging stations will only increase. The decision to increase the tariff may be a measure to cover the costs of setting up and maintaining additional charging stations in the city.
While the tariff hike may not be welcomed by EV owners, the concession during non-peak hours may provide a more cost-effective solution for charging their vehicles. It also highlights the need for continued investment in EV infrastructure to support the growth of the EV market.
via TOI
