Tarun Karthick
Sri Vijaya Puram, 25 August 2025
Mr. Bishnu Pada Ray, Hon’ble Member of Parliament from the Andaman & Nicobar Islands, has urged the Joint Electricity Regulatory Commission (JERC) to defer any proposed electricity tariff hike in the Islands until a central subsidy mechanism is put in place and quality-of-supply standards are met.
In a letter addressed to the JERC in Gurugram, Mr. Ray pointed out that power generation in the Islands is almost entirely dependent on diesel, with fuel costs ranging between ₹85–₹95 per litre. This results in a generation cost of ₹22–₹28 per unit, much higher than the national average. An immediate hike in tariffs, he cautioned, would impose severe financial stress on households, small businesses, the tourism industry, and the fisheries sector.
The MP informed that he has already taken up the issue with the Hon’ble Prime Minister, Union Home Minister, Finance Minister, and the Power Minister to secure a dedicated central grant to offset the high generation costs. He also flagged the poor quality of electricity supply in the Islands, citing frequent outages, load-shedding, and voltage fluctuations. “Before burdening consumers with higher tariffs, the Electricity Department must first meet and sustain the service quality benchmarks prescribed by JERC,” he emphasized.
Mr. Ray has urged the Commission to:
1. Defer any tariff hike until the central subsidy mechanism is finalised.
2. Ensure compliance with quality-of-supply benchmarks before permitting tariff increases.
3. Conduct wider stakeholder consultations with PRIs, trade associations, civil society groups, and elected representatives before making a final decision.
Reiterating his stand, the MP stressed that tariff policies must strike a balance between economic realities and the welfare of the people, in line with constitutional principles.
