Power-hungry Bengaluru triples Bescom's revenue demand in 10 years

Bengaluru: Due to an increase in power consumption and a growing consumer base, the revenue demand in the Bescom jurisdiction has surged by nearly 300% in the last 10 years.

In 2013-14, the overall revenue demand stood at Rs 11,560 crore, which increased to Rs 34,945.16 crore by 2023-24.

Senior Bescom officials attributed the dramatic rise to growing power consumption trends across sectors.

"Over the last 10 years, Bengaluru has grown significantly in all aspects. The number of industries has increased, boosting power consumption. Residential connections have also gone up significantly," a senior Bescom official said.

Another official noted that the rise in household devices has further increased power consumption.

"Unlike earlier, many now prefer to use air conditioners. Televisions, refrigerators, coolers, and other electronic devices have become commonplace in households and offices, driving up electricity consumption," the official explained.

In addition to increased power consumption, year-on-year power tariff revisions have also contributed to the revenue demand rise. "Power consumption has increased by nearly 25% in the last 10 years. However, due to revisions in power supply charges, the revenue demand has jumped further. Regulatory authorities have considered Bescom's financial condition and approved satisfactory power supply charge revisions," another senior official noted.

Despite the revenue growth, Bescom has not improved its collection efficiency over the years.

In 2023-24, the revenue collection efficiency stood at close to 94%, down from 96% in 2013-14. Senior Bescom officials attributed this decline to mounting dues from government organisations. Recently, DH reported that government organisations owe Bescom nearly Rs 6,000 crore in dues.

"Residential, commercial, and industrial establishments are not a problem since they pay up when we cut power connections. However, government agencies do not pay promptly, lowering our collection efficiency," an official from Bescom’s finance department explained.

Officials expressed their helplessness in recovering dues from government establishments, as cutting power supply would inconvenience the public due to the essential services these establishments provide.