New consumers allege fleecing as Tangedco charges 2.5 times more

CHENNAI: Consumers applying for new electricity connections for domestic residential or other categories in the metro areas of Chennai, Coimbatore, Madurai and Tiruchy are forced to pay higher developmental charges applicable for underground cables even in areas with overhead cables.

Tangedco collects Rs 2,045 per kilowatt (kW) as developmental charges for OHT, while it charges Rs 5,110 per kW which is 2.5 times more.

For the past few weeks, consumers in the Chennai, Coimbatore, Madurai and Tiruchy metro distribution circles were asked to pay higher charges citing a software glitch. With electricity being an essential requirement, most consumers are paying higher charges unaware that they are being fleeced by the State-run utility. Some of them who are aware of the extra charge that is being levied are questioning Tangedco and seeking a refund.

This is how the fleecing is happening: Suppose a consumer applies for a new domestic connection with a five-kW load. This consumer has to pay an overall charge, including a developmental charge of Rs 18,647 for overhead cable. However, the consumer is asked to pay Rs 33,972 for the underground cables even if his/her locality has only OHT lines.

Bathri Narayanan, an electricity licence contractor from Avadi, said Tangedco collects the developmental charges applicable for the underground connections for the new domestic connections at Avadi where there are OHT lines. “For a single phase, three kW domestic connection, Tangedco collects a developmental charge of Rs 7,155 at Avadi, while it collects only Rs 2,860 at adjacent Thiruninravur,” he said.

Shocking Excess

The consumer who applies for a new single-phase domestic connection with a load of three kW (in areas with overhead cables) will have to pay a development charge of Rs 2,860. However, in metro circles, the applicant is forced to pay Rs 7,155, which is the amount applicable for underground cable. In the case of three-phase connections with a three kW load, consumers are forced to pay a developmental charge of Rs 15,330 (applicable for UG) as against the required charge of Rs 6,135 for overhead cable.

Will return excess amount, says Tangedco

A consumer from Coimbatore told DT Next that he had applied for a new service connection for his residence at Singanallur with a load of three kilowatts.

“I got an acknowledgement-cum-demand notice to pay Rs 21,920 within 15 days. When I checked the application charges on the Tangedco website, it showed only Rs 12,717. I enquired with the local electricity office who cited a software glitch that led to the calculation of developmental charges for the underground connections. The official asked to pay the amount as per the demand notice to get new connection and showed the payment made by other consumers too,” he said.

When asked about this, a Tangedco official from Coimbatore said that there have been numerous complaints from consumers. “We’ve taken up the issue with our head office and it will be resolved soon,” the official said.

Asked whether the consumers who paid higher charges would get a refund, the official said the excess amount would be returned if they get a direction from the headquarters. “The software mapping will be resolved soon. There is a provision to provide the refund to the affected consumers,” a senior official stated.