Electricity Rates Revised 2014: Reliance Energy Cheaper than Tata Power!
Updated on November 30, 20182 mins read
Here is some good news for all Reliance Energy customers! With effect from 1st April 2014, Reliance Energy has reduced its tariffs for all commercial and residential consumers (above 409 units). An increase across residential and commercial rates of Tata Power has also been observed in the revised electricity rates.
This means that from April 2014, Reliance Energy is cheaper than Tata Power, until any further changes in tariffs.
Let’s see a detailed comparison between the two for a better understanding:
Revision in Residential Tariffs:
The table given below provides a comparison between old and electricity new rates of both power providers. An overall reduction in Tata Power’s tariffs and an increase in Reliance Energy’s tariffs can be seen in the revised electricity rates.
However, 409 (residential) units onward, Reliance Energy becomes cheaper than Tata Power, as opposed to old electricity rates.
But since there isn’t a substantial difference between the rates of the two, switching to Reliance Energy will benefit only those with a very high electricity consumption.
Let’s take the example of Mr. Agarwal. A customer of Tata Power, he has an average consumption of 600 units a month. He found that he could save as much as Rs. 900 every month by switching to Reliance Energy!
Revised Commercial Tariffs:
Moving on to commercial tariffs, though Reliance Energy continues to be cheaper, the difference between tariffs of the two have increased substantially. As visible in the tables below, Reliance Energy has made no changes in tariffs, while Tata Power has made a substantial increase in rates across all brackets. This means more savings for commercial consumers on switching to Reliance Energy, than before! Given below is a comparison between Reliance and Tata’s new and old electricity rates at 20Kw for commercial consumers. Here we see that Tata Power has increased its tariffs by almost 10%;
This table shows a comparison between Reliance and Tata’s new and old rates at 20kw to 50kw. We see a substantial increase by almost 15% in Tata Power’s rates;
This table shows a comparison between the new and old rates of Reliance and Tata at 50kw for commercial users. Here too Tata Power has increase tariffs by almost 20%!
To understand the new rate’s impact better, let’s take the example of Mr. Jain, who owns a factory in Vasai. He is a Tata Power customer and has a consumption of 3000 units at 20 to 50Kw per month. He found that he could save Rs. 12,700 every month by switching to Reliance Energy!
Is there a risk involved in switching to Reliance Energy from Tata Power?
Technically speaking, there is no risk in switching from either power provider to another. If your switching charges can be recovered within 2 to 3 months of switching, then switching will be beneficial for you. So switch today and reduce your electricity bills by 25%!
We have received great response for all our switching services - Home Loan, Mobile and Electricity. At the time being we would like to focus on Home Loan and MNP. Hence electricity switching service has been discontinued.
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