Power factor rebate of ₹5 crores generated through Indore's smart meters

Power factor rebate of ₹5 crores generated through Indore's smart meters

A power factor rebate of more than ₹5 crores has been given on 1.70 lakh bills to the consumers of the non-domestic category in the past three years.

Indore's smart electricity meters have not only provided scores of benefits to the Madhya Pradesh West Zone Electricity Company (MP West Discom/MPWZEC) by reducing power loss, but have also turned out to be advantageous for the consumers of the city.

Reportedly, MP West Discom started working on the installation of these meters in Indore three and a half years ago. Since then, a power factor rebate of more than ₹5 crores was given on 1.70 lakh bills of the non-domestic category. While multiple domestic consumers who have smart meters installed have also received rebates.

How have smart meter users gained rebates?

The consumers of the non-domestic category constituting commercial establishments as well as industries are eligible for PF rebates as per the tariff. When the average power factor of a consumer in any month is more than 0.85 points, they become entitled to a rebate at the rate of Rs 1 per unit on their total monthly consumption.

On the other hand, more than 60,000 domestic consumers who have smart meters installed have also benefitted from the Indira Grah Jyoti Yojana scheme. Under this scheme, domestic consumers with an automated billing system (available through smart meters) are charged ₹100 for consumption of up to 100 units per month while the difference is paid by the state government as a subsidy.

Furthermore, consumers of other MP cities including Mhow, Dewas, Ujjain, Ratlam and Khargone have also received similar benefits.

Power factor rebate of ₹5 crores generated through Indore's smart meters
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