India to cut power tariff during solar hours, raise for peak hours

NEW DELHI: Power tariff in India would be up to 20% less during solar hours and up to 20% higher during peak hours under new amendments to the electricity rules, the power ministry said on Friday, in a move aimed at increasing the use of renewable energy.

The amendments introduce time-of-day tariff and will come into effect from April 2025 for all consumers except agricultural.

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“Since solar power is cheaper, the tariff during the solar hours will be less, so the consumer benefits,” Power Minister R. K. Singh said in a statement.

“During non solar hours thermal and hydro power as well as gas based capacity is used - their costs are higher than that of solar power - this will be reflected in time-of-day tariff.”