Sat May 31 11:07:02 UTC 2025: **News Article:**

**DVC Defends Tariff Hike Amid Industry Outcry in West Bengal**

**Kolkata, May 31, 2025** – The Damodar Valley Corporation (DVC) is facing intense pressure from steel producers in West Bengal over a recent electricity tariff hike. Industry associations, including the Steel Re-Rolling Mills Association and WB Sponge Iron Manufacturers’ Association, have publicly appealed to Chief Minister Mamata Banerjee for intervention, claiming the increase has raised power costs by 30% for critical manufacturing sectors.

The industry groups argue that the hiked tariffs make West Bengal’s power rates uncompetitive compared to neighboring Jharkhand. They claim the state is putting factories, jobs, and livelihoods at risk.

In response, DVC officials held a press conference in Kolkata, defending the tariff increase. DVC Chairman S. Suresh Kumar stated that the organization relies on its own revenue streams, the last government grants having been received back in 1968. He further noted that the tariffs are determined by the West Bengal Electricity Regulatory Commission (WBERC) and have been largely static since 2018-19 due to prolonged litigation initiated by the associations themselves.

Kumar also highlighted the pending legal battles between DVC and the steel producers over the tariff.

The BJP has seized on the issue, with State President Sukanta Majumdar criticizing the state government and claiming industries are being forced to “beg for mercy” from the Chief Minister.

The DVC is also addressing concerns about water management. With monsoon season approaching, officials said they are committed to avoiding flooding, stating that they will try their best not to release water above 50,000 cusecs. But also, that they will also get trapped if there is abnormal rain and they have to release water. Dredging of dams to mitigate flooding is also planned, although increased silt collection has posed a challenge.

The situation remains at an impasse, with the industry awaiting a response from the Chief Minister.

Read More