What is the flat rate tariff?

When different types of consumers are charged at different uniform per unit rates, it is said to be flat rate tariff.

Flat Rate Tariff

    • In this type, the consumers are grouped into different classes.
    • Each class is charged at the different uniform rate.
    • The different classes of consumers may be taken into account of their diversity and load factors.
    • Since this type of tariff varies according to the way of supply used, separate meters are required for lighting load, power load etc.
    • This is probably the most popular tariff structure.
    • In flat rate tariff structure, various types of consumers are charged at different according to rate.
    • Flat rate for light loads like light, fan are charged a bit higher than loads with heavy consumption.
    • The rate at which each category of consumer is to be charged is decided by considering its load factor and power factors into account.

Total Energy Charged = Rs. NU*R

Where,
NU – Number of units (energy) consumed over a billing period.

RFlat rate in rupees per Unit.

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