Star Hotels Seek Relief In Power Tariff
17 July 2025 12:12 AM IST17 July 2025 12:12 AM IST
Hoteliers operating star hotels in AP have called for a reduction in the power tariff of Rs 12.90 per unit being levied on them.
AP star hoteliers demand power tariff cut, seek relief in municipal taxes to boost tourism (Image:DC)
Vijayawada: Hoteliers operating star hotels in AP have called for a reduction in the power tariff of Rs 12.90 per unit being levied on them.
“This is high. We are getting monthly bills of Rs 18-20 lakh, causing a huge financial burden on us,” they said.
They noted that AP intended to promote tourism in a big way and aimed at attracting a large number of tourists, both domestic and international. Tourists prefer to stay in star hotels because of the comfort and quality of service they offer, it was stated.
The star hotels want the state government to reduce the power tariff to `7 per unit, similar to the rates in Tamil Nadu, Punjab etc.
Though the state government has accorded industry status to the hospitality sector, only the new hotels are getting the power concession of Rs 2.30 per unit while no relief is given to the existing hotels. “We are asking for such concessions in power tariff to the existing hotels too.”
There are around 80 star hotels like Novotel, Dolphin, Dasapalla in the state. When they fail to clear the power bill, they get an alert to clear it. If they failed to do so, the lineman would remove the fuse on the electric pole itself. This would force the hotel to run on backup power for some time, causing an embarrassment to the guests.
The hoteliers also raise concern about the electricity consumption load bill wherein the average power bill for two months is to be paid as a caution deposit with the electricity department. In case the hotel’s average monthly bill is Rs 20 lakh, it may have to deposit Rs 40 lakh, causing a huge financial burden.
They are also complaining about levying annual municipal tax in the range of Rs 16-18 lakh and sought a 50 per cent discount on it.
A meeting is to be held in Dasapalla in Visakhapatnam on Thursday and another one in Sarovar Portico in Kakinada on Friday to take the matters forward.
AP star hotels association president RV Swamy said, “We appeal to the state government to provide some relief in power tariff and in municipal tax to help us provide quality service to the tourists and contribute our share for promotion of tourism in the state.”
The hoteliers thanked the state government for reducing the annual excise duty on bars in star hotels to Rs 25 lakh from Rs 66 lakh per unit.
They noted that AP intended to promote tourism in a big way and aimed at attracting a large number of tourists, both domestic and international. Tourists prefer to stay in star hotels because of the comfort and quality of service they offer, it was stated.
The star hotels want the state government to reduce the power tariff to `7 per unit, similar to the rates in Tamil Nadu, Punjab etc.
Though the state government has accorded industry status to the hospitality sector, only the new hotels are getting the power concession of Rs 2.30 per unit while no relief is given to the existing hotels. “We are asking for such concessions in power tariff to the existing hotels too.”
There are around 80 star hotels like Novotel, Dolphin, Dasapalla in the state. When they fail to clear the power bill, they get an alert to clear it. If they failed to do so, the lineman would remove the fuse on the electric pole itself. This would force the hotel to run on backup power for some time, causing an embarrassment to the guests.
The hoteliers also raise concern about the electricity consumption load bill wherein the average power bill for two months is to be paid as a caution deposit with the electricity department. In case the hotel’s average monthly bill is Rs 20 lakh, it may have to deposit Rs 40 lakh, causing a huge financial burden.
They are also complaining about levying annual municipal tax in the range of Rs 16-18 lakh and sought a 50 per cent discount on it.
A meeting is to be held in Dasapalla in Visakhapatnam on Thursday and another one in Sarovar Portico in Kakinada on Friday to take the matters forward.
AP star hotels association president RV Swamy said, “We appeal to the state government to provide some relief in power tariff and in municipal tax to help us provide quality service to the tourists and contribute our share for promotion of tourism in the state.”
The hoteliers thanked the state government for reducing the annual excise duty on bars in star hotels to Rs 25 lakh from Rs 66 lakh per unit.
( Source : Deccan Chronicle )
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