When different types of consumers are charged at different uniform per unit rates, it is said to be flat rate tariff.
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- 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.
R – Flat rate in rupees per Unit.