The opposition believes that the latest threat of power distribution companies (discoms) in the capital to increase tariff if they do not get adequate funds from the government, is sheer blackmail.

BSES Yamuna and BSES Rajdhani- two discoms which supply 70 percent of power in Delhi, have said that 60 percent tariff increase coupled with a bailout from the government is the only way they can sustain afer the month of May.

"This is all fabricated and a policy to blackmail people. The discoms are working in connivance with the government. As per my knowledge, they are getting Rs 3,600 crore per annum. Chairman and members of DERC are working with the government to fool the people. LG should interfere in the matter and make sure that there is no further hike in the tariff.  We will take up this issue," Vijendra Gupta, president, Delhi BJP, told Governance Now.

Delhi BJP spokesperson Sanjay Kaul said that the Delhi government is playing into the hands of power discoms. "They can arm- twist the government whenever they want. If BSES is really in such losses, they it should make public its annual returns. This is the right time for the people to protest against this unjust threat of tariff hike," said he.

The announcement comes at a time when the electricity demand in the city is on the rise.

"We have knocked on every door available to help us deal with our liquidity crisis. The banks have refused to give any loan to us, and at present we are under a debt of over Rs 9,000 crore. Our cash is fast running out and unless we get some assistance, our business can survive only till May-end. If there is no solution, we will run into defaults which will undo all the good work since privatization nine years ago," Reliance Infra chairperson Lalit Jalan told the Times of India.

Delhi government is yet to respond to the request of fiancial suppoer of Rs 500 made by the discoms.

"Whatever help the discoms want, they should communicate to us and we will look into all their demands within the legal framework. The matter of tariff is still with Delhi High Court and we are waiting for its order that's expected any day now. However, the tariff petition for 2011-12 is already underway but it will not be ready before June-end or first week July at the earliest," DERC chairperson P D Sudhakar told the daily.

RWA members believe that the discoms are just being opportunist by threatening to increase the tariff in peak summer. "Today everyone who has some power in hand is blackmailing the common man. From pilots to these discoms. In our area there was no electricity last night between 11pm and 8 am. They are not giving full facility but instead blackmailing and harassing the common man," said Satvir Wadhwa, RWA President, Ashok Nagar (West Delhi).