Telangana government proposes DA and DR hike for 71,360 power utility beneficiaries

Hyderabad: The Telangana government initiated steps to implement a DA and DR hike for 71,360 employees, Artisans and pensioners across four state power utilities. The proposed revision would raise the existing rate from 19.272% to 21.815%, with retrospective effect from July 1, 2026.

Deputy Chief Minister Mallu Bhatti Vikramarka directed the Chairmen and Managing Directors (CMDs) of the power utilities to prepare formal proposals for the revision. The proposed increase of 2.543 percentage points would impose an additional monthly financial burden of approximately Rs 14.63 crore on the state power sector.

DA and DR hike to benefit 71,360 people

The proposed revision would cover employees, Artisans and pensioners associated with four Telangana power utilities. Under the proposal, the Dearness Allowance (DA) and Dearness Relief (DR) rate would increase from 19.272% to 21.815%.

Consequently, eligible beneficiaries would receive the revised rate with effect from July 1, 2026, following implementation. The government based the proposed adjustment on the All-India Consumer Price Index published by the Labour Bureau under the Union Ministry of Labour.

The index undergoes updates twice annually, in January and July, to reflect changes in inflation. Accordingly, the proposed revision seeks to offset the impact of rising living costs on employees and pensioners.

Power utilities directed to prepare revision proposals

Deputy Chief Minister Bhatti Vikramarka instructed the CMDs of the concerned power utilities to prepare the necessary official proposals. The directions marked the beginning of the administrative process for implementing the revised allowance and relief rates.

Meanwhile, the government estimated that the increase would require an additional expenditure of Rs 14.63 crore every month. The financial commitment would cover all 71,360 beneficiaries across the four power sector entities.

Government reiterates commitment to employee welfare

Bhatti Vikramarka said the proposed DA and DR hike reflected the Telangana government’s commitment to protecting the interests of power utility employees and pensioners. He emphasised the administration’s focus on employee welfare and financial support for the power sector workforce.

The proposed revision would extend inflation-linked financial relief to serving employees, Artisans and retired personnel covered by the scheme.