Telangana electricity bills to rise with true-up charges from November

Hyderabad: Electricity bills in Telangana will rise from November after regulators approved ₹7,635.22 crore in electricity true-up charges for recovery by the state’s distribution companies. Consumers will pay an additional 30 paise per unit in November. Subsequently, they will face a further 50 paise per unit for about two years.

The Telangana Electricity Regulatory Commission approved the recovery of the true-up amount by the state’s power distribution companies. Of the total ₹7,635.22 crore, the State Government will bear ₹2,214.99 crore relating to the agriculture sector.

Meanwhile, ₹5,420.23 crore will be recovered from domestic, commercial and other eligible non-agricultural consumers. The additional charges will increase electricity expenses for those categories.

Electricity true-up charges linked to procurement costs

The electricity true-up charges arose from additional power procurement expenditure and a revenue deficit during two financial years. The amount included ₹5,186.29 crore in additional expenditure on power procurement during 2022-23. It also included a revenue deficit of ₹2,448.93 crore for 2023-24.

TGSPDCL and TGNPDCL will recover the approved amounts from consumers in their respective distribution areas. Of the ₹5,420.23 crore non-agricultural component, ₹4,222.93 crore will be collected in the TGSPDCL area. TGNPDCL will recover the remaining ₹1,197.30 crore from eligible consumers in its area.

The government will provide agricultural subsidies totalling ₹2,214.99 crore. Of this, ₹1,442.49 crore will go towards the agricultural component in the TGSPDCL area. The remaining ₹772.50 crore will cover the agricultural component in the TGNPDCL area.

Electricity true-up charges to appear separately on bills

The electricity true-up charges will appear separately on consumers’ bills from November 2026. TGERC issued specific directions to the DISCOMs on displaying the additional amounts.

The commission directed the distribution companies to clearly state the relevant financial year on each bill. They must also mention the electricity consumption considered and the applicable per-unit rate.

Where electricity true-up charges relate to two financial years, the DISCOMs must display the amounts separately. The requirement was intended to show consumers how the additional charges were calculated and recovered.

The approved recovery will begin with the additional 30-paise-per-unit charge in November. The further 50-paise-per-unit recovery will then continue for about two years.