Assam CM Promises Temporary Electricity Tariff Hike Will Be Revoked
Temporary Electricity Tariff Increase Explained
File image of Assam CM (Photo: @himantabiswa/X)
Guwahati, Nov 3: On Tuesday, Chief Minister Himanta Biswa Sarma reassured the public that the recent temporary increase in electricity tariffs would be reversed once the Assam Power Distribution Company Limited (APDCL) manages to recover its financial losses. He addressed concerns regarding the potential permanence of this tariff adjustment.
During a press briefing at Vajpayee Bhawan, Sarma clarified that the tariff hike, which has been approved by the Assam Electricity Regulatory Commission (AERC) and is set to take effect this month, is intended to last for a duration of five months.
“Once we recover the losses, this increase will be eliminated. The way it has been portrayed as a significant hike is misleading; it will not exceed five paise,” he stated.
He elaborated on the reasons for the tariff adjustment, attributing it to escalating power procurement costs driven by the ongoing crisis in West Asia and rising oil prices.
“As oil prices rise, we are compelled to purchase power at higher rates. The turmoil in West Asia has caused oil prices to soar, reaching Rs 115 per barrel yesterday,” he explained, emphasizing that electricity cannot be provided free of charge when procurement costs are on the rise.
Sarma reiterated that this adjustment is a temporary solution and not a permanent annual increase in tariffs.
The tariff revision comes as APDCL grapples with outstanding Fuel and Power Purchase Price Adjustment Surcharge (FPPPAS) dues amounting to approximately Rs 156 crore, excluding additional bills, due to fluctuations in power purchase costs from April to August 2026.
APDCL had sought AERC's approval to recover these accumulated surcharges through a staggered payment plan from November 2026 to March 2027, which pertains to the financial year 2026-27.
However, the adjustments in tariffs will differ among consumer categories. Low-tension consumers in the Jeevandhara and domestic sectors with sanctioned loads under 30 kW will see an increase of Rs 0.05 per unit.
Other low-tension categories will experience a rise of approximately Rs 0.30 per unit, while high-tension consumers with loads exceeding 20 kW will also face a similar increase of Rs 0.30 per unit.
Sarma concluded by reaffirming that the tariff increase would be rescinded once APDCL recovers its losses, aiming to ease worries about a long-term rise in electricity prices.