Electricity tariffs remain unchanged for financial year 2026-27

Dehradun: Uttarakhand Electricity Regulatory Commission (UERC) has announced that there will be no power tariff hike for the financial year 2026–27, offering relief to consumers in the state.The decision comes despite a proposal by Uttarakhand Power Corporation Limited (UPCL) seeking a 17.4% increase, with the overall hike by utilities estimated at 18.8% after factoring in claims from UJVN Limited and Power Transmission Corporation of Uttarakhand Limited (PTCUL).UERC chairman ML Prasad said, "The Commission has rationalised tariffs across some categories while keeping fixed and demand charges unchanged." Cross-subsidy levels have been maintained within +/- 20% in line with National Tariff Policy.The Commission approved an Annual Revenue Requirement (ARR) of Rs 12,489.5 crore for FY 2026–27. With projected revenues of Rs 12,590.4 crore based on expected sales of 16,444 million units, a surplus of Rs 100.8 crore is anticipated, eliminating the need for a tariff hike.UPCL had initially projected a higher ARR of Rs 14,731.9 crore and a revenue gap of Rs 2,183.9 crore, citing higher distribution losses and seeking a tariff revision. However, after review, the Commission approved a lower cost of supply at Rs 7.60 per unit against the utility's projection of Rs 8.79 per unit.UERC also approved a distribution loss target of 12.2%, with total energy requirements estimated at 19,524 million units, including pumping needs. UPCL filed petitions for tariff approval, annual performance review, and true-up for previous financial years in Dec 2025.