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Assam power tariff to increase by 5 paise from November

Chief Minister Himanta Biswa Sarma said the temporary hike aims to recover higher electricity and fuel purchase costs.

Assam power tariff is set to increase temporarily by 4 to 5 paise per unit starting in November, according to a report by Urban Acres. Chief Minister Himanta Biswa Sarma said on Tuesday that the Assam Power Distribution Company Limited (APDCL) needs to recover higher costs for electricity and fuel purchases.

Sarma stated that the additional charge would be removed once fuel prices stabilise. He dismissed reports of a significant tariff hike, explaining that the proposed increase is a temporary response to rising global fuel costs. He noted that increased crude oil and diesel prices have raised the cost of buying electricity from external sources.

The Chief Minister referred to the geopolitical situation in West Asia, stating that the additional charge will be withdrawn immediately if the conflict subsides. He added that crude oil prices had reached approximately $115 per barrel until Tuesday.

The adjustment is related to the recovery of the fuel and power purchase price adjustment surcharge (FPPPAS). The Assam Electricity Regulatory Commission (AERC) heard an APDCL petition on October 28 regarding costs accumulated from April to August during the first five months of the 2026–27 financial year.

The petition stated that variations in power purchase costs resulted in an accumulated FPPPAS of about Rs 156 crore, excluding supplementary bills. APDCL proposed recovering roughly Rs 155.59 crore through a five-month schedule from November to March next year.

The AERC did not approve the specific month-wise recovery schedule proposed by APDCL. Instead, the commission gave the distribution company flexibility to decide how the accumulated FPPPAS is levied each month, as long as it is recovered within the 2026–27 financial year.

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