Chhattisgarh’s residents are now burdened with increased electricity bills following a decision by the Electricity Regulatory Commission. The recent adjustment impacts both domestic and commercial consumers, who will experience higher charges. The tariff hike amounts to 1.8%, translating to an additional 10-15 paise per unit. This is the first electricity rate increase since the BJP government took office in Chhattisgarh. Previously, the Congress government had implemented two price hikes, with increases of 2.50% in 2022-23 and 4.88% in 2024-25, totaling a 7.38% increase during their tenure. Domestic consumers will see an increase of 10 to 20 paise per unit. Additionally, homes in areas designated as Bastar and South Tribal Development Authority, and Surguja and North Region Development Authority will be categorized under the domestic consumer category. Temporary connections under the domestic consumer category will now be charged 1.25 times the normal tariff, instead of the previous 1.5 times.
Commercial consumers will face a 25 paise per unit increase. Notably, offset printers and printing presses have been reclassified from the LV-2 to the LV-5 category. Temporary connections for commercial consumers also see the tariff adjusted to 1.25 times the normal rate, down from 1.5 times. Furthermore, mobile tower installations in the left-wing extremist-affected districts will benefit from a 10% energy charge reduction to encourage improved communication infrastructure. For agricultural consumers, there is a 50 paise per unit increase in electricity rates. The discount on energy charges for non-subsidized agricultural electricity pump users has been raised from 20% to 30%. The commission has also decided that farmers can continue to use a 100-watt load for lights and fans, considering their interests. The Chhattisgarh State Electricity Regulatory Commission has acknowledged the revenue deficit of the state’s electricity companies and has approved an annual revenue requirement of ₹25,636.38 crore for the fiscal year 2025-26, down from the ₹28,397.64 crore requested by the distribution company. The commission has approved an estimated electricity sale of 36,540 million units for the upcoming fiscal year, as opposed to the distribution company’s estimate of 35,727 million units. In the fiscal year 2025-26, a revenue deficit of ₹523.43 crore is estimated based on the current tariff, which is lower than the ₹4947.41 crore deficit predicted by the distribution company.
The process to increase electricity unit prices started on June 20, with the commission inviting consumers for public hearings. Following the hearings, the commission decided to increase electricity rates after hearing viewpoints from domestic, commercial consumers, farmers, and electricity company officials. The State Electricity Distribution Company (CSPDCL) had proposed a 20% increase in electricity rates, citing a loss of ₹4550 crore due to factors such as line losses and electricity theft.
