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UPPCL Notifies 10% Fuel Surcharge to Appear on June Electricity Bills

UPERC’s Multi‑Year Tariff rules allow recovery of higher March power purchase and transmission costs after a three‑month lag with a monthly cap that limits June’s recovery to 10 percent

Overview

  • UPPCL issued an order on Friday directing all distribution companies to add a 10% Fuel and Power Purchase Adjustment Surcharge to electricity bills issued in June and to apply the levy uniformly across consumer categories.
  • The surcharge reflects costs recorded in March 2026 under the UPERC MYT framework where adjustments are billed after three months; UPPCL calculated a 20.61% adjustment for March but the regulation caps single‑month recovery at 10%, leaving the balance to be recovered later.
  • The order estimates roughly Rs 1,610.57 crore tied to the recovery and UPPCL told discoms to publish detailed calculation sheets online to support transparency.
  • Consumer groups and opposition leaders say the charge is unfair, allege about Rs 1,400 crore of older dues were included in the calculation, and have demanded investigations or suspension of the recovery.
  • The levy arrives as the state copes with record peak demand and outages, officials have begun rehiring contract staff to speed repairs, and regulators and courts may be watched for possible reviews of power procurement and the surcharge.