Amaravati, March 25 – In a major relief for electricity consumers across Andhra Pradesh, the Andhra Pradesh Electricity Regulatory Commission (APERC) approved no increase in electricity tariffs for 2026-27 on Wednesday.
The state government said that the APERC's decision reaffirms its commitment to protecting households, farmers, and small businesses from rising power costs.
The Commission's order also includes the true-up/down and performance review of DISCOMs for 2024-25, following an extensive public consultation process.
While DISCOMs projected a revenue gap of Rs 17,508 crore, APERC approved a lower gap of Rs 15,790 crore, which will be fully supported by the state government.
This intervention ensures no tariff hike across all consumer categories, no additional burden through true-up charges, and continued affordability and financial stability for consumers.
According to an official statement, the order delivers wide-ranging benefits across sectors.
This has protected 1.13 crore domestic consumers from tariff increases, while 22 lakh farmers will continue receiving free power supply.
As many as 22 lakh SC/ST and economically weaker households will receive free or subsidised electricity through the direct benefit transfer (DBT) scheme.
Commercial tariffs have been reduced from Rs 12.25/unit to Rs 9.95/unit, benefiting about 2 lakh consumers.
The load limit for cottage industries has been doubled from 10 HP to 20 HP, aiding 18,000 small enterprises.
To boost industrial activity and align with emerging sectors, APERC has introduced key structural changes, including a new tariff subcategory for solar module manufacturing, promoting clean energy investments, reclassifying water purification plants and printing presses as industrial units, and rationalizing tariffs for utilities such as national highway street lighting and special provisions for poultry and seasonal processing industries.
The Commission rejected several proposals that would have increased consumer burden, including changes in the time-of-day tariff structure, shifting to non-telescopic billing for certain consumers, and removing the green power category.
APERC has issued critical directions to DISCOMs to improve operational efficiency: They have been told to accelerate the clearance of subsidy dues and government department arrears, implement strategies to minimize private arrears, enhance electrical safety measures, including public reporting systems via websites and WhatsApp, and ensure compliance with national standards and The Revamped Distribution Sector Scheme targets.
