UP Electricity Bills May Rise by 30% Amid Tariff Hike Proposal
Lucknow, Uttar Pradesh: Electricity consumers in Uttar Pradesh may soon face a significant financial burden as the Power Corporation has proposed a steep increase in electricity tariffs. The proposal, submitted to the State Electricity Regulatory Commission, suggests a category-wise hike that could result in an overall rise of up to 30% in electricity bills.
If approved, the new tariff structure would particularly impact both urban and rural residential consumers. According to the proposal details, urban domestic electricity consumers could see a 35-40% increase in their power bills, while rural domestic users might experience a hike of around 40-45%.
In addition to the increase in electricity tariffs, the Corporation has also proposed a 25-30% rise in connection charges. This increase is justified by the Power Corporation’s reported revenue gap of ₹19,644 crore, based on its collection efficiency metrics.
The proposal has raised widespread concern and debate among consumers. Advocacy groups and citizens have begun voicing their objections. The Uttar Pradesh State Electricity Consumers Council has strongly criticized the move. Council Chairman Awadhesh Kumar Verma stated that while the Corporation’s Annual Revenue Requirement (ARR) data has already been published in newspapers and public objections have been invited, the newly submitted category-wise hike proposal should not be considered valid at this stage.
Verma also recalled a similar situation last year when the Corporation submitted a category-wise hike proposal during an ongoing review, which the commission rejected at that time. He noted that this year seems to be repeating the pattern.
Highlighting a major point of contention, Verma claimed that electricity companies currently have a surplus of ₹33,122 crore from consumers. Based on this, the Council has proposed a 4% reduction in electricity tariffs instead of an increase.
Public hearings on the electricity tariff issue are scheduled to begin on July 7. The debate is expected to intensify in the coming weeks as consumer groups oppose what they see as an unjustified burden on the common man.
If the proposed hikes are approved, they will significantly increase household expenses, especially in lower-income rural areas. The Electricity Regulatory Commission’s decision will be closely monitored as it attempts to balance the state’s energy financials with the interests of the public.