Assam power tariff is set to rise temporarily by 4–5 paise per unit from November as the Assam Power Distribution Company Limited (APDCL) seeks to recover higher fuel and electricity purchase costs, Chief Minister Himanta Biswa Sarma said on Tuesday. He said the additional charge would be withdrawn once fuel prices stabilise.
The chief minister dismissed reports of a sharp increase in electricity tariffs and described the proposed rise as a temporary measure linked to higher global fuel costs. He said crude oil and diesel prices had increased the cost of purchasing electricity from external sources, adding to the financial pressure on power utilities.
“If the conflict subsides, the additional charge will be withdrawn immediately. This is purely a temporary measure and not a permanent increase in electricity tariffs,” Sarma said, referring to the geopolitical situation in West Asia. He added that crude oil prices had reached around $115 per barrel until Tuesday.
The tariff adjustment is linked to the recovery of accumulated fuel and power purchase price adjustment surcharge, or FPPPAS. The Assam Electricity Regulatory Commission (AERC) heard an APDCL petition on October 28 seeking permission to recover costs accumulated during the first five months of financial year 2026–27, from April to August.
According to the petition, variations in power purchase costs led to accumulated FPPPAS of approximately Rs 156 crore, excluding supplementary bills. APDCL proposed recovering about Rs 155.59 crore through a five-month schedule running from November to March next year.
The company had initially proposed collecting Rs 40.07 crore in November, Rs 30.95 crore in December, Rs 28.97 crore in January, Rs 29.36 crore in February and Rs 26.23 crore in March. It proposed an FPPPAS rate of 3.81% per month for full recovery of the accumulated amount.
APDCL said it would limit the impact on lower-income domestic consumers. Under its proposal, consumers in the Jeevan Dhara category and Domestic-A consumers using up to 120 units would be charged a reduced rate of Rs 0.05 per kilowatt, while the computed rates would apply to other consumer categories.
The AERC did not approve APDCL’s specific month-wise recovery schedule. Instead, it allowed the distribution company flexibility to determine how the accumulated FPPPAS would be levied each month, provided the amount is recovered within financial year 2026–27.
The commission directed APDCL to consider the impact on consumers while exercising this flexibility. It also required the company to clearly distinguish the accumulated surcharge from the regular monthly FPPPAS that becomes payable during the same period.
The flexibility granted by the AERC is limited to the timing and monthly method of recovering accumulated FPPPAS for April to August 2026. The computation and recovery of charges for later periods will continue to follow the formula, methodology and timelines prescribed under the applicable regulations unless the commission grants a specific relaxation.
