Electricity Bill in Delhi increases by 2% from October 1

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Electricity Bill in Delhi increase by 2% from October 1

Residents of Delhi will now have to pay more for the electricity usage as the Delhi electricity bills are all set to increase starting from 1st October 2021. 

The Delhi Electricity Regulatory Commission (DERC) on Thursday, September 30, said that the electricity bills in Delhi will be increased as pension surcharge will increase by 2%. DERC said, "The new power tariff order for 2021-22 will be applicable from October 1". 

Despite increase in the pension surcharge, DERC said that additional costs such as per unit energy cost and fixed charges have remained the same. The 'pension trust surcharge'has only increased by 2% from 5% to 7%. 

The pension surcharge was levied before the electricity sector was decentralised. The pension surcharge is levied on electricity bills towards paying pensions to retired employees of power utilities like Tata Power NDPL, BSES Yamuna and BSES Rajdhani.

Money collected as part of the surcharge from residents of Delhi is shared with the power distribution companies, which helps them in making up for their revenue deficits. The Delhi electricity bill also includes goods and services taxes and other two surcharges.  

The regulatory asset surcharge is going to remain same at 8%. DERC had ordered to increase the pension surcharge from 3.8% to 5% last year and now it has been increased to 7% this year.

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