The Haryana Electricity Regulatory Commission (HERC) has announced its consumer-centric electricity tariff order for the financial year 2025-26, effective from April 1, 2025, prioritising the well-being of consumers, particularly underprivileged, agriculturists, and Farmer Producer Organisations (FPOs).

The HERC has given major relief to these categories while deciding the new retail electricity supply tariff schedule. The HERC has reduced the revenue gap to Rs 3,262 crore from Rs 4,520 crore proposed for FY 2025-26, and accordingly revised the Retail Supply Tariff Schedule.

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The retail supply tariff schedule within the state has been revised after seven years, i.e., FY 2017-18. It has been possible because of earnest efforts put in by both the discoms, i.e., UHBVN and DHBVN during the last 10 years. Both the discoms have not only strategically improved the efficiency, but also reduced the AT&C losses from 30 per cent to around 10 per cent during this period, said the HERC in a statement.

With this, the financial health of both companies has significantly improved over the last decade. However, due to erratic increases in the fuel charges and other inflationary parameters, the prevailing retail supply tariff schedule has been revised, which is still lower for consumers as compared to the neighbouring states.

Consumers in the domestic category are divided into three categories based on load. Out of the total domestic consumers, around 78 per cent of consumers have a load of up to 2 KW, around 16 per cent between 2-5 KW, and only six per cent are above 5 KW.

Earlier in FY 2020-21, tariff for the Category-I was reduced from Rs 2.70 per unit to Rs 2 per unit (0-50 units per month) and in case of consumption between 51 units to 100 units the tariff was reduced from Rs 4.50 per unit to Rs 2.50 per unit, which have now been fixed as Rs 2.20 and Rs 2.70 per unit respectively in the latest tariff order.

Further, this new tariff structure delivers immediate relief to households by eliminating the burden of Minimum Monthly Charges (MMC). However, a two-part tariff regime has been introduced in which no fixed charges will be levied on domestic consumers having monthly energy consumption up to 300 units. The tariff for the Category I domestic consumers is still one of the lowest in neighbouring states.

In a move to further support farmers, the tariff for the agriculture category having metered connection has been reduced by lowering Monthly Minimum Charges (MMC) from the prevailing tariff of Rs 200 per BHP per year to Rs 180/144 per BHP per year as per the load.

A new tariff slab above 20 KW for the agro industry and FPO has been introduced to encourage emerging sectors such as mushroom compost and spawn, high-tech hydroponics, high-tech aeroponics, and cold storage. With this decision, the tariff for above mentioned units is now fixed at Rs 6.50 per unit. Earlier, FPO units with a load above 20 KW were being billed with tariffs applicable to the LT supply category.

Besides, the energy charges have been marginally increased for the HT supply category, and the resultant tariff for such consumers has been consciously kept below the prevailing rates for the HT supply category in neighbouring states across the northern region.

The HERC has carefully structured these revisions to prioritise the needs of key consumer segments, balancing the financial sustainability of distribution companies with tangible benefits for the people of Haryana.