Karnataka | KERC Announces Significant Power Tariff Reductions for Businesses and Homes
BENGALURU: The Karnataka Electricity Regulatory Commission (KERC) made a groundbreaking announcement on Thursday, revealing substantial reductions in tariffs that will bring relief to commercial, industrial, educational, and hospital consumers.
In a press release, KERC disclosed its approval of the Retail Supply Tariff for the years 2025-26, 2026-27, and 2027-28 for all distribution licensees in Karnataka. The commission emphasized that the retail supply tariff has been revamped to minimize cross-subsidization across various tariff categories, offering significant relief to High-Tension (HT) and Low-Tension (LT) commercial and industrial consumers.
For LT domestic lighting, the energy charge will be reduced by 10 paise in 2025-26 and by five paise in 2027-28, as per KERC. Furthermore, LT domestic consumers with solar rooftop systems will qualify for a rebate of Rs 25 per kW on fixed charges, applicable for installations up to 10 kW.
In the case of LT industrial consumers, energy charges will see a reduction of 160 paise per unit in 2025-26. HT commercial consumers will experience a 205 paise per unit reduction in energy charges in 2025-26, while HT industrial energy charges will decrease by 30 paise per unit. Additionally, HT hospitals and educational institutions will benefit from a 90 paise per unit reduction in energy charges.
Fixed charges for domestic consumers in 2025-26 will be Rs 145 per kW, with incremental increases of Rs 5 per kW in 2026-27 and Rs 10 per kW in 2027-28.
The Annual Revenue Requirement (ARR) of the Karnataka Power Transmission Corporation Limited (KPTCL) for the three-year control period has been set at Rs 7,067.44 crore for FY
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