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Andhra Pradesh To Credit Rs 924 Crore Power Refund With 13-Paise Tariff Cut From November

Officials credit procurement reforms for making the cut possible.

Overview

  • APERC’s FY25 FPPCA true-up directs DISCOMs to return about Rs 923.55–924 crore, translating to roughly Rs 0.13 per kWh credited to bills.
  • Refunds for usage in April 2024–March 2025 will be applied automatically over 12 monthly cycles from November 2025 through October 2026.
  • The Energy Minister said tariffs will drop by 13 paise per unit starting in November, framing it as immediate relief for households and small businesses.
  • APERC noted DISCOMs collected Rs 2,787 crore at a 40 paise per unit FPPCA in FY25, with the net refund set after reconciling actual fuel and purchase costs.
  • The government cites reduced short‑term purchases, plant revivals and swaps as yielding savings of roughly Rs 895–1,000 crore, while opposition leaders dispute the scale and portray the relief as insufficient.