BESCOM power bill hike from May 1 after KERC approves FY25 true-up charge recovery

Power bills for BESCOM consumers will rise from May 1 after the Karnataka Electricity Regulatory Commission approved recovery of a revenue deficit. The order allows an additional 56 paise per unit, calculated from FY2024-25 consumption. BESCOM will recover the amount as FY25 true-up charges in monthly instalments during FY2026-27 and keep separate accounts.

Electricity consumers served by Bangalore Electricity Supply Company Limited (BESCOM) will see higher power bills from May 1. The change followed a Karnataka Electricity Regulatory Commission (KERC) order issued on Friday. KERC allowed BESCOM to recover a 2024-25 revenue shortfall. The deficit amount was set at Rs 2,068 crore.

KERC said the recovery worked out to an extra 56 paise for each unit used in 2024-25. This additional charge applied to the units already consumed in that financial year. The order linked the increase to the gap between BESCOM’s allowed revenue and actual collections during 2024-25.

BESCOM power bills and KERC recovery plan

The order stated, "BESCOM shall calculate, for each of the active consumers of FY2024-25 the amount to be recovered based on their actual energy consumptionduring FY2024-25.\" It also explained that bills would be based on each consumer’s recorded usage for that year.

The order added, \"Such amount shall be recovered during FY 2026-27 in equal monthly instalments, to be called as FY25 True up Charges, commencing from the first meter reading date falling on or after 1 May 2026 and concluding with the reading date ending on 30 April 2027,\" the order said. It set the recovery window and the instalment structure.

KERC also directed BESCOM to track the recovery separately. The order said, \"It is further ordered that BESCOM shall maintain a separate head of account, allocated for the purpose, to record the adjustment of the said amount to ensure full recovery of the deficit, it added.\" This accounting step aimed to match collections with the approved deficit amount.

CESC power bills and KERC-approved deficit charges

Official sources said Chamundeshwari Electricity Supply Corporation Limited (CESC) also reported a revenue gap for 2024-25. The deficit was put at Rs 121.71 crore. CESC was allowed to collect an extra 15 paisa per unit for electricity consumed during 2024-25.

The KERC order linked higher BESCOM power bills to the approved recovery of the 2024-25 deficit. The charge was tied to past consumption and would be calculated for active consumers. For BESCOM, the recovery would be spread across FY 2026-27 as monthly instalments. CESC consumers also faced additional per-unit charges for 2024-25 usage.

With inputs from PTI