DERC allows Delhi discoms to recover additional power surcharge

The Delhi Electricity Regulatory Commission has permitted BRPL, BYPL and TPDDL to recover additional fuel and power purchase adjustment surcharge for May 2026 to offset higher costs

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Nandini Keshari
2 min read Last Updated : Jul 14 2026 | 12:30 AM IST
The Delhi Electricity Regulatory Commission (DERC) has permitted the city's power distribution companies (discoms) to recover an additional fuel and power purchase adjustment surcharge (FPPAS) of up to 8 per cent for May 2026. The commission has taken this step to remove the difficulties faced by the discoms in recovering at least a reasonable part of the increase in power purchase costs.
 
"BSES Rajdhani Power Limited (BRPL), BSES Yamuna Power Limited (BYPL) and Tata Power Delhi Distribution Limited (TPDDL) shall be permitted to recover, in addition to the capped FPPAS of ten per cent (10%), the additional FPPAS for May 2026 at 7.94% in the case of BRPL, 7.43% in the case of BYPL and 2.21% in the case of TPDDL," the commission said in an order dated July 10.
 
Therefore, the total FPPAS these discoms are allowed to impose is 17.94 per cent, 17.43 per cent and 12.21 per cent, respectively. This relaxation may increase electricity bills for consumers. The relaxation will come into effect from the date of issuance of the order and will be applicable on a month-to-month basis until further orders from the DERC.
 
The existing regulations provide for a ceiling of 10 per cent on the FPPAS recoverable in a billing cycle. The FPPAS, calculated as a percentage of the total of the fixed charge and the energy charge for a consumer, is determined by the DERC every month.
 
BRPL and BYPL last month, and TPDDL in the last week, sought relaxation on the ground that the actual power purchase cost for May had increased significantly compared with the approved base power purchase cost considered in the prevailing tariff order, the commission said. It added that the FPPAS for the month worked out to 25.07 per cent for BRPL, 19.91 per cent for BYPL and 12.21 per cent for TPDDL, which is higher than the prescribed ceiling.
 
The DERC had also allowed these discoms to impose an additional FPPAS for April following requests made by them.
 
   

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Topics :electricity sectorDiscomsPower Tariff

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