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					</table>The Tripura Electricity Regulatory Commission (<a href="https://terc.tripura.gov.in/" target="_blank" rel="noopener">TERC</a>) has approved the tariffs for Tripura State Electricity Corporation (TSECL) for the financial year ending March 2027. The order covers the truing-up for the year ended March 2025, the annual performance review for the year ended March 2026, and the aggregate revenue requirement and retail tariff for the year ended March 2027.
The revised tariff is effective from May 1, 2026.
Revenue Gap and Tariff Determination
TSECL had sought to recover a cumulative revenue gap of ₹17.09 billion (~$178.70 million) through tariff revisions and a regulatory surcharge. The Commission did not approve the recovery of the full gap in the current tariff and allowed only a portion of the past true-up gaps.
The Commission considered one-fifth of the true-up revenue gap for the year ended March 2024, one-third of the true-up gap for the year ended March 2025, and the full carrying cost of ₹1.50 billion (~$15.64 million) while finalizing the ARR for the year ending March 2027.
The standalone ARR for the year ended March 2027 was determined to be ₹21.64 billion (~$226.32 million). The Commission approved ARR without government subsidy at ₹13.52 billion (~$141.32 million) for computing the average cost of supply.
After accounting for the government subsidy of ₹770 million (~$8.05 million), the tariff determination amount comes to about ₹12.75 billion (~$133.27 million).
Tariff Structure and Consumer Impact
The Commission rejected TSECL’s proposal for a regulatory surcharge and decided to recover the approved revenue gap through rationalized fixed charges and a marginal increase in energy charges.
The average cost of supply was approved at ₹8.90 (~$0.093)/kWh against TSECL’s claimed ₹18.13 (~$0.19)/kWh. The Commission said full recovery of the standalone ARR would require a tariff increase of about 43%, which it considered too high.
The Commission observed that revenue from fixed charges accounts for only 5% of TSECL’s total revenue. It rationalized fixed charges across consumer categories and approved marginal energy charge increases of ₹0.15 (~$0.0016)/kWh to ₹0.20 (~$0.0021)/kWh for domestic consumers, ₹0.20 (~$0.0021)/kWh for irrigation, public water works, public lighting, and special utility categories, and ₹0.35 (~$0.0037)/kWh for the remaining consumer categories.
If the Government of Tripura decides to provide the approved subsidy, it must be paid to TSECL in advance every month. The Commission directed TSECL to recover the full tariff if the subsidy is not paid in advance for two consecutive months.
Distribution and Power Purchase Costs
The Commission approved sales of 1,519.41 million units for the year ending March 2027. Revenue from interstate sales was projected at ₹10.12 billion (~$105.84 million), while government subsidy was considered at ₹770 million (~$8.05 million).
The Commission approved the distribution business ARR at ₹21.53 billion (~$225.10 million) after accounting for power purchase costs, transmission charges, TSECL’s own generation costs, operating expenses, depreciation, finance costs, return on equity, working capital interest, and non-tariff income.
Power purchase cost for the year ending March 2027 was approved at ₹16.18 billion (~$169.17 million). TSECL’s own generation cost was approved at ₹1.78 billion (~$18.60 million). Interstate transmission charges were approved at ₹1.14 billion (~$11.96 million), while intrastate transmission charges were approved at ₹392.4 million (~$4.10 million).
The Commission approved a transmission and distribution loss of 18.30% for the year ending March 2027. For the year ended March 2025, the actual loss was 27.56%, while the normative loss of 19% was used in the gain and loss computation.
Transmission, Wheeling and Cross-Subsidy
For open access consumers at the 33 kV voltage level, the wheeling charge was approved at ₹0.47 (~$0.0049)/kWh. The Commission based this on a distribution wire cost of ₹2.42 billion (~$25.27 million), energy input of 1,813.14 million units, and 35% cost allocation to the 33 kV voltage level.
The Commission approved a total system loss of 18.30% for computing the cross-subsidy surcharge, comprising 2.50% intrastate transmission loss and 16.20% wheeling loss. It also approved a weighted average power purchase cost of ₹4.78 (~$0.05)/kWh for surcharge computation.
Operational and Compliance Directions
TSECL filed a combined petition because the financial segregation of Tripura Power Generation and Tripura Power Transmission has not been completed. The Commission said TSECL submitted segregated ARR calculations based on division-wise account statements and related assumptions.
The Commission directed TSECL to complete financial segregation, feeder energy audits within six months, boundary metering, voltage-wise loss measurement, and uniform billing across all subdivisions. It also directed TSECL to submit quarterly reports on prepaid meters and maintain source-wise power purchase statements reconciled with audited accounts.
Earlier this year, TERC <a href="https://www.mercomindia.com/tripura-issues-third-amendment-to-2011-electricity-supply-regulations" target="_blank" rel="noopener">issued</a> the third amendment to the Tripura Electricity Regulatory Commission (Electricity Supply Code) Regulations, 2011.
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Tripura Electricity Regulator Approves ₹12.75 Billion Tariff Recovery

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					</table>The  Uttar Pradesh Electricity Regulatory Commission (<a href="https://www.uperc.org/Default2.aspx" target="_blank" rel="noopener">UPERC</a>) has approved an aggregate revenue requirement (ARR) of approximately ₹59.61 billion (~$630.22 million) and ₹255.41 million (~$2.7 million) for Uttar Pradesh Power Transmission Corporation (<a href="http://upptcl.org/upptcl/en/page/about-upptcl" target="_blank" rel="noopener">UPPTCL</a>) and Uttar Pradesh State Load Dispatch Centre (<a href="https://www.upsldc.org/home" target="_blank" rel="noopener">UPSLDC</a>), respectively.
It approved an annual performance review (APR) of ₹58.08 billion (~$614.12 million) and ₹481.72 million (~$5.1 million).
UPERC also approved transmission charges of ₹84.4 billion (~$892.34 million) and open access charges of ₹0.3075 (~$0.0033)/kWh for UPPTCL.
The state load dispatch center (SLDC) charges of ₹483.88 million (~$5.11 million) and a capital investment plan of ₹26.25 million (~$277,104.19) were also approved for UPSLDC.
The Commission lowered ARR, APR, and other charges from the petitioners&#8217; request after prudence checks, primarily by reducing expenses that were above the norm.
Background
In November 2025, UPPTCL and UPSLDC filed petitions with the Commission seeking approval of their true-up for FY 2024–25, the APR for FY 2025-26, and the ARR for FY 2026-27.
UPPTCL sought an APR of ₹63.8 billion (~$673.57 million), an ARR of ₹72.76 billion (~$768,12 million), and transmission charges of ₹97.8 billion (~$1.03 billion).
UPSLDC requested an APR of ₹498.25 million (~$5.26 million), an ARR of ₹276.83 million (~$3 million), and SLDC charges of ₹515.01 million (~$5.44 million). It also proposed a capital investment plan of ₹26.25 million (~$277,104.19).
The Commission held technical validation sessions in January 2025 and noted multiple deficiencies and data gaps.
It observed that UPPTCL had not submitted a study assessing the impact of tariff-based competitive bidding (TCBC) for transmission systems of 220 kV and above on transmission losses within the mandated timeline. The Commission directed UPPTCL to explain this delay and submit the report.
For UPSLDC, the Commission highlighted incomplete data and a lack of clarity on financial and operational submissions. It inquired about the status of approved capital expenditure programs for FY 2024-25, detailed depreciation data, and clarification on annual maintenance contract expenses. It also sought justification for employee incentive expenses and details of certified personnel.
The Commission directed UPSLDC to provide clarity on banking and finance charges, as well as the treatment of income tax and return on equity.
The petitioners submitted their responses to the issues highlighted by UPERC. They also submitted responses to the deficiency note issues earlier in December 2025.
Public hearings were held for both petitions in February 2026, and stakeholders were invited to share their comments and suggestions.
In UPPTCL’s public hearing, stakeholders highlighted transmission losses and inquired about ARR components, state transmission utility charges, and the share of TBCB licensees in the state transmission network. They also questioned whether increased capital expenditure (CAPEX) on transmission infrastructure was delivering proportional benefits, particularly in reducing transmission losses and improving efficiency.
For UPSLDC, stakeholders highlighted the lack of transparency in uploading the petition, power generation shutdowns, citing low demand, ARR discrepancies, and the independent status of UPSLDC. The stakeholders sought clarifications for the public availability of the generation shutdown status and employee incentives.
UPPTCL  submitted that transmission losses rose marginally due to the 11% increase in power flow in the transmission system, while transmission network additions were low. The transmission losses depended on loading, power flows, voltage profiles, power generation mix, and operating conditions.
It also stated that the increased CAPEX was for transmission network strengthening, capacity augmentation, and replacing ageing conductors. The claims for ARR were based on multi-year tariff (MYT) regulations, audited accounts, and earlier Commission-approved norms.
On transmission charges, UPPTCL submitted that the increase was mainly due to the new MYT transmission regulations, including higher return on equity and revised operation and maintenance computations.
Commission’s Analysis
The Commission approved lower ARR, APR, and charges after applying prudence checks and tariff regulations. It reduced expenses that were considered higher than the norm, particularly operation and maintenance costs.
For UPPTCL, it observed that the transmission losses were influenced by system loading, power flow, network configuration, and voltage profile.
It acknowledged that UPPTCL engaged consultants to study the impact of 220 kV and above TBCB transmission systems on intra-state transmission losses , directing the petitioner to submit the report within three months.
For UPSLDC, the transmission and SLDC charges were reduced since they were derived from the approved ARR.
The Commission noted that the ARR components were examined through prudence checks under the MYT regulations. UPERC held that the computation norms for the transmission charges did not impose an additional burden on distribution company consumers.
For UPSLDC, the Commission approved ARR and SLDC charges and directed it to improve transparency, ensure the timely availability of petition documents, maintain public access to generation shutdown data, and take steps toward appointing an independent managing director to strengthen its functional independence.
The Commission also approved the full capital investment plan amount proposed by UPSLDC.
This February, UPERC <a href="https://www.mercomindia.com/uttar-pradesh-allows-blockchain-based-interstate-p2p-green-power-trading-pilot" target="_blank" rel="noopener">permitted</a> Pashchimanchal Vidyut Vitran Nigam to undertake a pilot demonstration of interstate peer-to-peer trading of renewable energy under the India Energy Stack framework.
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