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					</table>The <a href="https://gercin.org/" target="_blank" rel="noopener">Gujarat Electricity Regulatory Commission</a> has announced tariffs for the retail sale of electricity for the financial year (FY) 2026. According to the new order, the tariffs for low tension (LT), high tension (HT), and extra-high tension consumers in Gujarat remained unchanged from the previous year.
The revised tariff includes a few new provisions.
It has added a 2% rebate on energy charges for consumers who opt for a pre-paid smart-metering and billing arrangement.
It also specifies a concession of ₹0.60 (~$0.0069)/kWh between 11:00 and 15:00 for consumers with smart pre-paid meters.
The revised tariffs include a time-of-use charge for various HT tariff categories.
The additional tariff rate for the green power tariff has been reduced by 10% to ₹0.9 (~$0.01)/kWh from ₹1 (~$0.011)/kWh. Gujarat Energy Transmission Corporation’s transmission charges are down 5.14% to ₹3,918.01 (~$45.29)/MW/day from ₹4,130.32 (~$47.75)/MW/day.
Transmission charges for short-term users are set at ₹0.37 (~$0.0042)/kWh.
State Load Dispatch Centre charges have been increased by 48.8% to ₹565.45 million (~$6.53 million) from ₹380 million (~$4.39 million).
Domestic Consumers
Rural General Purpose (RGP)
GERC fixed the tariff for this category, which includes a single-phase supply up to 6 kW and a three-phase supply above 6 kW.
Fixed charges remain at ₹15 (~$0.17)/month for connected loads of up to 2 KW, ₹25 (~$0.29)/month for loads between 2 kW and 4 kW, ₹45 (~$0.5)/month for loads between 4 kW and 6 kW, and ₹70 (~$0.81)/month for loads above 6 kW.
Consumers can pay energy charges as follows:
<ul>
<li>First 50 units- ₹3.05 (~$0.035)/kWh for post-paid energy and ₹2.99 (~$0.034)/kWh for pre-paid energy</li>
<li>Next 50 units- ₹3.5 (~$0.04)/kWh for post-paid energy and ₹3.44 (~$0.039)/kWh for pre-paid energy</li>
<li>Next 150 units- ₹4.15 (~$0.048)/kWh for post-paid energy and ₹4.07 (~$0.047)/kWh for pre-paid energy</li>
<li>Above 250 units- ₹5.2 (~$0.06)/KWh for post-paid energy and ₹5.10 (~$0.059)/kWh for pre-paid energy</li>
</ul>
Below-poverty-line households will pay fixed charges of ₹5 (~$0.058)/month.
Energy charges will apply as follows:
<ul>
<li>First 50 units- ₹1.5 (~$0.017)/kWh for post-paid energy and ₹1.47 (~$0.017)/kWh for pre-paid energy.</li>
<li>For the remaining units- rates per RGP for post-paid and pre-paid energy consumption.</li>
</ul>
The concessional tariff is only for consuming 50 units monthly.
RGP (Rural)
The tariff RGP(Rural) consumers will cover a single-phase supply of up to 6 kW and a three-phase supply above 6 kW. The consumers must be in areas within gram panchayat limits.
Fixed charges will be ₹15 (~$0.17)/month for connected loads of up to 2 kW, ₹25 (~$0.29)/month for loads between 2 kW and 4 kW, ₹45 (~$0.52)/month for loads between ₹4 kW and 6 kW, and ₹70 (~$0.81)/month for loads above 6 kW.
Energy charges will be as follows:
<ul>
<li>First 50 units- ₹2.65 (~$0.03)/KWh for post-paid energy and ₹2.6 (~$0.03017)/kWh for pre-paid energy</li>
<li>Next 50 units- ₹3.1 (~$0.035)/kWh for post-paid energy and ₹3.04 (~$0.035)/kWh for pre-paid energy</li>
<li>Next 150 units- ₹3.75 (~$0.04)/kWh for post-paid energy and ₹3.68 (~$0.042)/kWh for pre-paid energy</li>
<li>Above 250 units- ₹4.9 (~$0.05)/kWh for post-paid energy and ₹4.8 (~$0.055)/kWh for pre-paid energy</li>
</ul>
Fixed charges for below-poverty-line households will be ₹5 (~$0.058)/month.
Energy charges will be as follows:
<ul>
<li>First 50 units- ₹1.5 (~$0.017)/kWh for post-paid energy and ₹1.47 (~$0.017)/kWh for pre-paid energy</li>
<li>For the remaining units, Rates are as per the RGP for post-paid energy and rates as per the RGP for a smart pre-paid meter for pre-paid energy.</li>
</ul>
Non-RGP
The tariff will apply to premises not covered by other tariff categories and up to a maximum aggregate load of 40 kW.
Consumers under this category can also opt to be charged per the LTMD category.
The fixed charges will be ₹50 (~$0.58)/kW for the first 10 kW of connected load and ₹85 (~$0.98)/kW for the next 30 kW of connected load.
Energy charges will be as follows:
<ul>
<li>Contracted monthly loads of up to 10 kW- ₹ 4.35 (~$0.05)/kWh for post-paid charging and ₹4.26 (~$0.049)/kWh for pre-paid charging</li>
<li>Contracted monthly loads of over 10 kW- ₹4.65 (~$0.053)/kWh for post-paid charge and ₹4.56 (~$0.052)/kWh for pre-paid charge</li>
</ul>
Consumers with a contact demand above 10 kW will also be charged ₹0.45 (~$0.005)/kWh for peak hours from 07:00 to 11:00 and 18:00 to 22:00.
Low Tension Maximum Demand 
The tariff is applicable for consumers with an aggregate load above 40 kW.
Non-RGP consumers can also be charged under this tariff category.
Demand charges will apply as follows:
<ul>
<li>For the first 40 kW- ₹90 (~$1.04)/kW/month</li>
<li>Next 20 kW &#8211; ₹130 (~$1.5)/kW/month</li>
<li>Above 60 kW &#8211; ₹195 (~$2.26)/kW/month</li>
<li>For billing demands above the contract demand, consumers must pay ₹265 (~$3.07)/kW</li>
</ul>
Energy charges applicable for a full month will be ₹4.6 (~$0.053)/kWh for a post-paid energy charge and ₹4.51 (~$0.052)/kWh for a pre-paid energy charge.
Additionally, time-of-use charges of ₹0.45 (~$0.005)/kWh will apply to energy consumption during peak hours between 07:00  to 11:00 and 18:00 to 22:00
Reactive energy charges for the month will be ₹0.1 (~$0.001)/kVARh.
LT Electric Vehicle Charging Stations
Fixed charges will be ₹25 (~$0.29)/installation/month.
Energy charges will be ₹4.1 (~$0.047)/kWh for post-paid energy charges and ₹4.02 (~$0.046)/kWh for pre-paid energy charges.
There will also be time-of-use charges amounting to ₹0.45 (~$0.005)/kWh.
Commercial and Industrial Consumers
<a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/04/GERC.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-78502 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/04/GERC.png" alt="" width="680" height="218" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/04/GERC.png 680w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/04/GERC-300x96.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/04/GERC-650x208.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/04/GERC-624x200.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/04/GERC-600x192.png 600w" sizes="(max-width: 680px) 100vw, 680px" /></a>
High-Tension Power (HTP)-1
The tariff will apply to HT consumers with a minimum contracted demand of 100 kVA for regular power supply and purposes not specified in any other HT categories.
Demand charges will be as follows:
<ul>
<li>For the first 500 kVA- ₹150 (~$1.74)/kVA/month</li>
<li>For the next 500 kVA &#8211; ₹260 (~$3.01)/kVA/month</li>
<li>For the billing demand above 1,000 kVA- ₹475 (~$5.51)/kVA/month</li>
</ul>
In case the billing demand exceeds contract demand, consumers will be charged ₹555 (~$6.4)/kVA/month.
Energy charges will be as follows:
<ul>
<li>For up to 500 kVA demand- ₹4 (~$4)/kWh</li>
<li>For demand between 500 kVA and 2,500 kVA- ₹4.2 (~$0.048)/kWh</li>
<li>For demand above 2,500 kVA- ₹4.30 (~$0.049)/kWh</li>
</ul>
The time-of-use charges will be as follows:
<ul>
<li>For demand up to 500 kVA- ₹0.45 (~$0.005)/kWh</li>
<li>For demand above 500 kVA- ₹0.85 (~$0.009)/kWh</li>
</ul>
The following provisions will apply to all high-tension tariffs:
The billing demand will be the highest maximum demand during a month, 85% of the contract demand, and a billing demand of 100 kVA.
Power factor adjustment charges of 1% will be levied on electricity bills for every 1% average power factor drop from 90% to 85%.
If the average power factor falls below 85%, for every 1% drop, 2% of the total electricity bill will be charged as power factor adjustment charges.
If the power factor is above 95%, the consumer can receive a rebate of 0.5% on their electricity bill for every 1% increase above 95%.
The contract demand will be the maximum power supply.
There will be a 1% rebate on the supply of power at high and extra high voltage for 11 kV/ 22 kV high voltage supply, a 1.5% rebate on 11 kV/ 22 kV extra high voltage supply, and a 2% rebate on 132 kV and above extra high voltage supply.
HTP-II
The tariff will apply for energy supplied to HT consumers contracting at least 100 kVA for power in waterworks and sewerage pumping stations run by local authorities, the Gujarat Water Supply and Sewerage Board, and Gujarat Industrial Development Corporation Water Works.
Demand charges will be as follows:
<ul>
<li>For demand of up to 500 kVA- ₹115 (~$1.33)/kVA/month</li>
<li>For the next 500 kVA- ₹225 (~$2.61)/kVA/month</li>
<li>For demand above 1,000 kVA &#8211; ₹290 (~$3.36)/kVA/month</li>
</ul>
Consumers must pay ₹360 (~$4.17)/kVA/month if the billing demand exceeds the contract demand.
Energy Charges will be as follows:
<ul>
<li>For demand of up to 500 kVA- ₹4.35 (~$0.05)/kWh</li>
<li>For demand between 500 kVA and 2,500 kVA- ₹4.55 (~$0.052)/kWh</li>
<li>For demand above 2,500 kVA- ₹4.65 (~$0.053)/kWh</li>
</ul>
Time-of-use charges of ₹0.45 (~$0.005)/kWh will apply for billing demand of up to 500 kVA for consumption during peak hours between 7:00 to 11:00 and 18:00 to 22:00.
Billing demand above 500 kVA for consumption during peak hours between 7:00 to 11:00 and 18:00 and 22:00 will attract time-of-use charges of ₹0.85 (~$0.0098)/kWh.
HTP-III
The tariff will apply for consumers temporarily taking at least 110 kVA of power.
Demand charges will be ₹18 (~$0.208)/kVA/day for up to the contract demand and ₹20 (~$0.23)/kVA/day for demand above the contract demand.
Energy charges will be ₹6.6 (~$0.076)/kWh for monthly consumption.
Consumers must also pay time-of-use charges of ₹0.85 (~$0.009)/kWh for peak hours between 7:00 and 11:00 and 18:00 to 22:00.
HTP-IV
The tariff will apply to consumers opting for an electricity supply of at least 100 kVA during night hours between 22:00 and 6:00.
Demand charges will be one-third of the HTP-I fixed charges.
Consumers must also pay energy charges of ₹2.25 (~$0.026)/kWh for monthly consumption.
HTP V
The tariff will apply to electricity supply to high-tension agriculture consumers contracting at least 100 kVA of power to lift water from sources such as canals, rivers, and dams for agricultural irrigation.
Demand charges will be ₹25 (~$0.29)/kVA/month.
Energy charges will be ₹0.8 (~$0.009)/kWh.
Railway Traction tariff
Demand charges will be ₹180 (~$2.08)/kVA/month for billing demand up to the contract demand.  The demand charges will be ₹425 (~$4.9)/kVA/month for demand above the contract demand.
For bunching of trains, consumers will be charged normal demand charges.
Energy charges will be ₹5 (~$0.058)/kWh for monthly consumption.
HT Electric vehicle charging stations
The tariff is applicable for electric vehicle charging stations.
Demand charges will be ₹25 (~$0.29)/kVA/month for billing demand up to the contract demand and ₹50 (~$0.58)/kVA/month for demand above the contract demand.
Energy charges will be ₹4 (~$0.046)/kWh for the entire month.
Consumers must pay time-of-use charges of ₹0.45 (~$0.005)/kWh for power consumption between 7:00 to 11:00 and 18:00 to 22:00.
In 2024, GERC <a href="https://www.mercomindia.com/gujarat-regulator-regulations-until-2030" target="_blank" rel="noopener">issued</a> the Multi-Year Tariff Regulations, 2024, which will be effective from April 1, 2025, to March 31, 2030.
Subscribe to Mercom’s real-time <a href="https://www.mercomindia.com/product/mercoms-renewable-energy-regulatory-updates" target="_blank" rel="noopener">Regulatory Updates</a> to ensure you don’t miss any critical updates from the renewable industry.

Gujarat Retains Last Year’s Electricity Tariffs for FY 2026

In the fourth tranche of the economic stimulus package, Finance Minister Nirmala Sitharaman announced several significant power sector reforms.
The latest announcement comes on the heels of the <a href="https://mercomindia.com/government-ailing-power-discoms-coronavirus/" target="_blank" rel="noopener noreferrer">announcement</a> made earlier by the Finance Ministry that said that power distribution companies (DISCOMs) would receive ₹900 billion (~$12.03 billion) to recover from the financial rut caused by the ongoing coronavirus crisis.
The center has now proposed to privatize DISCOMs in the union territories (UTs). DISCOMs in the union territories come under the administration of the central government while the respective state governments govern those in the states. The UTs include Andaman and Nicobar Islands, Chandigarh, Dadra and Nagar Haveli, and Daman and Diu, Delhi, Jammu and Kashmir, Lakshadweep, Ladakh, and Puducherry.
&#8220;It will lead to better services for consumers and improvement in operational and financial efficiency in distribution,&#8221; Sitharaman said.
Their financial incompetence has made attracting investments into the sector extremely challenging. Programs like UDAY that were announced to help the ailing DISCOMs also failed to fix the underlying problems.
Addressing the issue of DISCOMs recently, Raj Prabhu, CEO of Mercom Capital Group, had said, &#8220;DISCOMS are at the root of much that ails the Indian power sector. Unless privatization of DISCOMS is put on the table, chances of a turnaround in the energy sector are minimal.&#8221;
Mercom had earlier analyzed that, “due to the financial incompetence of DISCOMs, attracting investments into the sector has become incredibly challenging. Programs like Ujwal DISCOM Assurance Yojana (UDAY) have been introduced in the past and have failed to fix the underlying problems. Notably, in December 2019, Odisha <a href="https://mercomindia.com/tata-power-acquire-power-distribution-license-in-odisha/" target="_blank" rel="noopener noreferrer">privatized</a> all the five DISCOMs in the state and handed over the work to <a href="https://www.tatapower.com/" target="_blank" rel="noopener noreferrer">Tata Power Company</a>.
The finance minister also said that the government is working on new tariff policy. Among other issues, the policy would address limiting cross-subsidies, penalizing DISCOMs for unnecessary power cuts, and preventing them from passing their losses to the consumers. &#8220;DISCOMs will promote industry better by providing open access,&#8221; added Sitharaman.
Further, it is was also said that the developers for power generation and transmission projects would be selected through the process of competitive bidding. It will also provide for direct benefit transfer of subsidies and installation of smart prepaid meters. The minister also stressed timely payment to the power generation companies.
&#8220;Privatization of UT DISCOMs is a significant first step. The next step would be to lay out a plan to privatize DISCOMs throughout the country. This will give a significant boost to the entire power sector, remove inefficiencies, and bring in much-needed investments into the sector. DISCOMs cannot be bailed out in perpetuity; the country needs financially strong, resilient DISCOMs, especially in times like these. Privatization will eliminate issues such as payment delays, curtailment, power cuts, and lack of market-based electricity pricing and stimulate economic activity,&#8221; said Prabhu.
DISCOMs <a href="https://mercomindia.com/discom-dues-renewable-energy-generators/" target="_blank" rel="noopener noreferrer">owed</a> renewable energy generators ₹68.37 billion (~$914.5 million) in outstanding payments spread across 307 pending invoices at the end of March 2020, according to data from the Ministry of Power&#8217;s payment ratification and analysis portal (<a href="https://praapti.in/" target="_blank" rel="noopener noreferrer">PRAAPTI</a>). This included dues of ₹311 million (~$4.2 million) under dispute. Tata Power Company Limited (TPCL) and Adani Green Energy Limited (AGEL) were the two non-conventional power generators that were owed the highest amount at ₹17.42 billion (~$232.9 million) and ₹12.59 billion (₹168.4 million), respectively.
The Ministry of Power has also <a href="https://mercomindia.com/electricity-act-amendment-draft/" target="_blank" rel="noopener noreferrer">addressed</a> a lot of these reforms in the proposed amendment to the Electricity Act 2003.

DISCOMs in Union Territories to be Privatized, New Tariff Policy in the Making

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