The Tamil Nadu Electricity Regulatory Commission (TNERC) has increased the retail supply tariff for commercial and industrial consumers by approximately 3.16%.

The tariff revision will take effect from July 1, 2025.

The tariff increase is part of the multi-year tariff framework introduced in 2022, which allows for inflation-indexed annual revisions capped at 6%.

The tariff for industrial category consumers has been increased by 3.4% to ₹7.5 (~$0.087)/kWh in FY 2026 from ₹7.25 (~$0.084)/kWh. Demand charges have increased to ₹608 (~$7.09)/kVA/month from ₹589 (~$6.8)/kVA/month.

The commercial category consumers also witnessed a 3.3% growth in the FY 2026 tariff to ₹9.4 (~$0.109)/kWh from ₹9.1 (~$0.106)/kWh in FY 2025. Demand charges have increased to ₹608 (~$7.09)/)/kVA/month from ₹589 (~$6.8)/kVA/month.

The tariff for domestic consumers was hiked within the range of ₹4.95 (~$0.057)/kWh and ₹12.15 (~$0.141)/kWh. However, the government will absorb the hike. This effectively means that domestic consumers will continue to pay the existing tariff. The state government will compensate the Tamil Nadu Power Distribution Corporation for the revenue loss by providing an additional subsidy.

However, the following  consumer categories are also exempted from the tariff increase for one year:

• Cottage and tiny industries, power loom industries
• Industries up to 50 kW
• Miscellaneous/general purpose consumers for consumption up to 500 units bimonthly

Wheeling charges have been set at ₹1.04 (~$0.012)/kWh for high-tension consumers and ₹1.6 (~$0.018)/kWh for low-tension consumers.

A cross-subsidy surcharge of ₹1.99 (~$0.023)/kWh has set for industrial consumers and ₹2.57 (~$0.03)/kWh for commercial consumers.

All HT consumers, except HT-IIA (Lift irrigation), HT-IV, and HT-V (EV Charging station), will be billed an additional 25% for FY 2023-2027 on energy charges recorded during peak hours.

There will also be a 5% rebate on energy charges consumed between 10 PM and 5 PM as an incentive for night consumption.

Consumers under HT Tariff I, II(A), II(B), III, and V who request a Green Energy Consumption certificate will be charged at 110% of the approved tariff for the respective category.

EV Charging Stations

Demand charges for high-tension electricity to support EV charging stations have been reduced by 50% to ₹145 (~$1.69)/kVA/month from ₹304 (~$3.54)/kVA/month.

The energy charges applicable for EV charging stations have been revised as follows:

• 6:00 to 9:00 and 18:00 to 22:00- ₹9.75 (~$0.113)/kWh 9:00 to16:00- ₹6.5 (~$0.075)/kWh 16:00 to 18:00 and 22:00 to 6:00- ₹8.1 (~$0.094)/kWh If EV charging stations under low-tension electricity connection avail power from 06:00 to 09:00 and 18:00 to 22:00, and up to 50 kW, the energy charges have increased to ₹9.75 (~$0.113)/kWh from ₹9.45 (~$0.110)/kWh The fixed charges have also risen to ₹55 (~$0.64)/kWh/month from ₹26 (~$0.3)/kW/month.

V charging stations under low tension electricity connection availing power from 09.00 to 16.00, and above 50-112 kW, will be billed at  ₹6.5 (~$0.07)/kWh. The fixed charges have been  increased to ₹165 (~$1.92)/kWh/month from ₹79 (~$0.92)/kW/month.

EV charging stations under low tension electricity connection availing power from 16:00 to 18:00 and 22.00 to 06.00, and above 112 kW, will be billed at ₹8.1 (~$0.09)/kWh. The fixed charges have gone up to ₹304 (~$3.54)/kWh/month from ₹145 (~$1.69)/kW/month.

In December 2024, the Tamil Nadu Electricity Regulatory Commission issued an order setting the additional surcharge for open access consumers at ₹0.54 (~$0.0063)/kWh, effective from December 12, 2024, until March 31, 2025.

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