Electricity bills to increase by 10% in UP from June, govt cites surcharge on fuel price

Electricity bills in Uttar Pradesh may increase by 10% in the month of June due to a surcharge on increased fuel prices, a UP Power Corporation Limited release read.

The revised bills will be issued in the June billing cycle, with consumers required to pay an extra 10% on their electricity usage. The hike is in accordance with the Government of India's instructions and information from the Regulatory Commission, the statement said.

They said the surcharge is being levied to compensate for increased fuel and power procurement costs incurred by electricity distribution companies. The fuel adjustment charge mechanism allows power utilities to recover fluctuations in fuel expenses and power purchase costs from consumers.

Here's what the official notice said:

“As per the regulation, any extra power purchase and transmission costs incurred in a given month are recovered after a delay of three months. This means the additional cost incurred in March 2026 will be recovered from consumers in June 2026,” Pankaj Saxena, the Chief Engineer of the Regulatory Affairs Unit (RAU), said in the letter.

“For March 2026, the surcharge has been calculated at 10% under Clause 16(4) of the MYT Regulations, 2025. This 10% FPPAS will therefore be added to electricity bills issued in June 2026 and will apply across all categories of consumers,” he said.

As per the regulation, Fuel and Power Purchase Adjustment Surcharge (FPPAS) has to be charged in the nth month for incremental Power Purchase and Transmission Charges paid in the n-3rd month."

It further stated, "Fuel and Power Purchase Adjustment Surcharge (FPPAS) calculated for the month of March, 2026, as per regulation is to be charged in the month of June, 2026."

“According to clause 16(4) of MYT Regulation, 2025 FPPAS chargeable is 10% for the month of March, 2026, to be charged in the month of June, 2026,” Saxena said, adding that the directive instructs distribution companies to implement the surcharge uniformly across all consumers, in accordance with the regulatory framework. “A detailed calculation sheet has also been provided for reference and is to be uploaded on the official website for transparency.”

The decision to revise electricity tariffs arrives amidst widespread reports of power cuts and supply shortages across Uttar Pradesh. These outages, occurring during the peak summer season of high demand, are expected to fuel backlash from both consumers and opposition parties.

Under the new structure, households and commercial establishments will face higher monthly electricity bills, with the specific impact determined by individual consumption levels and tariff categories.

Consumer groups have criticised the timing of the hike, arguing that it places an unsustainable burden on households already struggling with the rising cost of living. Many have further questioned the justification for the increased charges, given the frequency of supply disruptions across several districts.

As the revised billing cycle commences in June, consumers across the state will begin to feel the financial impact of these changes in the coming weeks.

How did politicians react?

“... Under Yogi Ji’s leadership, no taxes or bills have been increased in Uttar Pradesh over the last nine years,” said Uttar Pradesh Minister Narendra Kashyap defended the hike. “But everyone knows about war crisis in West Asia. In such conditions, if the government has to raise electricity bills, I believe the people should take it positively.”

However, Samajwadi Party MP Awadhesh Prasad claimed that the newly installed meters would increase electricity bills by 100%.

“... The smart meter installed by the government will further increase the bill, not just by 10% but up to 100%. These smart meters must be removed before it ruins everything,” he said.