March 28 brought good news for electricity consumers in Maharashtra, as the Maharashtra Electricity Regulatory Commission (MERC) made a historic move by reducing power tariffs for the general public. However, since that day, the developments in the power sector have been mostly disappointing.
As per media report in a local daily, MSEDCL managed to get a stay on the MERC order and quietly hiked the surcharge afterward. That’s why you’re now seeing inflated power bills.
Back in March, MERC had allowed a fuel adjustment charge (FAC) to be added to power bills, based on extra costs from December 2024. However, MSEDCL quietly extended this charge into April as well. Since the surcharge is quite steep, many consumers are now receiving unexpectedly high electricity bills in May.
The surcharge is being added over and above the basic tariff, which is already among the highest in the country. While MSEDCL has assured consumers that tariffs will be reduced in the coming years, there’s no clarity on whether that promise will be fulfilled.
Meanwhile, MSEDCL has filed a review petition with MERC, challenging the Commission’s tariff order issued on March 28, 2025.
MSEDCL’s quiet hike in rates is being justified as a move to prevent financial collapse, but whether it gets any relief from its review petition remains uncertain. The company is already in a fragile state, with consumer arrears mounting to nearly ₹80,000 crore. A major chunk of these dues comes from unpaid bills by farmers, as well as pending payments for water supply and streetlight schemes.
While MSEDCL has taken strict action against residential, commercial, and industrial consumers for non-payment, it has largely avoided cracking down on defaulters in the farming sector. Additionally, the company has struggled to curb power theft in several parts of the state, leading to losses worth hundreds of crores annually.
👉 Click here to read the latest Gujarat news on TheLiveAhmedabad.com