Fuel adjustment charge: Electricity bills in UP to rise 10% from June

Electricity consumers in Uttar Pradesh will face a nearly 10 per cent hike in their power bills from June after the Uttar Pradesh Power Corporation Limited (UPPCL) imposed an additional fuel surcharge under the fuel adjustment charge mechanism.The surcharge will be recovered in the upcoming billing cycle and will be reflected in electricity bills issued from June onwards, according to the order issued by the power utility on May 29. Consumers will have to pay the extra charge separately as a fuel surcharge over and above their regular electricity tariff.Officials 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.The decision comes at a time when several parts of Uttar Pradesh have been witnessing complaints of power cuts and supply shortages, particularly during the peak summer season when electricity demand remains high. The increase in electricity bills amid reports of power outages is likely to draw criticism from consumers and opposition parties.Under the revised billing structure, households, commercial establishments and other categories of consumers will see a rise in their monthly electricity expenditure. The exact impact will vary depending on the level of consumption and the applicable tariff category.Consumer groups have expressed concern over the additional burden, arguing that people are already grappling with rising living costs. Many consumers have also questioned the timing of the hike, citing frequent complaints regarding power supply disruptions in several districts.The Uttar Pradesh Power Corporation has defended the decision, stating that the surcharge is being imposed in accordance with regulatory provisions and is aimed at ensuring the financial sustainability of power distribution operations.