TIRUPATI: Andhra Pradesh consumers will not face any hike in electricity tariffs for the financial year 2026-27. All three state power distribution companies—APSPDCL, APEPDCL, and APCPDCL—have submitted their Aggregate Revenue Requirement (ARR) and tariff proposals to the AP Electricity Regulatory Commission (APERC) without suggesting any increase in rates.
The tariff hearing was chaired by APERC Chairman PVR Reddy, where the CMDs of the three utilities—SivaSankar Lotheti (APSPDCL), Pruthvi Tej Immadi (APEPDCL, virtually), and P Pullareddy (APCPDCL)—made detailed presentations.
Each company reiterated that projected revenue gaps would be managed through regulatory adjustments and approved mechanisms, ensuring no additional burden on consumers. APSPDCL projected an ARR of Rs 23,777.87 crore for FY 2026-27, stating that the requirement would be fully met through existing tariff revenue, fuel and power purchase cost adjustments, and other components, leaving no revenue gap.
APEPDCL estimated its ARR at Rs 21,730.59 crore. Power purchase costs alone account for nearly 60 per cent of its expenditure at Rs 14,266.28 crore, followed by transmission charges of Rs 1,458.68 crore and employee costs of Rs 657.95 crore. With total revenue pegged at Rs 17,118.27 crore, the utility projected a gap of Rs 4,452.73 crore, which it said would be bridged through regulatory mechanisms, resulting in no surplus or deficit.
APCPDCL pegged its ARR at Rs 14,446.93 crore, with expected revenue of Rs 10,344.51 crore from tariffs, Rs 613.27 crore from tariff-related income, and Rs 23.80 crore from non-tariff income.
The utility reported a net gap of Rs 3,465.35 crore, which, after prior period adjustments of Rs 275.75 crore, stood at Rs 3,741.10 crore. Representatives of CPM, CPI, and other Left parties, along with farmer unions and political groups, participated in the hearing and raised objections.
They alleged indirect charges in the tariff structure, opposed the Electricity Reforms Bill, and objected to the proposed introduction of Adani meters. They also demanded the immediate provision of electricity meters to the huts of poor families across the State.
Before the hearing, Left party leaders staged a protest at the APSPDCL corporate office, demanding strict action in the alleged transformer procurement scam involving a former CMD of SPDCL. They criticised the government’s silence on the issue and its failure to take action. On the occasion, APERC Chairman PVR Reddy released the Compendium of Electricity Commission Rules and Regulations – 2025.