Chhattisgarh Raises Power Tariffs By 6.23%, Congress Alleges Burden On Consumers

The Chhattisgarh State Electricity Regulatory Commission (CSERC) has approved an average increase of 6.23 per cent in electricity tariffs across all consumer categories with effect from July 1, 2026 , triggering concerns over affordability and drawing sharp criticism from the opposition Congress.

The tariff revision is significantly lower than the 24 per cent hike sought by the state power distribution company for the 2026-27 financial year. According to the Commission, the increase was approved to meet the sector’s estimated revenue requirements while balancing consumer interests.

CSERC approved an average cost of supply of Rs 7.13 per unit , compared to the Rs 8.40 per unit proposed by the distribution company. The average billing rate for the current financial year has been estimated at Rs 6.71 per unit , leaving a gap of 42 paise per unit between the approved supply cost and the billing rate.

Under the revised structure, domestic consumers will pay 30-50 paise more per unit , affecting nearly 60 lakh consumers across the state. Tariffs for non-domestic consumers have increased by 20-40 paise per unit , while agricultural pump connections will see a rise of 40 paise per unit .

The tariff hike has raised concerns about the impact on household budgets and small businesses at a time when consumers are already grappling with higher living costs. While the state government maintains that welfare measures will cushion the impact, the opposition argues that the increase will add to the financial burden on ordinary consumers.

State Power Distribution Company Managing Director Bhim Singh Kanwar said beneficiaries of the M-URJA (Mukhyamantri Urja Rahat Jan Abhiyan) scheme would continue to receive relief. He noted that consumers using up to 400 units of electricity and availing the half-bill benefit on 200 units would face an average increase of only 15-20 paise per unit . He also said farmers would not be affected as the additional burden on agricultural pump connections would be covered through government subsidies.

The Commission has retained several concessions, including a 10 per cent rebate for registered women’s self-help groups engaged in industrial and commercial activities. Similar benefits will continue for hospitals, nursing homes and diagnostic centres operating in rural areas and in the Bastar and Surguja tribal development authority regions . A 25 per cent rebate for mobile towers in these tribal regions has also been retained.

To encourage cleaner transport, the tariff for electric vehicle charging stations has been fixed at Rs 7.13 per unit . The rebate on non-subsidised agricultural pump connections has been increased from 30 per cent to 40 per cent . Student hostels in Bastar and Surguja will now be billed under the domestic category instead of the commercial category, while eligible consumers with sanctioned loads above 10 kilowatts will receive an off-peak rebate of 20 paise per unit for electricity consumed between 9 am and 5 pm.

The decision has sparked a political controversy, with Congress alleging that the BJP government is burdening consumers instead of providing relief. State Congress communication department chairman Sushil Anand Shukla accused the government of “looting” consumers and claimed that electricity bills had increased sharply in recent months. He alleged that many consumers were receiving inflated bills, facing discrepancies between online and offline billing records, and being penalised based on smart meter readings.

Shukla further claimed that more than 45 lakh consumers received electricity bills in June that were nearly three times higher than usual. He also accused the government of failing to provide reliable round-the-clock power supply while simultaneously increasing tariffs.

Defending the revision, Kanwar said electricity rates in Chhattisgarh remain lower than those in neighbouring states and stressed that the Commission had preserved multiple relief measures for vulnerable consumer groups. The debate now centres on whether the hike is a necessary step to sustain the power sector or an additional burden on consumers already facing rising electricity costs.