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Your power bills in Delhi will go up from April
The decision follows a Supreme Court ruling

Your power bills in Delhi will go up from April

Mar 23, 2026
10:07 am

What's the story

Delhi's electricity rates are likely to see a hike from April. The move comes as the Delhi government prepares to clear over ₹38,000 crore in pending dues owed to three power distribution companies (discoms). The decision follows a Supreme Court ruling and is part of an effort to address regulatory assets that have been piling up due to a decade-long freeze on tariff hikes.

Court ruling

SC orders recovery of regulatory assets

In August 2025, the Supreme Court ordered that regulatory assets, including carrying costs of ₹27,200 crore, be paid to Delhi's three private discoms (BRPL, BYPL and TPDDL) in seven years. Regulatory assets are costs expected to be recovered in the future. They have surged sharply due to no power tariff hike in the last decade under AAP rule.

Asset accumulation

Regulatory assets in Delhi

The Delhi Electricity Regulatory Commission (DERC) recently informed the Appellate Tribunal for Electricity (APTEL) that total regulatory assets in Delhi stand at ₹38,552 crore. This amount includes ₹19,174 crore for BRPL, ₹12,333 crore for BYPL, and Ra 7,046 crore for TPDDL. These amounts are approved expenditures incurred by discoms in supplying electricity. The original regulatory asset amounts have increased due to interest piling up from delayed recovery.

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Recovery strategy

Recovery likely through increased surcharge

The Supreme Court also directed DERC to prepare a recovery plan, account for carrying costs (interest), and conduct a detailed audit explaining the delay in cost recovery. The recovery is likely to be made through an increased regulatory asset surcharge in electricity bills over seven years. Delhi Power Minister Ashish Sood had hinted at this possibility when he said discoms were authorized to recover ₹27,000 crore accumulated as regulatory assets.

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