Gandhinagar: The Gujarat Electricity Regulatory Commission (GERC) has announced the new electricity tariff order for FY 2026-27, keeping the scheduled tariff rates unchanged for consumers of state-owned power distribution companies as well as Torrent Power in Ahmedabad, Gandhinagar, and Surat. The revised tariff will come into effect from April 1, 2026.

According to a press note issued by the Commission, the distribution licensees had filed petitions for truing-up of FY 2024-25, approval of the revised Aggregate Revenue Requirement (ARR), and determination of tariff for FY 2026-27 under the GERC Multi-Year Tariff Regulations, 2024.

After inviting public objections, holding hearings on February 24 and 25, 2026, and examining stakeholder submissions, the Commission approved the ARR and issued the tariff orders.

No change in tariff for discom and Torrent consumers

GERC said there will be no change in the scheduled tariff rates for consumers of state-owned discoms as well as Torrent Power Limited in Ahmedabad, Gandhinagar, and Surat.

Smart meter rebate increased

For consumers of state-owned discoms, the rebate on prepaid smart meters has been increased. Consumers opting for prepaid smart metering and billing will now get a 3% rebate on energy charges instead of the existing 2%.

More benefit under Time-of-Use discount

The Commission has expanded the Time-of-Use (ToU) discount scheme.

– The discount will now be available even for postpaid smart meter consumers, whereas earlier it was limited to prepaid billing.

– The duration of the ToU discount of 60 paise per unit has been increased from 4 hours (11 am to 3 pm) to 6 hours (11 am to 5 pm).

– The benefit has been extended to RGP, GLP, NRGP, LTMD, EV charging stations, HT consumers, and waterworks connections.

– The move aims to pass the benefit of cheaper daytime solar power to consumers.

The Commission also clarified that ToU charges will apply only where meters with proper recording facilities are installed.

The additional tariff for green power has been reduced from 90 paise per unit to 75 paise per unit for all consumers.

Changes for Torrent Power consumers

For consumers of Torrent Power in Ahmedabad, Gandhinagar, and Surat:

• Night concession has been replaced with a Solar Hours rebate, giving a 30-paise per unit discount between 11 am and 3 pm for certain HT categories.
• Time-of-Use charge timings have been revised to 6 am to 8 am and 5 pm to 11 pm for Ahmedabad, Gandhinagar, and Surat.
• Green power tariff has also been reduced to 75 paise per unit.

Distribution losses reduced in most discoms

GERC said the actual distribution losses in FY 2024-25 were lower than the targets in most discoms except DGVCL.
Utilities have been given new loss-reduction targets for FY 2026-27 to improve efficiency.

The Commission stated that the revised tariff orders will be applicable to electricity consumption from April 1, 2026.

Highlights

The Gujarat Electricity Regulatory Commission (GERC) has officially issued its Tariff Orders for the financial year 2026-27, set to take effect from April 1, 2026. In a significant move for consumers, the Commission has opted for no change in scheduled tariff rates for state-owned Discoms and Torrent Power Limited areas, while introducing several new incentives to promote smart metering and solar energy consumption.

Major Incentives for State-Owned Discom Consumers

The Commission has introduced several modifications to encourage the adoption of technology and the use of daytime solar power:

• Boost for Smart Meters: The rebate for consumers opting for pre-paid Smart-metering has been increased from the existing 2% to 3% on Energy Charges.
• Expanded Time of Use (ToU) Discounts:
  • New Eligibility: The benefit of the ToU Discount is now available to a wider range of consumers (RGP, GLP, NRGP, LTMD, and LT EV Charging Stations) using Smart Meters with Postpaid Billing, removing the previous requirement for Prepaid Billing.
  • Extended Hours: The 60-paise-per-unit discount period has been expanded from four hours (1100 to 1500 Hrs) to six hours daily (1100 to 1700 Hrs).
  • Universal Waterworks Access: The ToU discount is now applicable to all waterworks connections, removing the previous requirement of a connected load of 50 HP and above.
• LT Category Protections: GERC has stipulated that ToU Charges for categories like NRGP and LTMD shall only be levied if the consumer’s installation has a meter with ToD recording facilities, ensuring consumers receive discounts whenever charges are applied.

Changes for Torrent Power Consumers (Ahmedabad, Gandhinagar, and Surat)

Torrent Power consumers will see a shift in how concessions and charges are structured to better align with current power supply and demand dynamics:

• New Solar Hours Rebate: For high-tension categories (HTMD I, II, and Metro Traction), the traditional Nighttime concession is replaced by a Solar Hours rebate. This provides a 30-paisa-per-kWh rebate for electricity consumed between 1100 Hrs and 1500 Hrs.
• Revised ToU Charge Time Slots: To address peak demand, the time slots for ToU charges in Ahmedabad, Gandhinagar, and Surat have been modified to 0600-0800 Hrs and 1700-2300 Hrs.

Green Energy and Efficiency Gains

Across both state-owned and private Discoms, the Green Power Tariff has been reduced from Rs. 0.90 per kWh to Rs. 0.75 per kWh, making it more affordable for consumers to opt for renewable energy.

Finally, the Commission noted that actual distribution losses for FY 2024-25 were lower than targets for most utilities, with the exception of DGVCL. New, more stringent targets for distribution losses have been set for FY 2026-27 to continue driving efficiency across the state’s power grid.