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Monday, September 29, 2025

Electricity consumers in Andhra Pradesh to get Rs 895 crore refund

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Good news for electricity users in Andhra Pradesh: The state’s regulatory body has approved a whopping Rs 895 crore refund to consumers, thanks to smart savings in power costs.

The Andhra Pradesh Electricity Regulatory Commission (APERC) made the announcement, and power distribution companies will now return about 13 paise per unit of electricity used. They’ll spread this out in equal monthly instalments, automatically adding it to your bills—no extra steps needed from you.

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These refunds cover power used from April 2024 to March 2025. Starting in November 2025, you’ll see credits through October 2026. As a bonus, the adjustment kicks in right away on your October bill, the government confirmed.

Why the refund? The state’s power sector, long plagued by debts, hit a big win this year. Officials say they saved Rs 895.12 crore in 2024-25 under the Fuel and Power Purchase Cost Adjustment (FPPCA) mechanism. Instead of spending the budgeted Rs 2,758.76 crore, actual costs came in at Rs 1,863.64 crore—freeing up that surplus for consumers.

Remember the 40 paise per unit FPPCA charge earlier this year? This refund rolls back part of it. Distribution utilities will pass the full Rs 895 crore back to households and businesses across Andhra Pradesh.

The government calls it a game-changer. For the first time since power sector reforms started in 1999, companies are refunding FPPCA amounts in monthly chunks. It’s a sign of consumer-friendly policies and better money management in the electricity world.

Breaking it down by company: Andhra Pradesh Southern Power Distribution Company Limited (APSPDCL) refunds Rs 0.1328 per kWh, Andhra Pradesh Central Power Distribution Company Limited offers Rs 0.1343 per kWh, and Andhra Pradesh Eastern Power Distribution Company (APEPDCL) gives Rs 0.1312 per kWh.

If you’re in Andhra Pradesh, keep an eye on your next bills—this could ease the load on your power expenses.


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