The Southern Power Distribution Company of Telangana Limited (SPDCL) has stated that it has not proposed any increase in electricity tariffs for the financial year 2026–27, even as the state’s power demand and consumer base continue to grow significantly.
According to the utility’s revenue requirement estimates for 2026–27, the total revenue requirement is projected at ₹50,242 crore. Out of this, about ₹38,492 crore will be paid to power generation companies for purchasing electricity.
With the existing tariff structure expected to generate ₹40,659 crore, the utility estimates a revenue gap of ₹9,583 crore. SPDCL officials said they are hoping to bridge this gap through support from the state government rather than passing the burden on to consumers.
Rising Consumer Base and Demand
The number of consumers under SPDCL has reached 1,20,95,963, reflecting a steady expansion of electricity access across the region. Compared to the previous financial year (2024–25), around 12,09,563 new consumers were added.
Electricity demand has also risen sharply. The connected load has reached a record 35,175 MVA, indicating growing consumption across sectors.
During the current financial year, 39,556 million units of electricity were consumed up to December.
Sector-wise consumption shows:
– Industrial sector: 31%
– Domestic sector: 23%
– Agriculture: 21%
– Commercial: 16%
– Other categories: 9%
Record Power Demand
The state recently recorded a peak power demand of 18,139 MW on March 3. Within the SPDCL jurisdiction, 11,129 MW consumption was recorded on March 6.
In the GHMC limits, the peak demand reached 4,421 MW on March 3.
Looking ahead, SPDCL estimates that power demand may rise to 20,975 MW in the next financial year. The utility said it is prepared to meet the growing demand while ensuring continuous and quality power supply.
Improved Operational Efficiency
SPDCL reported improvements in operational efficiency over the years.
Supply and distribution losses have reduced from 8.30% to 8.04%.
In 2020–21, these losses were 9.60%, showing steady improvement in performance.
The power purchase cost per unit has also declined from ₹6.35 in 2022–23 to ₹5.54 currently.
Meanwhile, specific revenue per unit increased from ₹6.11 in 2024–25 to ₹6.26, reflecting improved revenue realization.
Transformer failures have also come down:
PTR failures: Reduced from 1.82% to 1.49%.
DTR failures: Reduced from 9.12% to 8.03% in 2025–26.
Impact of Gruha Jyothi Scheme
SPDCL said the Gruha Jyothi scheme is benefiting nearly 30% of domestic consumers in its jurisdiction.
Up to February this year, zero electricity bills were issued to about 5.44 crore beneficiaries under the scheme. The state government has provided ₹1,930.66 crore as subsidy to support the programme.
Officials also noted that the scheme has helped reduce electricity theft, as more consumers are now formally connected to the power network.
Future Power Requirement
For the financial year 2026–27, SPDCL estimates the state will require 71,916 million units of electricity.
Summarising the proposal, SPDCL clarified that no tariff hike or Time-of-Day tariff increase has been proposed for the upcoming financial year, despite the rising demand and growing consumer base.
