Fuel surcharge implemented in UP: 10 percent extra will have to be paid on June electricity bill.

Lucknow, 31 May. Uttar Pradesh Power Corporation Limited (UPPCL) has issued a formal notification to impose 10 percent ‘Fuel and Power Purchase Adjustment Surcharge’ (FPPAS) on June electricity bills. This move will impact all categories of consumers across the state. This surcharge has been imposed to compensate for the additional expenditure incurred on purchasing power and transmission costs, as per the rules made by the Uttar Pradesh Electricity Regulatory Commission.

According to an order issued on May 29, this 10 percent increase for the month of March will be recovered through the electricity bills issued in June. This decision means that consumers will have to bear the additional burden on their monthly electricity bills under the ‘Fuel Surcharge Adjustment Mechanism’. ‘Fuel and Power Purchase Adjustment Surcharge’ is levied to compensate distribution companies for fluctuations in fuel prices and the increased cost of purchasing power from different sources.

This development has come to light at a time when many parts of Uttar Pradesh are facing widespread and prolonged power cuts due to the scorching heat. This scorching heat has raised the temperature to above 45 degrees Celsius in many districts. Due to rising temperatures, electricity consumption has increased significantly as homes, commercial establishments and industries are heavily dependent on cooling appliances and other electrical appliances to cope with this extreme weather.

As a result, there has been a sharp surge in power demand across the state and the demand is said to have increased by about 5,000 MW this time as compared to previous years. However, Uttar Pradesh has expanded its transmission infrastructure and increased its electricity transmission capacity in recent years. However, officials admit that this increase has not kept pace with rapidly increasing consumer demand.