Telangana Open Access: What Will Your Power Cost?

A factory, warehouse or office park can lock in a renewable power price and still pay more for each unit delivered. The supplier’s energy price is one part of the bill. Grid charges, losses and applicable surcharges can change what the buyer actually pays.

In Telangana, the reported additional surcharge rose from ₹0.13 to ₹0.82 per kWh for applicable purchases. That is a difference of ₹0.69 per chargeable unit. Before revising your budget or renewing a contract, establish which units attract the charge and who bears it.

Start with the units that attract the charge

Suppose a site has 1 lakh chargeable kWh in a month, the full rate applies in both comparisons and the buyer bears the charge. At ₹0.13 per kWh, the surcharge line would be ₹13,000. At ₹0.82 per kWh, it would be ₹82,000. The difference is ₹69,000 for the same volume, before considering changes elsewhere in the bill.

Start with the latest open-access statement and ask your distribution company to show the quantity it uses for billing. If the site buys power under a Green Energy Open Access arrangement and pays fixed or demand charges, ask whether the regulation’s exception applies. If the power comes from your own captive plant, confirm the treatment of the volume wheeled for captive use.

Compare delivered power costs before signing or renewing

1. Ask for an itemised cost per delivered kWh. Start with the supplier’s energy price. Add applicable charges for moving power through the grid, account for losses, and include banking, scheduling and surcharge costs where they apply.
2. Check who pays when a regulated charge changes. Read the pass-through or change-in-law clause in your power purchase agreement. Ask for written confirmation of which party absorbs or pays the difference and where it will appear on the invoice.
3. Use the same load and period for both options. Compare open access and utility supply for the same site, consumption pattern and billing period. Include any utility demand charges or backup power costs you would still pay. Run a separate scenario for the period after 31 March, when the reported rate window ends.

If you are signing for power from a project that is still under development, also check when it can start supplying your site. Vantage’s guide covers the evidence behind project timelines -> Renewable Energy Land Risk: What Investors Should Check.

FAQ

Does ₹0.82 per kWh apply to all the electricity my site uses?

The reported charge concerns applicable open-access purchases. Confirm the billable volume and any exemption for your connection before using it in a site-wide estimate.

Does this order raise my ordinary household electricity tariff?

The reported order concerns open-access purchases. Ordinary household tariffs are set through separate retail tariff orders.

Does buying renewable electricity automatically settle whether the charge applies?

Your procurement category and billing arrangement matter. The state regulation includes an exception for Green Energy Open Access consumers paying qualifying fixed or demand charges. Ask the utility to confirm how it applies to your connection.

Does a fixed supplier price protect me from the higher surcharge?

That depends on the contract. A fixed energy price can coexist with a clause that passes regulated charges through to the buyer.

Should I use ₹0.82 per kWh for my full-year budget?

The reported rate applies from 1 November 2026 to 31 March 2027. Use a separate assumption for later months and update it when the applicable order is available.

Sources

Click an article title to view the source.

• Renewable Energy Land Risk: What Investors Should Check published on 3 November 2026 in Vantage InSights.
• Higher Surcharge Could Erode Savings for Telangana’s Open Access Consumers published on 5 November 2026 in Mercom India.
• Telangana Approves INR 0.82/kWh Additional Surcharge On Open Access Consumers For November 2026–March 2027 published on 3 November 2026 in SolarQuarter.
• Additional surcharge order for H1 of FY 2026–27 signed on 10 March 2026 by TGERC.
• Terms and Conditions of Open Access, Regulation 2024 notified on 18 March 2024 by TGERC.

Evidence Caveats

The signed second-half order was not available for direct review. The new rate and dates come from trade reporting. The ₹69,000 example isolates the surcharge and assumes an identical chargeable volume and full buyer liability. Actual bills depend on eligibility, billing quantities, contract terms and other charges.

If you were renewing a renewable power contract today, which cost or contract term would you want confirmed in writing first? Share your reasoning in the attached forum discussion without posting confidential bills or contract details.

Disclaimer

This article provides general editorial information. Confirm applicable charges and exemptions with your distribution company and seek qualified advice for contract-specific decisions.