Telangana Raises Open-Access Power Surcharge

The Telangana Electricity Regulatory Commission has raised the additional surcharge for applicable open-access electricity purchases to ₹0.82 per kilowatt-hour, according to Mercom India and SolarQuarter. The reported rate applies from 1 November 2026 to 31 March 2027. The commission’s previous order set the rate at ₹0.13 per kWh for April through September 2026.

Why the charge exists

Open access allows eligible buyers to purchase electricity from another supplier and use the grid to receive it. Local distribution companies can still face fixed costs on power they contracted to keep available for those customers. The additional surcharge is intended to recover eligible costs tied to that obligation.

SolarQuarter reported that the commission accounted for demand charges the utilities already collected when calculating the amount they could recover. It also reported that the commission did not permit recovery of the new surcharge for October because the utilities filed their petitions late.

Who could feel the increase?

For a business buying third-party renewable power, the higher rate can reduce savings on units that attract the surcharge. Telangana’s open-access regulation sets out exceptions, including for Green Energy Open Access consumers paying qualifying fixed or demand charges and for qualifying power wheeled from a consumer’s own captive plant. Whether a buyer falls within an exception depends on its arrangement.

Vantage previously examined another factor that can affect whether renewable power reaches buyers as planned -> Renewable Energy Land Delays Put Execution in Focus.

The northern distribution company lists the second-half order in its announcements. The signed text could not be inspected for this report, so the new rate and billing window are attributed to the trade reports below. Buyers can check how the charge is applied once they receive their first bill covering November.

Sources

Click an article title to view the source.

• Renewable Energy Land Delays Put Execution in Focus published on 3 November 2026 in Vantage Radar.
• 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.
• Announcements from TGNPDCL, accessed on 5 November 2026.

If your business buys power through open access, which detail would you check first on the November bill: the surcharge rate, the units it was applied to or the treatment of an exemption? Share your experience in the attached forum discussion.