The Tripura Electricity Regulatory Commission (TERC) has rejected allegations that it arbitrarily increased electricity tariffs in the state. In a press release issued on August 10, 2026, the Commission said all tariff decisions are taken according to the Electricity Act, 2003, the National Tariff Policy, applicable regulations, and judgments of the Supreme Court and the Appellate Tribunal for Electricity.

TERC clarified that it is an independent, two-member quasi-judicial body and that tariff decisions are made collectively by the Commission, rather than by any individual official.

The issue followed a petition filed by Tripura State Electricity Corporation Limited (TSECL) seeking approval to recover ₹1,709.04 crore towards past revenue gaps. TERC said that if TSECL’s original proposal for fixed charges and a separate regulatory surcharge had been accepted, consumers could have faced an average tariff increase of around 147%.

Instead, TERC conducted a public consultation process. Details of the petition were published on official websites and in local newspapers to invite comments from consumers and other stakeholders. The proposal was also examined by the State Advisory Committee, which includes representatives from industry, agriculture, labour, consumer groups, NGOs and other sectors. A formal public hearing was subsequently conducted.

After examining audited financial accounts and stakeholder feedback, TERC approved a revenue gap of ₹479.24 crore, substantially lower than TSECL’s original claim. The Commission noted that recovering the entire amount during a single year would have resulted in a 42.82% tariff increase. To avoid such a sharp impact on consumers, TERC limited the recovery for FY 2026-27 to ₹117.77 crore.

The Commission said the decision was aimed at preventing a tariff shock while keeping energy and fixed charges aligned with regional and national levels. It also referred to a Supreme Court direction requiring regulatory assets to be liquidated within three years.

TERC has also issued several directions to TSECL to improve consumer services. TSECL has been instructed to maintain reliable electricity supply and follow prescribed performance standards. Smart meters should be installed only with consumer consent, while consumers must be informed about their benefits. Billing disputes related to smart meters are to be addressed on priority, and installment facilities should be provided for recovery of arrears.

For grievance redressal, TSECL has been directed to strengthen its three-tier consumer grievance mechanism. Officials at Electrical Circles, Divisions and Sub-Divisions must hold public meetings for two hours twice a week. TSECL has also been asked to conduct periodic “Nigam Apnar Dwaray” programmes to directly engage with consumers.

TERC reiterated that its tariff process will remain transparent and lawful, with consumer welfare, affordable electricity and reliable power supply as key priorities.