The Haryana Electricity Regulatory Commission has issued an order fixing the Additional Surcharge for certain electricity consumers in the state at ₹1.21 per kilowatt-hour. This applies to consumers of Uttar Haryana Bijli Vitran Nigam and Dakshin Haryana Bijli Vitran Nigam who use the Open Access mechanism to source electricity from suppliers other than these two distribution companies. The order, dated August 6, 2025, takes effect immediately and will remain in force until the Commission decides to revise it.

The decision came after a petition filed by the two distribution companies to determine the Additional Surcharge for the first half of the financial year 2025-26. They argued that as distribution licensees, they have a legal duty to ensure a 24/7 electricity supply, which requires entering into long-term power purchase agreements. However, when some consumers use Open Access to buy electricity from other sources, the power already secured by the Discoms is left unutilized. This unused power is known as stranded capacity. The companies still have to pay fixed costs for this stranded capacity, creating a financial burden.

An objection to the surcharge was raised by M/s IEX, which referred to the Electricity (Amendment) Rules, 2024. According to these rules, additional surcharge should not be charged to Open Access consumers up to the extent of their contract demand with the distribution licensees. In their reply, the Discoms said that their fixed cost commitments are very high and the revenue from fixed charges is insufficient to meet these obligations. They also explained that if the costs of stranded capacity are not recovered from Open Access consumers, they would have to be recovered from other consumers. This, they said, could lead to higher electricity tariffs for the rest of the consumer base.

The Commission, after reviewing the matter, agreed with the Discoms’ position. It referred to earlier orders and legal judgments, including those from the Supreme Court and the High Court of Karnataka, which confirmed that State Commissions have the authority to regulate open access and levy surcharges. The Commission examined the methodology and calculations presented by the Discoms and found them to be in order.

For calculating the surcharge, the Commission considered the amount of stranded power due to Open Access for the first half of the previous financial year. The total cost of this stranded power was calculated at 12.36 crore rupees. This amount was divided by the estimated number of Open Access units, resulting in the final rate of ₹1.21 per kilowatt-hour.

With this order, the Additional Surcharge will now apply to Open Access consumers of both UHBVN and DHBVN in Haryana. The Commission’s decision ensures that the financial impact of stranded capacity is shared by those who contribute to it, while protecting other consumers from a potential increase in tariffs. The order will continue until the Haryana Electricity Regulatory Commission decides to issue a revised rate in the future.