Gujarat households are facing higher electricity bills from October after a revised billing formula increased charges for consumers supplied by the state’s power companies, with typical two-month bills rising by about Rs 250 to Rs 300, according to a report by Gujarat Samachar.
The increase affects approximately 1.25 crore electricity connection holders across South Gujarat, Central Gujarat, West Gujarat and North Gujarat. The report said bills issued in October showed an increase of roughly 5% to 6% for ordinary domestic consumers. Higher-consumption households could see increases of Rs 300 to Rs 600 because a change in their usage slab can raise the per-unit charge.
The reported increase includes the impact of a revised formula announced in September 2026 but applied retrospectively from July 2026. As a result, charges relating to July and August were reflected in the two-month bills issued in October, making the increase appear larger for many consumers.
Under the earlier system, bills included fixed charges, meter charges and the Fuel Price and Power Purchase Adjustment, or FPPPA, component. The FPPPA component accounts for fuel and power-purchase costs associated with electricity generation, including the cost of coal and gas, according to the report.
The revised formula added two new components and increased the FPPPA charge. The per-unit FPPPA charge rose from Rs 2.30 to Rs 2.45, an increase of 15 paise per unit. For a consumer using 200 units, that change adds Rs 30 to one billing period. The report said a further Rs 30 relating to July and August was also reflected in the October bill, taking the reported FPPPA-related increase to Rs 60 for that example.
The bills also include higher meter and fixed charges. Gujarat Samachar reported that meter charges added about Rs 50 for each of the two billing periods, or approximately Rs 100 in total when the earlier period was included. It further reported that an additional amount of about Rs 50 to Rs 52 was added through a 4% calculation applied to charges of approximately Rs 1,245, comprising fixed and unit-based components including the revised FPPPA amount.
According to the report’s calculation, the combined effect of the revised FPPPA, meter charges, fixed charges and the retrospective application of the formula has resulted in an estimated increase of Rs 150 to Rs 200 for some ordinary consumers, while the headline increase for many two-month bills has been reported at Rs 250 to Rs 300. Consumers with higher electricity use may face a larger increase because of slab changes.
The report did not include a separate statement from the state electricity distribution companies or a consumer-facing notification explaining the revised formula. The immediate billing issue therefore turns on how the new components and the July-August arrears have been applied to individual connections. The revised billing formula and its effect on subsequent billing cycles remain the next points for consumers to monitor.
