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Updated Sep 29, 2025 · 14:11
Andhra Pradesh News Updated Sep 29, 2025

Electricity consumers in Andhra Pradesh to get Rs 895 crore refund

Electricity consumers in Andhra Pradesh are getting a major financial relief with Rs 895 crore refund. The refund comes from savings in fuel and power purchase costs achieved this year. Starting November 2025, consumers will see automatic adjustments of about 13 paise per unit in their bills. This marks the first such refund since electricity sector reforms began in 1999.

Amaravati, Sep 29

The Andhra Pradesh Electricity Regulatory Commission (APERC) has ordered a refund of Rs 895 crore to electricity consumers in the state.

Power distribution companies will credit a refund of approximately 13 paise per unit to consumers in equal monthly instalments. It will be automatically adjusted in the bills, and there is no action required from the consumers.

Refunds for consumption months April 2024 to March 2025 will be credited from November 2025 to October 2026 in monthly cycles. The discount will apply to the power consumption bill for October, the government said on Monday.

The state government has claimed that the power sector, which has long been debt-ridden, has achieved a remarkable milestone this year by saving as much as Rs 895.12 crore during 2024-25.

Noting these landmark savings in the Fuel and Power Purchase Cost Adjustment (FPPCA), the Andhra Pradesh discoms would be refunding this money to all electricity consumers in the state starting in November this year.

The APERC noted that an expenditure of Rs 1,863.64 crore was incurred under FPPCA, against the budgeted Rs 2,758.76 crore or expected earlier for 2024-25. This has resulted in savings/reduction of Rs 895.12 crore.

Earlier, the APERC had levied an FPPCA charge of 40 paise per unit on consumers for 2024-25. Out of this, there has now been a return of Rs 895 crore, which the distribution utilities will be credited back to consumers.

The government called the refund of the bill a historic development. This is the first time since electricity sector reforms began in 1999 that power distribution utilities will refund FPPCA amounts to consumers in monthly instalments. This marks a milestone in pro-consumer governance and financial prudence in the power sector, it said.

As per the order of APERC, discom-wise refund amount is Rs 0.1328/kWh for Andhra Pradesh Southern Power Distribution Company Limited (APSPDCL), Rs 0.1343/kWh for Andhra Pradesh Central Power Distribution Company Limited and Rs 0.1312/kWh for Andhra Pradesh Eastern Power Distribution Company (APEPDCL).

— IANS

Reader Comments

Priya S

Good move but why such a long wait? November 2025 to October 2026 for refund of 2024-25 consumption? That's almost 2 years! The government should process this faster. Still, better late than never.

Sarah B

As someone who recently moved to Andhra Pradesh, I'm impressed by this consumer-friendly approach. Automatic adjustment in bills without any paperwork is very convenient. More states should follow this model!

Vikram M

Every rupee counts in today's economy! For a middle-class family using 300 units monthly, this means around ₹40 savings per month. Not huge but definitely welcome. Hope this transparency continues.

Ananya R

This is a positive step, but I wish they'd focus more on reducing power cuts and improving infrastructure. Savings are good, but reliable electricity is what we really need for our small business.

Michael C

The detailed breakdown showing different rates for different discoms (0.1328, 0.1343, 0.1312 per kWh) shows proper calculation. Good to see regulatory bodies working effectively for consumer benefit.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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