A fuel surcharge in electricity bill is an amount added to electricity bills' base rates to offset rising fuel costs for power generation. The price of coal, natural gas, or fuel required by power plants, would affect the fuel surcharge. Instead of having a negative financial impact on the utility firm, this surcharge will allow utilities to pass on the fluctuation in fuel prices to their customers.
What is the Fuel Surcharge Adjustment in an Electricity Bill?
A fuel surcharge adjustment is a periodic modification made to an electrical bill to reflect fluctuations in fuel prices. In order to keep the fee proportionate to current fuel prices, utilities periodically review fuel pricing.
These adjustments are sometimes passed on to customers as distinct line items on their power bills, where the charge for fuel expenses can be found against the total cost of electricity used.
According to the Union Ministry of Power, the State Electricity Regulatory Commission modified Rule 87 of the Tariff Regulation in accordance with the KSERC Terms and Conditions of Tariff Amendment Regulations.
According to the law;
Starting from April 2023, users would be charged a fuel surcharge each month for any changes in electricity rates brought on by changes in fuel prices.
In accordance with this, the June and July bills were subject to a surcharge of 10 paise per unit for April 2023 and 9 paise per unit for May 2023.
Furthermore, the July 2023 bill had a total surcharge of 18 paise/unit, which included 9 paise for May 2023 and an additional 9 paise for the period from April to December 2022.
I hope this helps!
Pay Your Electricity Bills Quickly & Earn Rewards Via NoBroker Now!
Your Feedback Matters! How was this Answer?
Shifting, House?
✔
Lowest Price Quote✔
Safe Relocation✔
Professional Labour✔
Timely Pickup & Delivery
Intercity Shifting-Upto 25% Off
Check Prices
Intracity Shifting-Upto 25% Off
Check Prices
City Tempo-Upto 50% Off
Book Now
What is Fuel Surcharge in Electricity Bill?
Pallavi89
145 Views
1
3 months
2025-08-28T12:27:24+00:00 2025-08-28T12:27:26+00:00Comment
Share