Here’s a clear, step-by-step explanation of what is MD penalty in electricity bill BESCOM;
Meters record Maximum Demand as kW or kVA, which is the highest average power drawn within a brief, specified interval (usually a 15-minute averaging period) during the billing month.
When the recorded maximum demand surpasses your approved/contracted load (or contract demand), BESCOM levies an MD penalty. The excess is penalised if MD exceeds authorised demand.
Tariff documents stipulate that the amount of excess demand must be paid by the consumer, usually at higher or penal rates (BESCOM/KERC rules imply excess demand is invoiced at multiples of the normal rate; some orders state two times the normal rate for the excess). For the precise per-kVA/kW rate, check the tariff schedule that applies to your category.
With more high-power appliances used together (geyser, induction, ACs), short spikes can push MD above sanctioned load; many Bengaluru consumers were affected.
By understanding how Maximum Demand is measured and monitored, you can control when and how heavy appliances run, avoid unnecessary penalties, and plan your electricity needs better.
If your household demand has genuinely increased, upgrading your sanctioned load or adopting basic load-management practices will help you stay penalty-free and keep your monthly bills predictable. I hope this helps!
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I saw an MD penalty on my electricity bill last year. Upon discovering this, I called the BESCOM helpline to ask what is MD penalty in electricity bill BESCOM. The official told me that MD stands for Maximum Demand, which is the actual electricity consumption by a household. MD penalty is levied when the maximum demand recorded on an electricity bill exceeds the sanctioned load.
MD Penalty in BESCOM
I also read an article a few months ago stating that a large number of people were paying MD penalty. BESCOM had brought out this penalty to create awareness among users to apply for an increase in sanction load if they purchase new electronic devices, leading to extra need of power.
The MD penalty comes into play when a connection exceeds the voltage limit as I said above. I read that the main reason has been the increase in electronic devices. So, I applied for an increase in the sanction load to get away from paying the MD penalty in the future. You can do the same. This is all I am aware of. I hope you find this useful.
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What is MD Penalty in Electricity Bill BESCOM?
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2025-02-28T15:06:13+00:00 2025-02-28T15:06:13+00:00Comment
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