Patna: Urban electricity consumers in Bihar may soon experience a reduction in their bills, as the state’s power distribution company has proposed a major revision of the current tariff system. The South Bihar Power Distribution Company (SBPDCL) has put forward a proposal to the Bihar Electricity Regulatory Commission (BERC) to replace the existing two-tier tariff with a uniform rate for both domestic and commercial users. If approved, this change would impact approximately 5 million consumers, evenly divided between urban domestic and commercial sectors, allowing households to save up to Rs 1.40 per unit on electricity.
A senior official from the energy department noted that the current system employs two different slabs for urban domestic users: one for up to 100 units and another for up to 125 units, with any consumption exceeding 125 units charged at Rs 5.52 per unit. This tiered structure leads to inconsistent deductions from smart prepaid meters, complicating consumers’ ability to monitor their actual per-unit costs. The new proposal aims to establish a single uniform tariff of Rs 4.12 per unit, applicable even for usage beyond 125 units. Additionally, a uniform rate of approximately Rs 5.67 per unit has been suggested for commercial users, which officials believe could provide significant relief to small businesses, traders, and micro-entrepreneurs.
The proposed tariff is set to take effect from April 1, 2026, to March 31, 2027. Prior to reaching a decision, BERC plans to hold divisional-level public hearings, gathering feedback from consumers, experts, and civil society organizations. The commission will release its final ruling following these hearings. Officials maintain that the existing system complicates billing for those with smart prepaid meters, as deductions change frequently. A uniform tariff is expected to make billing more straightforward, enhance transparency, and reduce complaints concerning unclear charges. If implemented, the new rates could result in monthly savings of between Rs 100 and Rs 300 for urban households, with small businesses also likely to benefit from reduced and more consistent electricity costs.
The power company anticipates that these adjustments will alleviate financial strain on consumers and streamline the billing process, effectively eliminating disputes related to fluctuating deductions.