UPERC Order Sets Transmission Tariff, Approves ₹4,700 Crore Green Energy Corridor Push In Uttar Pradesh

The Uttar Pradesh Electricity Regulatory Commission issued an important order on April 15, 2026, focusing on the financial and operational performance of Uttar Pradesh Power Transmission Corporation Limited. The order covers three key areas: the truing-up of accounts for the financial year 2024-25, a performance review for 2025-26, and the transmission tariff determination for 2026-27.

For the financial year 2024-25, the Commission carried out a “true-up” exercise. This process compares the company’s actual performance with earlier estimates. UPPTCL reported a system availability of 98.38%, which is slightly higher than the target of 98%. This shows that the transmission network remained stable and reliable during the year. However, transmission losses stood at 3.22%, which is a bit higher than the target of 3.18%.

One of the key decisions in the order relates to Return on Equity (RoE). The Commission approved an RoE of 2.00%, which is much lower than the standard rate of 14.50%. This decision was taken based on UPPTCL’s request. The aim is to reduce the financial burden on power distribution companies and, in turn, protect electricity consumers from higher tariffs.

The Commission also reviewed UPPTCL’s efforts to generate additional income through other business activities. A notable example is the leasing of surplus capacity from its Optical Ground Wire (OPGW) network. This infrastructure is used for communication purposes along transmission lines. The Commission has directed that 70% of the revenue earned from this activity, estimated at around ₹12.18 crore, should be used to reduce transmission charges for consumers. This step ensures that the benefits of additional income are shared with the public.

Looking ahead, the Commission has approved the Annual Revenue Requirement (ARR) for the financial year 2026-27. This includes planned investments in major infrastructure projects. One of the most important projects is the Green Energy Corridor Phase-II (GEC-II). This project has an estimated cost of more than ₹4,700 crore and aims to support the evacuation of around 4,000 MW of solar power. It will play a key role in strengthening the grid and supporting renewable energy growth in the state.

The order also sets transmission tariffs for various users, including distribution companies, Indian Railways, and open-access consumers. By doing so, the Commission provides clarity and financial stability for the transmission sector.

Overall, the order highlights the Commission’s balanced approach. It ensures that UPPTCL remains financially stable while also protecting consumer interests. Through strict checks on expenses and careful tariff setting, the Commission aims to support efficient power transmission and promote clean energy development in Uttar Pradesh.