UPERC Tariff Order Sets UPSLDC Charges For FY27, Reviews Financial Performance And True-Up Adjustments In Uttar Pradesh

The Uttar Pradesh Electricity Regulatory Commission (UPERC) has issued a detailed tariff order dated April 15, 2026, outlining key financial and operational aspects of the Uttar Pradesh State Load Despatch Centre (UPSLDC). The order covers the truing up of financials for FY 2024–25, a performance review for FY 2025–26, and the determination of Aggregate Revenue Requirement (ARR) along with Load Despatch Centre (LDC) charges for FY 2026–27.

For FY 2024–25, the Commission carried out a truing-up exercise by comparing actual audited expenses with earlier approved estimates. The actual Operation and Maintenance (O&M) expenses stood at Rs. 3,626.37 lakh, slightly higher than the approved Rs. 3,533.58 lakh. After conducting a prudence check and aligning the figures with normative benchmarks, UPERC approved a net ARR of Rs. 1,581.38 lakh for the year. This resulted in a marginal revenue gap of Rs. 14.20 lakh, indicating a largely balanced financial outcome for the period.

In its provisional review for FY 2025–26, the Commission estimated total O&M expenses at Rs. 4,315.20 lakh. During the same period, revenue from LDC charges is projected to reach Rs. 4,520.28 lakh. This increase in revenue has been attributed to growth in contracted capacity as well as the addition of new users to the grid system. The figure also includes recovery of past true-up gaps, contributing to the improved revenue outlook.

For the upcoming FY 2026–27, the Commission has established the methodology for determining LDC charges. The normative O&M expenses will be calculated by escalating base year values from FY 2024–25 using inflation indices such as the Consumer Price Index (CPI) and Wholesale Price Index (WPI). This approach ensures that cost adjustments remain aligned with prevailing economic conditions while maintaining regulatory consistency.

The order also mandates that UPSLDC publish the approved LDC charges in widely circulated English and Hindi newspapers within three working days. Additionally, the charges must be updated on the official website to ensure accessibility and transparency. These charges are expected to come into effect seven days after publication and will remain applicable until a new tariff order is issued.

UPSLDC plays a critical role as the state’s central power system operator, responsible for maintaining grid stability and efficient electricity dispatch. Through this tariff order, UPERC aims to ensure the financial sustainability of the load despatch centre while safeguarding the interests of stakeholders, including distribution companies and power generators.

Overall, the Commission’s structured approach—balancing audited costs with normative standards—reflects its focus on transparency, accountability, and efficient regulation of the state’s power sector.