Hyderabad, Feb 5: The Telangana govt has announced a major change in electricity connection charges for new domestic and commercial consumers. Starting February 5, 2026, the state will replace the earlier system of distance-based charges for poles and lines with a fixed slab-wise fee structure based on sanctioned load. This reform, introduced by the Telangana State Electricity Regulatory Commission, is aimed at simplifying the process, reducing costs, and making charges more transparent for households and businesses.
Under the new system, domestic consumers will pay a fixed fee of ₹500 for up to 1 kW load. For loads between 1 and 5 kW, the charge will be ₹500 plus ₹600 for each additional kilowatt. Higher loads will be charged according to incremental slabs, ensuring predictability in costs. For example, a household seeking a 3 kW connection will now pay ₹1,700, instead of variable charges that depended on the distance from the nearest line. Commercial consumers will also follow the slab-wise fixed charge system, with charges varying according to sanctioned load.
Officials say the change will particularly benefit small shops, offices, and service providers who previously faced high costs if located far from existing infrastructure. The new system is expected to encourage more households and businesses to seek legal electricity connections, reducing unauthorized tapping and aligning with efforts to modernize Telangana’s power distribution network. By eliminating distance-based levies, the state has made electricity access more affordable and predictable, marking a consumer-friendly shift in policy that supports both urban and semi-urban growth.
