Electricity Price Hike: Mahavitaran Delivers a Shock Ahead of Diwali
Electricity Price Hike: Mahavitaran Delivers a Shock Ahead of Diwali
Fuel adjustment charges to raise October electricity bills by up to 95 paise per unit, burdening domestic, commercial, and industrial consumers.
Just ahead of Diwali, Maharashtra State Electricity Distribution Company Limited (Mahavitaran) has announced a hike in electricity charges, adding to the financial strain on consumers already preparing for festive expenses. The increase, attributed to the imposition of Fuel Adjustment Charges (FAC), will raise electricity bills for September consumption by 35 paise to 95 paise per unit, depending on usage.
According to Mahavitaran’s circular issued on October 1, 2025, the FAC will apply to electricity consumed in September, impacting all categories—domestic, commercial, and industrial. The additional charge comes despite Mahavitaran’s earlier claim that electricity tariffs were reduced from July 1.
Under the new slab rates, consumers will pay as follows:
- 1–100 units: ₹0.35 extra per unit
- 101–300 units: ₹0.65 extra per unit
- 301–500 units: ₹0.85 extra per unit
- Above 500 units: ₹0.95 extra per unit
Officials explained that the hike was necessary due to a surge in electricity demand and the need to procure power from the open market at higher rates. Additionally, using units with higher production costs has driven up expenses, prompting the recovery through FAC.
The fuel adjustment charge will remain in effect until further notice, Mahavitaran said, though it added that power tariffs are expected to decline in the coming years.
This revision means that the October bills—issued just before Diwali—will reflect the increased rates, bringing an unexpected burden to households, businesses, and industries. Consumers are advised to plan their energy usage carefully during the festive season to manage costs amid this hike.
