The recent hike in fixed charges and fuel cost adjustment charges (FAC) or Fuel and Power Purchase Cost adjustment Charges(FPPCA) in electricity bills has left consumers in shock since the last month and the same continues this month of July and the coming August as well. In our case, HESCOM in Belagavi has implemented these changes, resulting in a significant increase in bills.
The FAC for July is 1.91 per unit while it was 2.55 for May month and for August it will be 1.45 per unit, the same has been published in the Karnataka Electricity Regulatory Commission (KERC) order dated 30.06.2023.
It’s important to understand that the energy charge is the primary component of the bill, which includes the cost of fuel, generation and transmission, distribution charges, and the profit of the generators.
In Karnataka, the Karnataka Electricity Regulatory Commission (KERC) sets this charge. Power suppliers calculate the energy charge based on the various slabs at which consumers are charged.
So for August as well, there will be a FAC component of Rs. 1.45 per unit.
Consumers need to be aware of these charges and how they are calculated to better understand their electricity bills.