HERC asks power distribution companies to reduce loss of electricity during distribution

The Haryana Electricity Regulatory Commission (HERC) on Thursday directed the state power distribution companies to reduce the aggregate technical and commercial (AT&C) losses. Technical loss of electricity refers to the total energy lost due to infrastructure issues like transformer or line disturbances, while losses on account of meter damage, theft or bill collection inefficiency come under commercial loss.

The regulator also directed the discoms to ensure an uninterrupted 24-hour electricity supply in villages.

HERC was hearing the Annual Revenue Requirement (ARR) petitions for the upcoming financial year.

A four-hour public hearing on the ARR petitions filed by the two discoms -- Uttar Haryana Bijli Vitran Nigam (UHBVN) and Dakshin Haryana Bijli Vitran Nigam (DHBVN) -- was held at Panchkula in connection with the proposed new electricity tariffs, a statement said.

A large number of electricity consumers and stakeholders from across categories participated in the hearing.

The hearing was chaired by HERC Chairman Nand Lal Sharma, along with Members Mukesh Garg and Shiv Kumar.

UHBVN Managing Director Mani Ram Sharma and DHBVN Managing Director Vikram Singh were also present, along with senior officials of the power utilities and the Commission.

During the hearing, the discoms informed the Commission that a 24-hour power supply is currently being provided in 3,393 villages under UHBVN and 2,517 villages under DHBVN. Taking note of this, the HERC Chairman directed that round-the-clock electricity supply must be ensured immediately in the remaining villages as well.

The power distribution companies submitted details of their ARR for the financial year 2026-27, stating that a total revenue requirement of Rs 51,156.71 crore has been projected for the new financial year.

It was further informed that a surplus of Rs 1,605.16 crore is expected in the current year, taking the total projected revenue to Rs 52,761.87 crore.

However, after adjusting the revenue deficit of FY 2024-25, an overall revenue gap of Rs 4,484.71 crore would still remain.

Expressing concern over system inefficiencies, the Commission categorically directed that AT&C losses must not be allowed to increase under any circumstances.

It also advised the utilities to raise loans at lower interest rates to reduce financial burden and save costs.

The Commission further directed the discoms to minimise the gap between the Average Cost of Supply (ACS) and the Average Revenue Realisation (ARR). Details regarding loans raised so far were also sought from DHBVN.

UHBVN informed the Commission that its current distribution losses stand at 9.33 per cent, while DHBVN reported distribution losses of 10.26 per cent.

Highlighting the national push towards renewable energy, the Commission emphasised the need for Haryana to contribute significantly to green energy generation.

In response, UHBVN's Chief Engineer informed that nearly 40 per cent of the state's total installed power capacity is presently sourced from green energy.

The Commission also sought information regarding power allocation from the Bhakra Beas Management Board (BBMB).

It was informed that Haryana is currently receiving 846.14 MW of power from BBMB at a cost of approximately 84 paise per unit.

As of November 30, 2025, the state's total installed power capacity stood at 17,003.91 MW, while the total number of electricity consumers in Haryana was reported to be 83,40,034.

HERC Chairman Sharma assured consumers that the Commission would soon conduct public hearings across different regions of the state to record consumer statements.

Accordingly, public hearings are scheduled to be held at Gurugram on February 10, Panipat on February 24, Hisar on February 25, and Yamunanagar on March 2. HVA

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)