Major Relief for Haryana Electricity Consumers: HERC Eases Surcharge Norms on Unauthorized Load, Simplifies Load Reduction and Restoration Rules*

Chandigarh, August 4: The Haryana Electricity Regulatory Commission (HERC) has provided major relief to electricity consumers in the State by amending two key regulations governing electricity supply. Under the revised provisions, no surcharge will be levied if the variation in Contract Demand remains within 110% of the approved Contract Demand. Earlier, consumers exceeding the approved Contract Demand by more than 5% were liable to pay a 25% surcharge on the total electricity charges. The amendments also simplify the procedure for reduction and subsequent restoration of sanctioned load for industrial, commercial and other consumers, making it more consumer-friendly.

Under the Haryana Electricity Regulatory Commission (Electricity Supply Code) Regulations, 2014 (Seventh Amendment) Regulations, 2026, the surcharge mechanism for excess Contract Demand has been rationalised. As per the revised provisions, no surcharge shall be applicable up to 110% of the approved Contract Demand. If the demand exceeds 110% but remains up to 115% of the approved Contract Demand, a 20% surcharge on the total electricity charges will be levied. Demand exceeding 115% of the approved Contract Demand will continue to attract a 25% surcharge, as before.

This amendment will particularly benefit industrial and commercial consumers whose electricity demand temporarily increases due to seasonal requirements, production-related activities or other operational reasons. The revised framework is expected to reduce the financial burden on such consumers while providing greater operational flexibility.

The Commission has also notified the Haryana Electricity Regulatory Commission (Duty to Supply Electricity on Request, Power to Recover Expenditure Incurred in Providing Supply and Power to Require Security) Regulations, 2016 (Fourth Amendment) Regulations, 2026, simplifying the rules governing reduction and restoration of sanctioned load. Consumers seeking reduction of load without any change in voltage level will now be required to pay only the prescribed processing fee, subject to a maximum of ₹20,000. In cases involving a change in voltage level (HT to LT), the service connection charges shall be payable only on the revised sanctioned load.

Under the amended provisions, a consumer who reduces the sanctioned load may restore the original sanctioned load within three years without paying fresh service connection charges, subject to specified conditions. A minimum lock-in period of six months will apply after load reduction or restoration, and only one reduction and one restoration will be permitted within the three-year period. Restoration will be allowed only after assessment of system capacity by the distribution licensee, while the cost of any required meter replacement shall be borne by the consumer. Consumers having outstanding electricity dues, pending disputes before any court or competent authority, or pending cases relating to electricity theft or unauthorized use shall not be eligible for this facility.

The amendments have come into force with their publication in the Official Gazette of the Government of Haryana. The Commission expects that these reforms will provide greater operational flexibility, reduce financial risks for industrial, commercial and other consumers, and promote a more balanced, transparent and consumer-friendly regulatory framework.