The Gujarat Government has reduced fuel surcharge on electricity by 15 paise per unit with effect from July 2025.
Kanubhai Desai, Energy and Petrochemicals minister, said on Tuesday that the decision has been taken to provide electricity to the citizens at a lower rate.
According to information, the decision will benefit 1.75 crore consumers of Gujarat by more than Rs 400 crore from July to September 2025.
The fuel surcharge from all categories of electricity consumers on electricity consumption made from July 1, this year, onwards will now be Rs. 2.30 per unit.
This rate will remain unchanged till the Electricity Regulatory Commission (GERC) makes any change.
Giving further details, the Energy Minister said that in line with the state government’s commitment to provide affordable electricity to consumers, significant reductions in Fuel and Power Purchase Price Adjustment (FPPPA) have been implemented in recent years, which shows the state government’s proactive approach to effectively manage power purchase costs and ease the burden on consumers.
The rate of fuel surcharge was reduced by 50 paise per unit from Rs 3.35 to Rs 2.85 with effect from January 2024. Further extending this relief, the rate of fuel surcharge was further reduced by 40 paise to Rs. 2.45 per unit. The rate of fuel surcharge was maintained at Rs. 2.45 per unit during the first quarter of the year 2025-26 i.e. from April to June-2025.
He added that keeping in view the reduction in technical and commercial losses through proper and efficient power purchase management, stable power purchase rates and strong financial management as well as significant infrastructure improvements and monitoring, the state government has decided to reduce the existing fuel surcharge rate by 15 paise per unit.
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