An electricity bill can look confusing, but most Indian bills use the same few building blocks. Once you can name them, you can check the sums and find out where your money is going.
Units are the starting point
A unit is one kilowatt-hour (kWh): a 1,000 watt appliance running for one hour uses one unit. Your bill shows the previous and current meter readings, and the difference is the units you used.
The main charges
Energy charge. The cost of the units you used. Most states use slabs, so the first units are charged at a lower rate and later ones at a higher rate. This means your last few units cost the most.
Fixed charge. A monthly amount based on your sanctioned load, payable however little power you use. Some states charge it per kilowatt of load.
Fuel adjustment charge. Often shown as FPPAS or FPPCA, this passes on changes in the utility's fuel and power purchase costs, and it can change from month to month.
Electricity duty. A tax set by the state, often a percentage of the energy charge.
Other lines. You may also see meter rent, arrears, late payment charges, or a subsidy deducted by the state.
Each state's Electricity Regulatory Commission approves the tariffs, so rates differ between states and between utilities. Check your own utility's current tariff order for exact numbers.
Why slabs matter
Slabs mean that cutting a small number of units can save more than you expect, because you remove your most expensive units first. In some states, crossing a slab limit can change how the whole bill is worked out, so it can be worth looking closely at bills that sit just above a limit.
Where to find real savings
- Air conditioners and water heaters are usually the largest loads. A higher AC temperature setting and a shorter geyser timer can make a clear difference.
- Old refrigerators and fans can use much more than newer efficient models. BEE star labels help you compare.
- Check your sanctioned load. If your actual use is much lower than your sanctioned load, ask your utility whether reducing it would lower your fixed charge.
Estimate your next bill
Enter your units and rates in our electricity bill calculator. If you are thinking about solar, read about PM Surya Ghar.