SRINAGAR — Ending weeks of speculation that had kept the Valley on edge, the Jammu & Kashmir Government has officially announced a major relief for electricity consumers. Chief Minister Omar Abdullah on Friday confirmed that there will be no increase in power tariffs for the financial year 2026-27.
In a move termed by the ruling National Conference (JKNC) as a “New Year Gift” to the people, the government has also decided to put on hold the controversial “Time of Day” (ToD) billing, which proposed a 20% surcharge during peak morning and evening hours.
The Official Decision
The Joint Electricity Regulatory Commission (JERC), following a directive from the J&K Government, has issued the tariff order for the upcoming fiscal year.
- Domestic Consumers: Existing rates remain unchanged. There will be no hike per unit.
- Peak Hour Surcharge: The proposal to charge 20% extra during “Solar Hours” (peak times) has been shelved for domestic users.
- Revenue Gap: The government has agreed to provide Grant-in-Aid to the Power Development Department (PDD) to cover the revenue deficit, ensuring the burden is not passed to the common man.
“New Year Gift” for J&K
JKNC Spokesperson Imran Nabi Dar took to X (formerly Twitter) to share the development:
“As promised, there is NO increase in power tariff in J&K. This is a New Year gift from the Omar Abdullah-led government to power consumers who are already facing harsh winter conditions.”
Why This Matters Now
The timing of this announcement is critical.
- Harsh Winter: With “Chillai Kalan” (the harshest 40-day winter period) underway, electricity consumption in Kashmiri households skyrockets due to the use of heaters and geysers. A tariff hike now would have impacted monthly budgets severely.
- Smart Meter Anxiety: Residents have been protesting against “inflated bills” from prepaid smart meters. A rate hike would have added fuel to the fire.
The Background: What was Proposed?
Earlier, the Kashmir Power Distribution Corporation Limited (KPDCL) had petitioned the JERC for a rate revision to offset massive losses. The proposal included:
- A 20% Surcharge during peak hours (6 AM–9 AM and 6 PM–10 PM).
- A steep hike in fixed charges.
All these proposals have now been rejected for domestic categories for the 2026-27 period.


