What is the electricity unit rate in Delhi in 2025?

Electricity charges in Delhi are regulated by the Delhi Electricity Regulatory Commission (DERC) and follow a slab-based tariff system. The price of electricity in Delhi varies based on monthly consumption, with subsidies making it free for households using up to 200 units. Beyond this limit, the Delhi electricity unit rate increases progressively, ensuring fair billing while promoting energy efficiency. Power purchase costs, government regulations, and additional surcharges impact the final electricity bill. This guide provides a detailed breakdown of current tariffs, extra charges, and available subsidies in 2025.

See also: How to apply for power subsidy in Delhi?

Delhi electricity rate per unit 2025

Understanding the Delhi per unit electricity rate is essential for households and businesses to manage their energy costs effectively. Let’s know more about the Delhi electricity unit rate – domestic and commercial per-unit. As a subsidy is offered for 200 units of electricity consumption in Delhi, you can check the electricity rates after 200 units of consumption from below.

 

Domestic electricity rate in Delhi 2025

The electricity rate in Delhi per unit residential is designed to support affordability while promoting efficient energy use. The Delhi residential electricity rate operates on a slab-based system, where rates vary depending on the monthly consumption of electricity. For households consuming up to 200 units, electricity is free under the government’s subsidy program. Beyond this, the residential electricity rate in Delhi increases progressively, ensuring fair billing while encouraging conservation. This tiered structure makes it essential for residents to monitor usage and understand the applicable rates for their energy needs.

Category	Charges (fixed)	Energy charges
Individual connections		0-200 (Units)	201-400 (Units)	401-800 (Units)	801-1200 (Units)	>1200 (Units)
Upto 2 kW	Rs 20 per kW per month	Rs 3.00 per kWh	Rs 4.50 per kWh	Rs 6.50 per kWh	Rs 7.00 per kWh	Rs 8.00 per kWh
> 2kW & ≤ 5 kW	Rs 50 per kW per month
> 5kW & ≤ 15 kW	Rs 100 per kW per month
>15kW & ≤ 25 kW	Rs 200 per kW per month
> 25kW	Rs 250 per kW per month

Commercial electricity rate in Delhi 2025 | Commercial unit price

The commercial unit price in Delhi is structured to cater to businesses of varying scales, ensuring transparency and efficiency. The electricity rate in Delhi per unit commercial varies based on the sanctioned load and consumption levels. The Delhi commercial electricity rate is tiered, with specific charges applied for energy usage across different categories. Understanding the commercial rate of electricity in Delhi is crucial for optimizing operational costs, particularly for businesses with high energy demands. By being aware of the commercial electricity rate per unit in Delhi, enterprises can effectively plan their energy consumption and manage expenses.

Category	Fixed Charges (per kVA per month)	Energy Charges (per kVAh)
Up to 3kVA	Rs 250 per kVA per month	Rs 6.00 per kVAh
Above 3kVA	Rs 250 per kVA per month	Rs 8.50 per kVAh
Industrial connections	Rs 250 per kVA per month	Rs 7.75 per kVAh
Agriculture connections	Rs 125 per kVA per month	Rs 1.50 per kVAh
Civic utilities	Rs 200 per kVA per month	Rs 6.25 per kVAh
Hoardings and advertisements	Rs 250 per kVA per month	Rs 8.50 per kVAh

Delhi electricity rate after 200 units

In Delhi, the electricity tariff structure for domestic consumers is tiered based on monthly consumption. For usage exceeding 200 units, the rates are as follows:

• 201 to 400 Units: Rs 4.50 per unit
• 401 to 800 Units: Rs 6.50 per unit
• 801 to 1200 Units: Rs 7.00 per unit
• Above 1200 Units: Rs 8.00 per unit

Subsidy on electricity bill in Delhi in 2025

The Delhi government’s power subsidy scheme offers financial relief to domestic electricity consumers. Households consuming up to 200 monthly units receive a 100% subsidy, resulting in zero electricity charges. Those using between 201 and 400 units benefit from a 50% subsidy, capped at ₹800.

 

Application process

To avail of the subsidy, consumers must opt-in through one of the following methods:

1. WhatsApp: Send ‘Hi’ to 7011311111 on WhatsApp. You’ll receive a pre-filled application form. Confirm your details to complete the process.
    
2. Missed Call: Give a missed call to 7011311111. You’ll receive an SMS with a link to the application form. Fill out and submit the form to opt-in.
    
3. QR Code: Scan the QR code provided on your electricity bill to access the application form. Confirm your details to opt-in.
    
4. Offline: Visit your local electricity office to fill out and submit a physical application form.
   

Eligibility criteria

• Domestic Consumers: Only domestic electricity consumers are eligible for the subsidy.
   
• Opt-In Requirement: Consumers must apply to receive the subsidy; it is not granted automatically.
  

Approved subsidy

Once approved, the subsidy is directly applied to your electricity bill. For consumption up to 200 units, the bill amount will be zero. For usage between 201 and 400 units, the bill will reflect a 50% reduction, up to ₹800.

 

It’s important to note that the subsidy is applicable only if you have opted in. If you haven’t applied, your bill will reflect the standard charges without any subsidy.

 

Factors influencing Delhi electricity rate

Several factors contribute to the setting of electricity rates in Delhi. These include:

• Cost of power purchase: Electricity distribution companies (DISCOMs) purchase power from generation companies at specific rates, which fluctuate based on fuel costs, demand, and availability.
• Transmission and distribution losses: Losses during transmission and distribution affect the final cost of electricity to consumers. The Delhi government and DISCOMs have been working to minimize these losses by upgrading infrastructure and encouraging efficient use.
• Fuel prices: Fuel, such as coal and natural gas, used for power generation can significantly affect electricity rates. When global fuel prices rise, it impacts the cost of power generation, and this increase is often passed on to the consumers.
• Environmental regulations: With a focus on cleaner and greener energy sources, DISCOMs are gradually shifting to renewable energy, which, while environmentally friendly, can initially be more expensive than traditional energy sources.

Understanding your electricity bill in Delhi involves recognizing its primary components:

1. Fixed Charges: These are consistent monthly fees based on your sanctioned load or contract demand. For domestic consumers, fixed charges vary with the connected load:
   • Up to 2 kW: Rs 20 per kW per month
   • Above 2 kW and up to 5 kW: Rs 50 per kW per month
   • Above 5 kW and up to 15 kW: Rs 100 per kW per month
   • Above 15 kW and up to 25 kW: Rs 200 per kW per month
   • Above 25 kW: Rs 250 per kW per month
2. Energy Charges: These charges are based on the actual electricity consumed during the billing period. The rates are tiered:
   • 0–200 units: Rs 3.00 per kWh
   • 201–400 units: Rs 4.50 per kWh
   • 401–800 units: Rs 6.50 per kWh
   • 801–1200 units: Rs 7.00 per kWh
   • Above 1200 units: Rs 8.00 per kWh
3. Taxes and Surcharges: These include government-imposed levies such as electricity duty and other applicable taxes. Additionally, surcharges like the Power Purchase Adjustment Cost (PPAC) may be applied to account for fluctuations in power procurement costs. For instance, in February 2024, Delhi’s electricity bills increased due to a rise in the PPAC, with discoms revising it in the range of 6.75% to 8.75%.
   

   How to calculate Delhi electricity bill in 2025?

   Calculating and paying your electricity bill in Delhi is a straightforward process, thanks to the structured tariff system and the availability of online payment platforms. Here’s a concise guide to assist you:

   Understanding Electricity Charges in Delhi

   The Delhi Electricity Regulatory Commission (DERC) has established a tiered tariff structure for domestic consumers:

   Connected Load	Fixed Charges (Rs/kW/month)	Energy Charges (Rs/kWh)
   Up to 2 kW	20	3.00
   > 2 kW and ≤ 5 kW	50	4.50
   > 5 kW and ≤ 15 kW	100	6.50
   > 15 kW and ≤ 25 kW	200	7.00
   Above 25 kW	250	8.00

   Note: These rates are based on the Delhi Tariff Order 2020-2021.

   Calculating your electricity bill

   1. Determine Units Consumed: Check your meter or previous bill to find the total units (kWh) consumed during the billing period.
   2. Apply Tariff Rates: Multiply the units consumed by the applicable energy charge rate based on your connected load.
   3. Add Fixed Charges: Include the fixed charges corresponding to your connected load.
   4. Include Additional Charges: Factor in any additional charges such as meter rent, taxes, or surcharges as specified by DERC.

   Example Calculation:

   For a consumer with a connected load of 3 kW consuming 350 units in a month:

   • Energy Charges: (200 units x Rs 3.00) + (150 units x Rs 4.50) = Rs 600 + Rs 675 = Rs 1,275
   • Fixed Charges: Rs 50 x 3 kW = Rs 150
   • 1. BSES Rajdhani Power Limited (BRPL):
        • Visit the BRPL Quick Pay page.
        • Enter your CA (Customer Account) number and proceed to view and pay your bill using options like net banking, credit/debit cards, or UPI.
     2. BSES Yamuna Power Limited (BYPL):
        • Access the BYPL Quick Pay portal.
        • Provide your CA number to fetch your bill details and choose a preferred payment method.
     3. Tata Power Delhi Distribution Limited (TPDDL):
        • Navigate to the TPDDL Bill Payment section.
        • Enter your CA number to view your bill and complete the payment using available online options.Total Bill (excluding additional charges): Rs 1,275 (Energy) + Rs 150 (Fixed) = Rs 1,425
          

          How to paying your electricity bill online?

          Delhi residents can conveniently pay their electricity bills online through various platforms:

    

Electricity distribution companies in Delhi

In Delhi, electricity distribution is managed by multiple companies, leading to potential variations in tariffs across different regions. The primary distribution companies and their respective service areas are:

• BSES Rajdhani Power Limited (BRPL): Serves South and West Delhi.
• BSES Yamuna Power Limited (BYPL): Covers East and Central Delhi.
• Tata Power Delhi Distribution Limited (TPDDL): Operates in North and Northwest Delhi.
• New Delhi Municipal Council (NDMC): Manages electricity distribution in specific central areas, including Lutyens’ Delhi.

While the Delhi Electricity Regulatory Commission (DERC) sets uniform tariff structures, minor differences can arise due to factors like Power Purchase Adjustment Charges (PPAC) and other surcharges. For instance, in July 2023, DERC approved tariff hikes for consumers using more than 200 units per month, with increases of 9.42% for BYPL and 6.39% for BRPL.

New electricity connection charges in Delhi 

​Obtaining a new electricity connection in Delhi involves specific charges that vary based on the type of connection and the sanctioned load. Here’s a concise overview:​

Advance consumption deposit (Security deposit):

• Domestic supply: Rs 750 per kW or part thereof of the connected load. 

Service line cum development (SLD) charges:

• Low tension (LT) supply: Rs 250 per kW or per kVA, up to a maximum of Rs 25,000.
• High tension (HT) supply: Rs 1,000 per kW or per kVA. ​

Meter installation charges:

• Single phase connection: Rs 500
• Three phase connection: Rs 1,000

Additional charges:

• Installation inspection fee (other than at the time of energizing new connection):
  • Up to 5 kW: Rs 120
  • More than 5 kW up to 10 kW: Rs 200
  • More than 10 kW: Rs 400
  • HT Installation: Rs 1,000

Please note that these charges are subject to change and may vary based on specific circumstances. For the most accurate and up-to-date information, it’s advisable to consult the official website of the respective electricity distribution company or contact their customer service directly.​

 

Why is Delhi’s electricity bill so high?

Electricity charges in Delhi have increased primarily due to the Delhi Electricity Regulatory Commission (DERC) approving hikes in the Power Purchase Adjustment Cost (PPAC) and Power Purchase Cost Adjustment (PPCA) charges. These adjustments reflect rising power procurement costs influenced by increased coal and fuel prices. 

 

For instance, in areas under the New Delhi Municipal Council (NDMC), the PPCA was raised from 38.75% to 54.52% for the January-March 2025 quarter, making electricity in these regions the most expensive in the city. In contrast, other areas like those served by BSES Yamuna Power Limited, BSES Rajdhani Power Limited, and Tata Power Delhi Distribution Limited have seen reductions in PPAC charges, leading to lower consumer bills in those regions. 

 

As of February 2025, the price of electricity in Delhi has undergone adjustments due to changes in the Power Purchase Adjustment Cost (PPAC) rates. The Delhi Electricity Regulatory Commission (DERC) has revised these rates, leading to varying impacts across different regions:

New Delhi Municipal Council (NDMC) Areas: The PPAC has been increased to 54.52% for the January-March 2025 quarter, resulting in higher electricity bills for consumers in these regions.

Other Areas: Conversely, regions served by BSES Yamuna Power Limited (BYPL), BSES Rajdhani Power Limited (BRPL), and Tata Power Delhi Distribution Limited (TPDDL) have experienced reductions in PPAC rates. For instance, as of February 2025, the revised PPAC rates are:

• BYPL: 13.63%
• BRPL: 18.19%
• TPDDL: 20.52%

 

These reductions have decreased electricity bills for consumers in the respective areas.

 

Therefore, while some regions in Delhi are experiencing higher electricity costs due to increased PPAC rates, others benefit from reduced charges, leading to lower bills.

Smart meters: Enhancing Delhi’s electricity infrastructure

Delhi has been actively implementing smart meters as part of a broader effort to modernise its electricity grid, improve billing accuracy, and promote energy conservation. These meters enable real-time electricity consumption monitoring, helping consumers and power distribution companies (DISCOMs) optimise energy usage and reduce inefficiencies.

Impact on billing and consumer experience

Unlike traditional meters, smart meters eliminate manual readings, reducing discrepancies and estimated billing issues. They also provide real-time energy usage data, allowing consumers to track and adjust their consumption patterns to avoid higher tariff slabs.

 

A study by the Council on Energy, Environment and Water (CEEW) found that:

• 60% of surveyed users reported greater transparency in billing after switching to smart meters.
• 90% of users had a smooth installation experience.
• Prepaid smart meters helped consumers monitor usage and prevent unexpectedly high bills.

 

NDMC’s 100% smart metering milestone

The New Delhi Municipal Council (NDMC) has led the smart meter transition, replacing 50,000 conventional meters to become the first Indian distribution company with a 100% smart metering solution. This shift is expected to:

• Save ₹1.24 billion annually by reducing Aggregate Technical & Commercial (AT&C) losses.
• Improve load management and detect power theft more efficiently.

 

Delhi’s smart meter rollout and future plans

Delhi’s major DISCOMs—BSES Rajdhani, BSES Yamuna, Tata Power Delhi Distribution Limited (TPDDL), and NDMC—are gradually rolling out smart meters across the city.

• TPDDL alone has installed over 500,000 smart meters and aims to cover its entire service area by 2025.
• BSES Discoms plan to install 4.1 million smart meters under the Smart Meter National Programme (SMNP).

The central government’s Revamped Distribution Sector Scheme (RDSS) aims to replace 250 million conventional meters with smart prepaid meters across India by 2025-26. This initiative is expected to:

• Reduce power theft and unauthorized usage.
• Provide DISCOMs with real-time insights into electricity demand.
• Help consumers track their usage through mobile apps and opt for prepaid billing options.

 

Are smart meters mandatory in Delhi?

While smart meters are not yet mandatory for all consumers, new connections, high-consumption households, and commercial users are being prioritized. The Delhi government has also encouraged voluntary adoption by highlighting benefits such as:

• Elimination of estimated bills
• Prepaid recharge options to control costs
• Faster resolution of power outages due to remote monitoring capabilities

 

Do smart meters reduce electricity bills?

The impact of smart meters on electricity bills depends on how consumers leverage real-time tracking features. By analysing usage patterns, consumers can:

• Shift high-energy consumption to off-peak hours to avoid peak pricing.
• Detect power wastage in appliances and optimise their energy use.
• Prevent unnecessary tariff hikes by staying within lower consumption slabs.

However, some consumers have raised concerns about sudden bill increases after smart meter installation. This is often due to:

• The elimination of estimated billing, which previously understated actual consumption.
• Real-time tracking reveals higher-than-expected usage patterns.

Despite these concerns, smart meters are expected to improve billing accuracy and empower consumers to manage electricity expenses more effectively in the long run.

 

Shifting to renewable energy sources

Delhi has been actively integrating renewable energy into its power grid to promote sustainability and reduce reliance on fossil fuels. As of September 2023, the city achieved an installed renewable energy capacity of 339 MW, comprising 255 MW from solar energy and 84 MW from waste-to-energy generation.

 

In February 2023, the Delhi government announced plans to increase the city’s power generation capacity by 6,000 MW over the next three years, focusing on renewable sources.

 

This initiative aligns with the broader goal of enhancing the share of green energy in Delhi’s electricity consumption.

Notably, Tata Power Delhi Distribution Limited (TPDDL) reported that approximately 31% of its energy supply to the capital comes from renewable sources, amounting to 827 MW. TPDDL aims to increase this share to 1,515 MW by 2026-27, which would constitute 45% of its total energy portfolio.

 

These efforts reflect Delhi’s commitment to expanding renewable energy adoption, contributing to a cleaner and more sustainable energy future for the city.

 

Renewable energy and its impact on Delhi’s electricity tariffs

Delhi’s growing shift toward renewable energy, including solar and waste-to-energy projects, is poised to impact electricity tariffs and sustainability goals significantly in the long run. Here’s how:

• Tariff stabilization: The adoption of renewable energy sources reduces dependency on fossil fuels, minimizing the impact of fluctuating global fuel prices on electricity tariffs. Over time, this could lead to more stable electricity rates for consumers.
• Subsidy reduction potential: As renewable energy production becomes more cost-effective, the financial burden on government subsidies could decrease, enabling more efficient allocation of resources.
• Greener energy mix: Increasing the share of green energy in Delhi’s electricity grid helps reduce carbon emissions and aligns with national goals for sustainability. Tata Power Delhi Distribution Limited (TPDDL) is already sourcing 31% of its power from renewables, aiming to increase this to 45% by 2027.
• Long-term savings: While initial investments in renewable energy infrastructure may increase costs, the operational expenses for renewable sources like solar are significantly lower, promising long-term financial benefits for consumers.

This strategic shift not only supports environmental sustainability but also provides a path to affordable and reliable energy for Delhi’s growing population.

 

FAQs

How to reduce electricity bills in Delhi?

If you want to reduce your electricity bill in Delhi, try switching to energy-efficient appliances, switching off lights when not in use, etc. You can also install solar panels.

How is the tariff calculated in Delhi?

The tariff is calculated on the basis of consumption every month. The more electricity you use, the higher the tariff rate will be imposed per unit.

Is a 200-unit electricity bill free in Delhi?

Yes, residents of Delhi get free electricity up to usage of 200 units.

What is the subsidy for using 400 units of electricity in Delhi?

Delhi residents who consume 201 to 400 monthly units get 50% capped at Rs 850.

Which city has the costliest electricity in India?

Mumbai has the costliest electricity in India.

What is the bill for 500 units in Delhi?

The tariff rate in Delhi is Rs 6.50 per unit from 401 to 500 units, and Rs 8 per unit for 501 to 600 units.

Can I have more than one electricity meter in one house in Delhi?

Yes, you can apply for more than one meter in Delhi.

Got any questions or point of view on our article? We would love to hear from you. Write to our Editor-in-Chief Jhumur Ghosh at jhumur.ghosh1@housing.com