The Telangana Electricity Regulatory Commission (TGERC) has proposed removing the cap on the recovery of fuel cost adjustment (FCA) charges of ₹0.3 (~$0.003)/kWh. The proposed amendment allows FCA charges above ₹0.3(~$0.003)/kWh to be adjusted during the process of pass-through of gains and losses on account of variations in the annual revenue requirement (ARR) for the year. Under the draft Telangana Electricity Regulatory Commission (Multi-Year Tariff) First Amendment Regulation, 2026, distribution companies (DISCOMs) may recover or pass on FCA charges to consumers.
