Domestic rates at a glance
KERC, the state regulator, fixed tariffs for all five ESCOMs (BESCOM, MESCOM, CESC, HESCOM and GESCOM) in a multi-year order issued in March 2025. For domestic (LT-1) consumers the energy charge is a single flat rate, not slabs. The fixed charge is per kW of sanctioned load and goes up a little each year of the order.
These are the figures commonly quoted for 2026-27. Rates are revised by KERC orders and true-ups, so treat them as a guide and check the rate printed on your own bill.
Every line on your bill, explained
| Bill line | What it is | What drives it |
|---|---|---|
| Fixed charges | A monthly charge for each kW of sanctioned load, even if you use nothing | Your sanctioned load in kW |
| Energy charges | Units consumed × the per-unit rate | How much you use |
| P&G surcharge | A per-unit surcharge approved by KERC to fund ESCOM staff pension and gratuity | Units consumed |
| FPPCA / FAC | Fuel and power purchase cost adjustment, revised every few months; can be a charge or a credit | Units consumed and the quarter's adjustment |
| Electricity tax | State tax on energy and fixed charges | The two lines above |
| Gruha Jyothi subsidy | Government pays the bill for your entitled units if you are registered and stay within limits | Your entitlement and use |
| Arrears / interest | Unpaid amounts from previous bills and delayed-payment interest | Paying on time |
Calculate your bill
Enter your units and sanctioned load (both are printed on the bill). The rates are pre-filled with the 2026-27 domestic figures; change them if your bill shows different ones.
Rates used (edit if your bill differs)
Default rates are the 2026-27 domestic (LT-1) figures as commonly published. Interest, arrears, rebates and rounding are not included, so your bill may differ by a few rupees.
If you are registered for Gruha Jyothi, the government pays for your entitled units, so you only see a bill when you go over them. Use our Gruha Jyothi checker to see how many units you pay for.
A worked example: one bill, line by line
Here is a typical bill worked out by hand, so you can see where each rupee comes from. A family in Davanagere has a 3 kW sanctioned load, used 180 units this month, is not registered for Gruha Jyothi (or has crossed 200), and the bill shows no fuel adjustment.
| Line | Working | Amount |
|---|---|---|
| Energy charge | 180 units × ₹5.80 | ₹1,044.00 |
| Fixed charge | 3 kW × ₹150 | ₹450.00 |
| P&G surcharge | 180 units × ₹0.35 | ₹63.00 |
| Electricity tax | 9% of (₹1,044 + ₹450) | ₹134.46 |
| Total | ₹1,691.46 |
That works out to about ₹9.40 for every unit used, well above the ₹5.80 headline rate. The fixed charge is the reason. The same 3 kW house using only 60 units pays about ₹891, which is nearly ₹15 a unit, while at 300 units the bill is about ₹2,492, or roughly ₹8.30 a unit. The less you use, the more the fixed charge weighs on each unit.
If your bill shows a fuel adjustment (FPPCA), multiply it by the units. For example, an adjustment of 20 paise a unit on 180 units adds ₹36. A negative adjustment reduces the bill in the same way.
Why the bill changes when your units don't
Many people notice that two bills with the same units are not the same amount. The usual reasons:
- Fuel adjustment. The FPPCA is revised every few months and can be a charge in one bill and a credit in the next.
- The fixed charge steps up each year of the multi-year tariff order, from April. On a 3 kW load even a small step shows up every month.
- A longer billing period. A bill for 33 or 35 days carries more units than a 28-day one, even if daily use is the same. Compare units per day, not units per bill.
- Interest or a deposit line. Late-payment interest, an ASD demand or the yearly interest credit on your deposit changes the net amount without changing the energy charge.
If none of these explains the difference, recheck the reading against the meter.
Why fixed charges matter more than you think
A house with a 5 kW sanctioned load pays fixed charges for 5 kW every month, whether it uses 50 units or 500. At ₹150 per kW that is ₹750 before a single unit is counted. Two common situations:
- Sanctioned load higher than you need. A builder may have applied for a large load. If your real maximum demand is lower, you can apply to your ESCOM for load reduction and lower the fixed charge.
- Sanctioned load lower than you use. Adding ACs, a geyser or an EV charger without telling the ESCOM is the opposite problem. Smart and electronic meters record maximum demand, and exceeding the sanctioned load can bring penalties. Apply for load enhancement instead.
Is your sanctioned load right? A quick check
Because the fixed charge is billed every month, a wrong sanctioned load costs you all year. Lowering a load from 5 kW to 3 kW saves 2 kW × ₹150 = ₹300 a month, plus 9% tax on it, which is close to ₹3,900 a year. Raising it when you need more avoids penalties and tripping. To check:
- Find the sanctioned load on the bill and the maximum demand (MD) on the meter display or bill. On most electronic meters the MD is one of the screens the display scrolls through.
- Look at the MD in your busiest months, usually April and May. A family running two ACs, a geyser and a pump at once can touch 4 to 5 kW for a short time.
- If the highest MD across the year is well below the sanctioned load, ask the subdivision for load reduction. If it is above, apply for load enhancement.
- Keep the single-phase limit in mind. Loads above 5 kW normally need a three-phase service. Read single-phase or three-phase before you decide.
A change in sanctioned load can also change your security deposit at the next annual review. Our ASD guide explains how.
My bill suddenly went up. What should I check?
- 1Compare units, not rupees
Is the units figure higher than the same month last year? If not, the increase is in rates or fixed charges.
- ?Was the reading actual or estimated?Yes Ask for an actual reading and correctionNo Go to the next check
- ?Does the meter reading match the bill?Yes Go to the next checkNo Complain to the subdivision with a photo of the meter
- ?Switch everything off. Does the meter LED still blink?Yes Leakage or a wiring fault: get it testedNo Usage is real: summer AC, geyser or a new appliance
- ✓Fix the cause, then watch the next bill
Our meter guide shows how to read the meter and test it yourself.
Other tariffs you may come across
The domestic rate applies only to homes. Other connections in the same family or building are billed differently, and mixing them up is a common source of surprise bills. The figures below are those reported on this site for the current order. Check your own bill and the KERC tariff schedule.
| Connection | Tariff schedule | What to know |
|---|---|---|
| House, flat, farm house | LT-1 domestic | ₹5.80 a unit and ₹150 per kW in 2026-27; Gruha Jyothi applies |
| Shop, office, clinic | LT-3 commercial | Reported at ₹7.10 a unit and ₹235 per kW after KERC's March 2026 review. See commercial connections. |
| Construction or event supply | LT-7 temporary | ₹10.50 a unit and ₹200 per kW, through a prepaid meter. Common on house construction sites. |
| Irrigation pump set | LT-4 IP set | Free power for eligible farmers up to 10 HP. The house on the farm needs its own domestic meter. |
| EV charging | LT-6(c) EV tariff | Lower than domestic, for a separate EV charging connection |
Running a shop, tuition centre or workshop from the house meter is the mistake that costs most. Apart from the back-billing risk, it also puts Gruha Jyothi at risk, since the scheme covers domestic use only.
Bills with rooftop solar
With rooftop solar on net metering, the bill shows units imported from the grid, units exported, and the net units billed. The fixed charge is still payable on your sanctioned load. The 2025 tariff order gives LT domestic consumers with rooftop solar a rebate of ₹25 per kW of installed solar capacity on the fixed charge, so a 3 kW system takes ₹75 a month off. Check that the rebate line appears once your system is commissioned. How export units are credited depends on the metering arrangement and the 2026 KERC rules, which our net metering guide covers.
Ways to cut the bill that actually work
- Match your sanctioned load to your real maximum demand.
- Set ACs at 24–26 °C and clean the filters every month in summer.
- Put a timer on the geyser. A 2 kW geyser left on for an extra hour a day uses about 60 units a month.
- Replace old pumps and ceiling fans with energy-efficient (BLDC) models.
- Consider rooftop solar if you regularly use more than your free units.
- Pay on time. Interest on arrears adds up quickly.
Government schemes and ESCOM rules are revised from time to time. This article explains how things work in practice. Before you act, confirm the current rule on the Seva Sindhu portal, your ESCOM website, your subdivision office or the helpline 1912.
Checking a bill in five minutes
If a line is wrong after these checks, take it up with the subdivision in writing. Our high bill complaint guide covers the steps, from the subdivision to the Ombudsman.
Questions
What is the electricity rate per unit in Karnataka for homes?
For 2026-27 the domestic energy charge is ₹5.80 per unit, plus a pension and gratuity surcharge of about 35 paise per unit, fixed charges per kW of sanctioned load, a fuel cost adjustment and 9% electricity tax. Check your bill for the exact figures.
Are there slabs for domestic tariff in Karnataka?
No. Since 2023 domestic consumers pay a single flat energy rate. The total still rises with sanctioned load because of the fixed charge.
Is the rate different between BESCOM, HESCOM and the other ESCOMs?
KERC issues one combined order for all ESCOMs, and the domestic energy rate is the same. Small differences can appear in true-up and fuel adjustment charges.
Why do I pay fixed charges when the house is locked?
Fixed charges are billed on the sanctioned load to cover the cost of keeping supply available. They are payable even with zero consumption.
How do I reduce my sanctioned load?
Apply to your ESCOM subdivision for load reduction with your account ID. They may inspect the premises before revising the load.
What is the real cost per unit including everything?
With the ₹5.80 energy charge, 35 paise surcharge and 9% tax, a unit costs about ₹6.70 before fixed charges. Including the fixed charge, a 3 kW home using 180 units pays about ₹9.40 a unit; lower use means a higher cost per unit.
Do shops pay the same rate as homes?
No. Shops and offices are on the LT-3 commercial tariff, which has a higher energy charge and fixed charge. A shop run from a house meter can be back-billed under the commercial tariff.
Does rooftop solar reduce the fixed charge?
Slightly. The 2025 tariff order gives LT domestic consumers with rooftop solar a rebate of ₹25 per kW of installed solar capacity on the fixed charge. The rest of the fixed charge remains payable.
Need this done for you?
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