The Jharkhand State Electricity Regulatory Commission (JSERC) issued an important order on March 25, 2026, outlining the financial and operational plans for Jharkhand Urja Sancharan Nigam Limited (JUSNL). The order covers multiple aspects, including the provisional true-up for 2024-25, a performance review for 2025-26, and approval of a five-year business plan from 2026-27 to 2030-31.
A key part of the decision focuses on the new Multi-Year Tariff (MYT) control period beginning April 2026. The Commission has reviewed future electricity demand projections and noted a steady increase across the state. Demand from Jharkhand Bijli Vitran Nigam Limited (JBVNL), the state’s largest power distributor, is expected to rise from around 14,424 million units in 2026-27 to more than 17,533 million units by 2030-31. To support this growth, JSERC has approved a major capital expenditure plan, stressing the importance of coordinated development of transmission infrastructure. This is aimed at avoiding situations where assets remain unused due to a lack of connectivity.
For the financial year 2026-27, the Commission has approved the Aggregate Revenue Requirement (ARR) after detailed examination of JUSNL’s proposal. While the utility had requested higher spending, especially in operations and maintenance (O&M), the Commission has allowed a reduced amount of about Rs. 212 crore compared to the proposed Rs. 374 crore. The approved ARR also includes around Rs. 232 crore for depreciation and about Rs. 123 crore towards interest and finance charges. These approvals were made after reviewing the submitted data and seeking additional details to address gaps in the petition.
The order also determines the transmission tariff for the upcoming year. JSERC has tried to strike a balance between ensuring financial stability for the transmission utility and keeping electricity costs reasonable for consumers. To fund future projects, JUSNL will rely on a mix of state government loans, typically carrying an interest rate of about 13%, and financial support from the World Bank, which offers loans at a much lower rate of around 2.5%.
Public participation played an important role in the process. The Commission conducted public hearings in February 2026, allowing stakeholders and consumers to share their views and concerns. This helped in making the decision more transparent and inclusive.
JSERC has also directed JUSNL to complete its planned projects on time and ensure that future filings are based on audited financial data to improve accuracy and accountability in the regulatory process.
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