Chennai: For debt-ridden Tamil Nadu Power Distribution Corporation Ltd (TNPDCL), every rupee collected is worth more than two rupees saved. Yet, TNPDCL, which has a debt of more than ₹1 lakh crore as per the recent white paper released by the state govt, has foregone ₹584 crore in the past year and could lose another ₹300 crore this year by failing to collect additional surcharge from high-tension (HT) consumers and industries for buying electricity from third-party, private generators instead of the discom.An additional surcharge is the component levied on HT consumers for using the state-owned power discom’s grid to purchase power from third parties. It is charged over and above fixed, consumption, and wheeling charges, as well as cross-subsidy. The surcharge is fixed every six months by the Tamil Nadu Electricity Regulatory Commission (TNERC) based on TNPDCL’s petition on unused installed capacity caused by third-party power purchases.For Oct 2025 to March 2026, TNPDCL sought TNERC’s approval to levy ₹1.14 per unit as additional surcharge, which could have generated an additional revenue of ₹284 crore to TNPDCL. Renewable Energy Producers Association (REPA) moved Madras high court to quash the petition. Though the high court dismissed the plea in Feb, TNERC did not pass orders even till May. Under TNERC (Grid Connectivity and Intra-State Open Access) Regulations, additional surcharge can be levied only prospectively after TNERC’s approval. While ₹284 crore was lost due to the delay, TNPDCL also failed to file a petition to levy additional surcharge for March 2026-Sept 2026, causing an estimated loss of another ₹300 crore.The problem does not end there, as TNPDCL should file a petition in advance to fix an additional surcharge for third-party power for the next six-month period from Oct 2026 to March 2027. However, TNERC remains defunct, with its chairperson and member positions remaining vacant. The state govt has just formed a search committee to recommend suitable candidates for key posts. TNPDCL would incur significant loss before the new quorum decides on the additional surcharge for the upcoming months, say experts.Retired TNEB staffer and activist, S Neelakanta Pillai said TNPDCL has collected about ₹400 crore as additional surcharge since 2020, but has lost close to ₹1,000 crore in the same period due to delayed petitions or non-filing of petitions, late approvals by TNERC and litigation by industries.“Such delays and defaults ultimately favour private parties, while causing a huge loss to the power utility, which is reeling under enormous debt. The state govt should show the same urgency in appointing the TNERC chairperson as it did for TNRERA too,” he said.Sources in TNPDCL said that the discom recently filed a petition seeking an additional surcharge of nil for April 2026 to Sept 2026 with a headless regulatory commission. IAS officer Vishu Mahajan, who should have overseen these functions as the former joint managing director of TNPDCL (financial), was not available for comment.
