News Brief
Arjun Brij
Jun 26, 2025, 11:00 AM | Updated 11:00 AM IST
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To ease the financial burden on electricity consumers, the Maharashtra government on Wednesday (26 June) announced a phased reduction in power tariffs, with a total cut of 26 per cent to be implemented over the next five years.
The initiative marks the first time in the state’s history that tariffs will be reduced rather than increased.
Chief Minister Devendra Fadnavis, who also holds the energy portfolio, announced the development on X, formerly Twitter.
“For the first time in the State’s history, electricity tariffs will be reduced — starting with a 10 per cent cut in the first year, and a total 26 per cent reduction in phases over the next 5 years. Thanks to the Maharashtra Electricity Regulatory Commission (MERC) for approving MSEDCL’s proposal to reduce tariffs, a move never attempted before," Fadnavis said.
The reduction follows a proposal from the Maharashtra State Electricity Distribution Company Limited (MSEDCL), popularly known as Mahavitaran, to revise its existing tariff structure.
Earlier, tariff petitions have sought an increase of around 10 per cent, but this time, the regulator accepted a proposal from MSEDCL focused on reducing costs for consumers across the board.
This order will be applicable to all MSEDCL consumers across Maharashtra, except some parts of Mumbai, where power distribution is managed independently by BEST, Tata Power, and Adani Electricity.
The most significant benefit will go to residential consumers who use less than 100 units per month, as they will experience a 10 per cent reduction in their electricity bills beginning in FY26.
To ensure reliable daytime electricity for farmers, the Chief Minister also highlighted the rapid progress in implementing the Mukhyamantri Saur Krushi Vahini Yojana 2.0.
Arjun Brij is an Editorial Associate at Swarajya. He tweets at @arjun_brij