TGSPDCL/ TGNPDCL Issues Notice: Maintain Power Factor at Unity — Impact on HT, LT High Value & Commercial Consumers

If you are an HT, LT High Value, or commercial consumer in Telangana,then this blog is meant for you. Recently, TGSPDCL (Southern Power Distribution Company) and TGNPDCL (Northern Power Distribution Company) issued notices asking consumers to maintain power factor at unity.

This change directly affects your electricity bill—even if your actual power consumption (kWh) doesn’t increase.    

In this blog, we’ll explain what the notice means, how kVAh billing works, and what every consumer should do to avoid higher bills.

 What is kVAh Billing?

Electricity billing in India is moving towards kVAh-based billing instead of just kWh.

• kWh (kilowatt-hour): Measures active energy (actual useful work).
  
  
• kVARh (reactive energy): Extra energy required to maintain voltage and magnetic fields, but does no useful work.
  
  
• kVAh (apparent energy): Combination of both active and reactive energy.
  
  

Until now, your bills were calculated mainly on:

kVAh = √(kWh² + (kVARh Lag)²)

Formula under new rule:

kVAh = √(kWh² + (kVARh Lag + kVARh Lead)²)

In simple terms: Earlier only lagging reactive energy was billed. Now both lagging and leading reactive energy will be included.

What Did the TGSPDCL/TGNPDCL Notice Say?

• The Telangana Electricity Regulatory Commission (TSERC) directed Discoms to unblock leading kVARh for kVAh billing.
• Consumers are given a 3-month notice period to correct their power factor near unity.
  
  
• After 3 months, leading kVARh will be included in billing, which means:
  
  
• Overcompensation by capacitor banks → higher kVAh bills
  
  
• Power factor less than unity → increased costs

Who Will Be Impacted?

HT Consumers (Industrial Users)

Industries with motors, furnaces, compressors, and heavy loads are most affected. Wrongly sized capacitors can push PF into leading, which now adds to your bill.

LT High Value Consumers

Large buildings, malls, hospitals, schools, and commercial complexes with varying loads must now closely monitor PF swings.

Commercial Consumers

Even shops, offices, and mid-sized businesses will notice higher bills if they ignore PF. The new billing ensures every unit of wasted reactive energy is charged.

Want to know the impact of new billing ? Click here

Why Telangana Introduced This Rule?

The move to kVAh billing with leading kVARh inclusion is aimed at:

• Reducing technical losses in the power grid and preventing overloading of DTRS.
• Encouraging efficient energy use by making consumers maintain power factor close to unity.
• Ensuring fair billing, so consumers pay for the actual energy impact (both active & reactive) they draw from the grid.

What Should Consumers Do Now?

The new kVAh billing rule may sound worrying, but with the right tools and monitoring, you can stay at unity power factor and avoid penalties. 

How Bharat Smart Services Protects You from kVAh Billing Losses

Bharat Smart Services ensures you stay ahead of these surprises with smart solutions that monitor, alert, and optimize your electricity usage. Here’s how we protect you from kVAh billing losses:

On-Site Survey

• Expert visit to measure the impact of kVArh lead/lag.
  
  
• Identify billing risks & low-hanging fruits for quick savings.
  
  

Live Monitoring

• Bijli Auditor tracks PF, kWh, and kVAh in real time.
  
  
• Full visibility of leading kVArh → prevents surprise billing.
  
  

Instant Alerts

• Mobile & email notifications when PF drifts into the leading zone.
  
  
• Take action before penalties → zero excess bills.
  
  

Customized Savings Roadmap

• Subscribe to our Bill Optimization Services.
  
  
• Get a tailored strategy designed for your facility’s unique load profile.

Conclusion:

The new kVAh billing rule in Telangana is a major shift for HT, LT High Value, and commercial consumers. By including leading kVARh in billing, TGSPDCL and TGNPDCL are ensuring that only efficient users benefit.

The smart move?
Now how much you will get impacted, maintain PF near unity, and adopt our smart solutions  to stay ahead. Because in the new billing era, every unit counts.  Contact us now before you get impacted.