CPI(M) State Secretariat Member Ch. Babu Rao on Saturday (February 21) criticized the government for increasing electricity tax by 94 paise per unit, putting an annual burden of ₹ 3,500 crore on consumers, claiming that it has reduced charges by 13 paise per unit.
The government gave the duty hike a legal boost by passing the AP Electricity Duty (Amendment) Bill, 2026 in the legislature on February 18 without any concern for those who have to bear the burden, it said in a press release.
Mr. Babu Rao said that the YSRCP government had issued GO No. 7 on April 8, 2022 to increase the customs duty from ₹ 6 paise to ₹ 1 per unit, but the Supreme Court quashed the GO after it was challenged by several organizations and consumers. The TDP strongly opposed the duty hike at the time.
Now, instead of correcting the mistake, the TDP-led coalition government supported the hike and issued an ordinance on December 19, 2024 to continue the increased electricity tax and even approached the Supreme Court to set aside the HC orders.
Granting a stay with refund, the Supreme Court upheld the HC’s view that the hike was illegal. However, the above bill was passed in the Assembly, paving the way for collecting ₹1 per unit from all but domestic consumers with retrospective effect from August 2021, Mr. Babu Rao said.
He further said that the YSRCP is silent as it is responsible for the hike in electricity tax and the coalition government has just paved the way for the implementation of the controversial decision.
He demanded that the government withdraw the AP Electricity Duty (Amendment) Bill, 2026 and return the money already collected from consumers, failing which the CPI(M) and other parties would stage nationwide protests.
Published – 21 Feb 2026 19:46 IST
