Kerala power regulator notified new fuel surcharge mechanism and regulatory asset surcharge

The Kerala State Electricity Regulatory Commission (KSERC) published its KSERC (Multi-Year Tariff) Regulations, 2026, replacing the existing thermal fuel surcharge formula with a Fuel and Power Purchase Cost Adjustment Surcharge (FPPAS) mechanism and approving a new regulatory asset (RA) surcharge to liquidate distribution licensees’ regulatory assets, including KSEB’s. The regulations are stated to take effect from April 1, 2027, for the 2027-28 control period onwards.