The Telangana government has approved a 1.621% increase in Dearness Allowance (DA) for electricity department staff, raising the allowance from 17.651% to 19.272% of basic pay. According to reports from UNI, Deputy Chief Minister Mallu Bhatti Vikramarka announced the decision during a review meeting with Energy Department officials at Vidyut Soudha. The revision will be implemented with retrospective effect from January 1, 2026, providing much-needed relief to employees and pensioners amid rising inflation and escalating household expenses.
The DA revision will benefit 70,804 employees across various power utilities under the Energy Department, as reported by UNI. The coverage extends beyond regular employees to include artisans, pensioners and associated stakeholders in the electricity sector. Deputy CM Bhatti Vikramarka emphasized that the decision aims to provide financial boost to thousands of families who depend directly on the state's power sector, with the move expected to help employees and pensioners cope with rising living costs.
According to official estimates reported by UNI, the DA hike will result in an additional expenditure of approximately ₹9.35 crore per month for the state exchequer. On an annual basis, the overall financial implication is expected to exceed ₹112 crore. Despite this additional burden, the government maintains that periodic DA revisions are essential to protect employees' purchasing power and ensure compensation keeps pace with day-to-day living costs.
During the review meeting held at GENCO headquarters in Hyderabad on Wednesday, Deputy CM Bhatti Vikramarka praised power sector officials for maintaining uninterrupted electricity supply despite unprecedented demand. He noted that Telangana recorded its highest-ever peak power demand of 18,548 MW on March 27, 2026, while electricity consumption touched a record 341 million units on March 13, 2026. Despite the record demand, power utilities successfully maintained uninterrupted supply through advance planning and efficient management, demonstrating the sector's operational capabilities.
The Deputy CM also elaborated on developing a robust infrastructure plan for the state power sector with a 10-year long-term vision, as reported by UNI. According to projections discussed during the review, the state's peak power demand is expected to reach 34,137 MW by 2035-36, nearly double the current level. Annual electricity consumption is also projected to rise to 152,626 million units (MU) by the same period. He stressed the need to strengthen infrastructure, expand transmission and distribution networks, and ensure that the power sector remains equipped to handle future demand. With the monsoon season approaching, he instructed officials of TRANSCO, SPDCL, and NPDCL to remain on high alert and ensure uninterrupted power supply during heavy rains and storms.
