In exercise of the powers conferred by clause (b) of sub section (1) of Section 12 and 13 read with clause 1 of the Notification No 145(E) dated 21st February 1991

Ministry : Central Pollution Control Board (Not Applicable)

Part III-Section 4

Subject : Extra Ordinary

Overview [CERC Monthly Escalation Rates Notification, April 2026]

The Gazette notification announces the monthly escalation rates for power procurement by distribution licensees in India, issued by the Central Electricity Regulatory Commission (CERC) under government guidelines. It is significant for setting cost adjustments in power purchase agreements.

Key Points

Notification issued by CERC under guidelines for tariff determination and long-term power procurement (DBFOO model).
Specifies monthly escalation rates for April 2026 on power purchase agreements.
Rates cover imported coal: 11.60% (coal), 88.01% (transport), 0.26% (handling).
Officially published and digitally signed by Kumer Chand, Secretary, on May 18, 2026.

Summary [CERC Escalation Rates Notification]

The Gazette notification from CERC establishes the monthly escalation rates for April 2026 applicable to power purchase agreements, primarily addressing cost adjustments for imported coal procurement. These rates—11.60% for coal, 88.01% for transportation, and 0.26% for handling—directly influence the financial calculations for distribution licensees, ensuring contract compliance with government procurement guidelines.

In exercise of the powers conferred by clause (b) of sub section (1) of Section 12 and 13 read with clause 1 of the Notification No 145(E) dated 21st February 1991