Getting a new electricity connection in Assam may soon become easier
The Assam Electricity Regulatory Commission (AERC) has proposed amendments to the Assam Electricity Regulatory Commission (Electricity Supply Code) Regulations, 2017 to simplify the process for obtaining new electricity connections. The draft amendments, published through an Explanatory Memorandum on June 22, 2026, are open for public comments, objections and suggestions until July 10, 2026.
The proposed changes cover new connection procedures, fixed-cost estimates, consumer security deposits and documentation requirements. They follow recommendations of the Deregulation Cell of the Cabinet Secretariat, Government of India, and a proposal submitted by Assam Power Distribution Company Limited (APDCL). The Commission held a hearing on June 10, 2026, before issuing a hearing order on June 16, 2026.
Key proposed changes
One of the key proposals is to allow applicants opting for new service connections under a pre-determined fixed-cost mechanism to submit a self-declaration instead of a test report issued by a licensed electrical contractor. The declaration, prescribed in Annexure-I, states that the internal wiring has been tested by a licensed electrical contractor and that the test certificate is available with the applicant.
The existing procedure requiring submission of a contractor’s test report will continue to remain available. The new self-declaration mechanism is proposed as an optional alternative and will coexist with the current process.
The draft amendments also provide that if any information furnished in the self-declaration, such as the type of land or the distance from the nearest electricity pole, is found to be incorrect, the distribution licensee may reject the application. Any amount deposited by the applicant will be refunded within 60 days of rejection, after which the applicant will have to submit a fresh application.
The Commission has also proposed a framework for fixed-cost electricity connections.
For connections up to 30 kW, the charges will comprise meter cost, installation cost and processing fees, along with pre-approved estimates for new low tension (LT) infrastructure where the point of commencement of supply is more than 30 metres from the existing LT network. Separate standard estimates have been proposed for rural and urban areas based on a 30-circuit metre span.
For connections above 30 kW and up to 150 kW, the existing pre-defined cost per kW notified on November 18, 2024, will continue to apply. For high tension (HT) connections above 150 kW and up to 33 kV, the existing notified rate per kW will be collected as a provisional deposit to initiate tendering for HT lines and substations, with the final cost adjusted after completion of the estimate.
The pre-defined cost mechanism will not apply where the proposed network involves railway or highway crossings or passes through forests, wetlands or reserve areas. In such cases, estimates will continue to be prepared after a physical inspection and assessment of technical feasibility.
Interest on security deposits
Another proposed amendment relates to interest payable on consumer load security deposits.
At present, APDCL pays interest based on the State Bank of India (SBI) base rate prevailing on April 1 each year. The draft amendment proposes replacing the SBI base rate with the Reserve Bank of India (RBI) bank rate.
According to APDCL, load security deposits are held as security against payment defaults rather than as borrowings, and linking the interest rate to a lending benchmark has imposed a disproportionate financial burden on the utility.
Consultation process
The draft regulations also introduce a new self-declaration form requiring applicants to confirm, among other things, lawful occupancy of the premises, installation of appropriate electrical protection devices, the absence of outstanding electricity dues, and that the internal wiring has been tested by a licensed electrical contractor.
Standard estimates have also been published as part of the draft amendments. The estimated cost of constructing a single span of LT line, including GST, has been proposed at Rs 47,271 for rural areas and Rs 68,802 for urban areas, based on a standard span length of 30 metres.
The Commission has invited comments from stakeholders until July 10, 2026. If approved, the proposals will become the Eighth Amendment to the Assam Electricity Regulatory Commission (Electricity Supply Code) Regulations, 2017.
The featured photograph is for representation only.
