
Electricity bill is a major expense in the monthly budget of domestic consumers. Often when governments or power companies announce free electricity or huge tariff subsidies up to 100 to 125 units, many questions arise in the minds of consumers regarding the final amount of the bill. Many people are confused about how the state subsidy and slab structure are calculated in the domestic electricity billing system of Bihar State Power Holding Company Limited (BSPHCL)—under which NBPDCL (North Bihar) and SBPDCL (South Bihar) operate. If your monthly consumption is around 125 units, it is important to understand how the bill can go to zero or at what rate additional units are charged.
In Bihar, electricity consumption under the urban domestic category (Domestic Service – II) is mainly divided into three slabs:
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Slab 1 (1 to 100 units): The basic rate of Energy Charge in this primary slab is generally fixed at around ₹7.57 per unit, on which a direct subsidy of around ₹3.30 to ₹3.50 per unit is given by the Government of Bihar. Thus the consumer effectively has to pay around ₹4.20 to ₹4.27 per unit.
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Slab 2 (101 to 200 units): The basic rate on consumption falling in this range is around ₹8.96 to ₹9.00 per unit, on which the government gives a subsidy of around ₹3.30 per unit, making the effective rate around ₹5.60 to ₹5.68 per unit.
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Slab 3 (above 200 units): The effective rate increases by ₹6.00 per unit for every additional unit beyond 200 units.
If a total consumption of 125 units is recorded in your meter in a month, the electricity company does not charge a single rate for the entire 125 units, but divides it according to the slabs:
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Calculation of first 100 units:
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Calculation of next 25 units (101 to 125):
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Total Energy Charges:
Additionally, the bill adds two other key components:
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Fixed Charge: Depending on load (e.g. ₹40 to ₹50 per month at 1 kW).
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Electricity Duty / Tax: Fixed state tax on energy charges (about 6%).
When the provision of special relief or zero bill up to 100 or 125 units is invoked by the government, two columns are clearly visible in the bill:
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Gross Bill: In this, the full rate without subsidy and fixed charge is shown.
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Government Relief / Subsidy: The energy consumption allowance amount is reduced.
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If the consumption is within the prescribed limit and the entire relief scheme is in place, the Net Payable Amount comes to zero or only the minimum fixed charge.
The biggest confusion among consumers is whether the entire discount gets lost if more than 125 units are spent. Under Telescopic Billing System:
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If your consumption becomes 130 units, the concessional rate of Slab 1 will be applicable on the first 100 units.
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Only the top 30 units will attract the higher rate of Slab 2.
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However, if a scheme is notified under ‘condition-based free electricity’ (e.g. 100% rebate only up to 125 units), the burden of additional units may impact the overall bill once the limit is crossed. Therefore, it is beneficial to keep an eye on the meter reading every month.
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Discount on timely payment: BSPHCL gives an additional time bound rebate of 1% to 1.5% for paying the bill before time or online (Suvidha App or Digital Payment).
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‘Suvidha’ Mobile App: Consumers can download the official ‘Suvidha App’ of BSPHCL from Google Play Store and track every month’s bill breakup, slab details and daily consumption directly on their mobile.
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