Bengaluru residents are set to face a sharp increase in living expenses from April 1, with higher electricity tariffs and water charges coming into effect.
Officials said electricity tariffs across Karnataka are being revised by the Karnataka Electricity Regulatory Commission, mainly impacting industrial and commercial consumers. The hike follows revenue losses reported by power distribution companies, which sought revisions to offset deficits. The new rates for 2025-26 will increase costs across categories. In the city, water tariffs will also rise by 3 per cent, as announced by the Bangalore Water Supply and Sewerage Board, adding further pressure on household budgets.
Financial And Regulatory Changes Kick In
Alongside utility hikes, several financial and regulatory changes will take effect. PAN will now be mandatory for bill payments exceeding Rs 1 lakh at hotels and restaurants. Bengaluru has also been included in the list of cities eligible for 50 per cent House Rent Allowance benefits, along with four other cities.
Rail passengers will face stricter rules: ticket cancellations made within eight hours of departure will no longer be eligible for refunds. New labour codes mandate that an employee’s basic salary must constitute at least 50 per cent of the company's total cost, altering salary structures. Toll plazas will move to a fully cashless system, eliminating cash payments.
Toll Hike Adds to Commuter Burden
Motorists will see toll charges rise by 3 to 5 per cent across key routes. According to National Highways Authority of India officials, as quoted by The Bangalore Mirror, the hike is linked to the wholesale price index. Car users will pay an additional Rs 5 to Rs 10 per trip, while commercial vehicles will see increases between Rs 15 and Rs 40.
On the Bengaluru Mysuru Expressway, toll for cars travelling one way across two plazas will increase from Rs 345 to Rs 355. The annual toll pass fee has also been raised from Rs 3,000 to Rs 3,075 for 2026-27.
