Sanctioned Load Explained: How Connected kW Impacts Fixed Charges & Penalties
What is sanctioned load on an Indian electricity bill? Understand fixed charges per kilowatt (kW), peak demand penalties, and when you need to apply for load enhancement.
Table of Contents
Your electricity bill consists of two major components: variable energy charges (per unit consumed) and fixed demand charges (per kW of sanctioned load).
1. What is Sanctioned Load?
Sanctioned load is the maximum electrical power (in kW or kVA) that your electricity distribution company (DISCOM) has authorized your connection to draw at any given moment.
2. What Happens if You Exceed Sanctioned Load?
If your smart meter records a Maximum Demand Indicator (MDI) higher than your sanctioned limit during summer (e.g. running 2 ACs simultaneously on a 2 kW load):
- DISCOMs levy penalty demand charges (often 2x the standard fixed charge).
- Continuous overdraw can lead to automatic load regularization notices with additional security deposit demands.
Check your tariff order fixed charges using our Universal Bill Calculator!
Found this helpful?
Share this guide with neighbors and family to help them cut electricity waste.
Mehedi
Chief Editor & Lead Systems AdminSenior energy analyst leading the editorial team across all-India state electricity regulatory commission (SERC) tariff orders, subsidy updates, and billing algorithm audits.