No Electricity Bill Payment on UPI Apps, Use Only TGSPDCL App – RBI

Hyderabad: Southern Power Distribution Company of Telangana Limited (TGSPDCL) has requested consumers to make the monthly current bill payments through the TGSPCDL Website/TGSPDCL Mobile app. In a post on X, the company stated that payment service providers such as PhonePe, Paytm, Amazon Pay, Google Pay, and Banks have stopped accepting the electricity bills of TGSPDCL as per the RBI directions from July 1.

TGSPDCL post on X as

Dear Consumers, As per the RBI directions, the Service Providers viz., PhonePe, Paytm, Amazon Pay, Google Pay and Banks have stopped to accept the electricity bills of TGSPDCL w.e.f. 01/07/2024. Hence, all the consumers are requested to make the monthly current bill payments through TGSPDCL Website/TGSPDCL Mobile App please.

Dear Consumers, As per the RBI directions, the Service Providers viz., PhonePe, Paytm, Amazon Pay, Google Pay and Banks have stopped to accept the electricity bills of TGSPDCL w.e.f. 01/07/2024. Hence, all the consumers are requested to make the monthly current bill payments…
— TGSPDCL (@tgspdcl) July 1, 2024

The Reserve Bank of India (RBI) has issued guidelines prohibiting the payment of electricity bills through Unified Payments System (UPS) apps. This measure is part of broader regulatory actions aimed at streamlining and securing financial transactions within the digital payment ecosystem.

Key Points of the Guideline:

Prohibition on Specific Transactions: The RBI has specified that electricity bill payments should no longer be processed through UPS apps. This directive may be aimed at addressing security concerns or operational issues associated with such transactions.
Impact on Users: Users who previously relied on UPS apps for electricity bill payments will need to switch to alternative payment methods, such as direct bank transfers, using the utility company’s website, or other authorized payment platforms.
Compliance for Payment Service Providers: Payment service providers, including major UPS app operators, must comply with this guideline by disabling the feature for electricity bill payments and notifying users about the change.
Enhanced Security Measures: The RBI’s guideline may also be part of broader efforts to enhance the security and reliability of digital payment systems, ensuring that critical services like electricity bill payments are handled through channels that meet stringent security standards.

Steps for Users:

Switch to Alternative Methods: Users should explore and transition to alternative methods for paying their electricity bills, such as net banking, utility websites, or other digital wallets that comply with RBI regulations.
Stay Informed: Keep an eye on official communications from the RBI and their payment service providers for updates and detailed instructions regarding compliance with the new guidelines.
Ensure Timely Payments: Make sure to update any saved payment details or schedules to avoid missing bill payments due to the transition away from UPS apps.

Possible Reasons for the Guideline:

Security Concerns: To prevent potential fraud or unauthorized transactions.
Operational Efficiency: To streamline payment processing and ensure reliability.
Regulatory Compliance: To align with broader regulatory frameworks and policies governing digital payments.

By following the RBI’s guidelines, users and service providers can contribute to a more secure and efficient digital payment environment.