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LT-A, LT-E, LT-C — which category are you on?

April 26, 202611 min readTariff, Categories

A side-by-side comparison of Bangladesh's low-tension tariff categories — homes, shops, and small factories — with real worked examples.

At the top of every DESCO or DPDC bill is a small code printed: LT-A, LT-B, LT-C1, LT-D1, or LT-E. That code is your consumer category, and almost everything else on the bill depends on it: slab structure, rates, eligibility for time-of-use billing, and how demand charge is calculated. Yet most customers stay on whichever category the contractor ticked at signup and never look at it again.

What the LT prefix means

LT stands for low tension: a connection at 230 V single-phase or 400 V three-phase. Almost every home, shop, and small factory in Bangladesh sits here. MT (medium tension) connections use 11 kV and HT (high tension) connections use 33 kV and have completely separate tariff schedules.

Inside LT, the suffix is about the type of consumer, not the size. So the first thing to check: does your category actually match how you use electricity at that address?

Each category, broken down

LT-A: Residential

LT-A is the tariff for homes. The lifeline rate of ৳4.63 per kWh applies only when total monthly use is at most 50 units. Above 50 units, the first 75 units cost ৳5.26 each, units 76–200 cost ৳8.50 each, and higher slabs follow. Demand charge is ৳42 per kW per month. A business at the same address may need LT-E for commercial use or LT-C1 for small industry; ask the utility to confirm the appropriate category.

LT-B: Irrigation and agricultural pumps

LT-B is for irrigation and agricultural pumps, at a flat ৳6.04 per kWh and a demand charge of ৳42 per kW per month. Small factories belong under LT-C1, not LT-B. A residential customer should never be on LT-B; if you find yourself there, dig out the application paperwork.

LT-C1: Small industry; LT-C2: Construction

LT-C1 is for small industry. Its flat rate is ৳12.73 per kWh, with TOU rates of ৳11.45 off-peak and ৳15.27 peak; demand charge is ৳48 per kW per month. LT-C2 is a separate construction category at ৳18.09 per kWh and ৳120 per kW per month. Shops and offices belong under LT-E, not LT-C1 or LT-C2.

LT-D1, LT-D2 and LT-D3: Special purposes

LT-D1 covers education, religious and charitable institutions and hospitals, at ৳9.05 per kWh and ৳60 per kW per month. LT-D2 covers street lights and water pumps, at ৳11.46 per kWh and ৳90 per kW per month. LT-D3 covers EV and battery charging stations: flat ৳11.36, off-peak ৳10.22, super-off-peak ৳9.09 and peak ৳14.20 per kWh, with a demand charge of ৳90 per kW per month.

LT-E: Commercial and office; LT-T: Temporary

LT-E is for shops, restaurants, salons, pharmacies and offices. Its flat rate is ৳15.36 per kWh, with TOU rates of ৳13.82 off-peak and ৳18.43 peak; demand charge is ৳90 per kW per month. LT-T is for temporary connections, not industry: ৳23.81 per kWh and ৳120 per kW per month.

Worked examples

Example 1: a 200-unit household

On LT-A the energy cost is 75 × 5.26 + 125 × 8.50 = ৳1,457, before demand charge and VAT. The same 200 units on LT-E at the flat rate cost 200 × 15.36 = ৳3,072. If a home is registered as commercial, its energy cost is more than double.

Example 2: a 350-unit small shop

On LT-E at the flat rate the energy cost is 350 × 15.36 = ৳5,376. If the same usage were mistakenly filed as LT-A, the energy cost would be 75 × 5.26 + 125 × 8.50 + 100 × 9.10 + 50 × 9.62 = ৳2,848. It looks like a saving on paper, but the utility can correct the category and recover the difference with penalties. Always file according to actual use.

Example 3: a 1,200-unit small factory

Small factories belong on LT-C1. For 1,200 units the flat energy cost is 1,200 × 12.73 = ৳15,276. If all 1,200 units are used off-peak on a TOU meter, the energy cost is 1,200 × 11.45 = ৳13,740 — a saving of ৳1,536, about 10% against the flat rate. Demand charge and VAT are extra. Turn TOU on in the calculator and check the difference.

How to verify or change your category

Find the category code in the header of your latest bill. Compare it to how the address is actually used. If the two don't match, file a category-change application at the zonal office. You'll need a trade licence for commercial, registration for institutions, and a rental agreement for residential. The change usually takes effect from the next billing cycle, with any backward adjustment showing up as a credit or debit line.

For the latest rate tables and slab boundaries, our tariff explorer updates with every revision. Before challenging a bill, compare your bill's printed figures with the latest published schedule.

What happens with mixed use

In real life many addresses host both home and business: a shop in the front room, a family in the back. The category choice gets a bit tricky.

  • Separate meters are the safest route: LT-E for the shop, LT-A for the home. Two independent meters cost more to install, but you keep both categories' benefits separately in the long run.
  • On a single meter with dual use, the utility usually files under the commercial category (LT-E). If an audit catches it, the rate difference can be recovered for up to six months in arrears.
  • When circumstances change — a shop closes, a business starts — update the paperwork too. Applications at the utility office settle in about three weeks.

A three-minute category check can save thousands of Taka a year. The wrong category over-charges, and being on the right one is your strongest shield in an audit. Look at the code on your next bill, compare it with what's actually happening at the meter, and keep a copy of the application paperwork. The category line is small, but it does more work on your bill than any other number.

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