Step 1: Understanding the Concept
Only about 10 percent of energy passes from one trophic level to the next, the rest is lost as heat.
Step 2: Check each statement
Energy is lost as heat at each step, so (A) is true.
Shorter food chains have less loss, so (B) is true.
The pyramid of energy is always upright, so (D) is true.
Step 3: Find the incorrect one
Energy decreases from producers to consumers, so (C) saying it increases is incorrect.
Final Answer:
The incorrect statement is that energy increases from producers to consumers.
\[ \boxed{\text{(C) }\text{Energy increases while passing from producers to consumers.}} \]