300 units of free power per month in Punjab from July 1
AAP government’s decision to put a burden of ₹4,000 cr on state exchequer, which is already bearing cost of ₹14,592 crore per annum as power subsidy
We have taken suggestions from the Kejriwal government. To make a ‘Rangla (vibrant) Punjab’, we will send our officers wherever good schemes are implemented. I will also go. BHAGWANT MANN, Punjab CM
CHANDIGARH: Punjab chief minister Bhagwant Mann on Saturday announced 300 units of free power a month for households in the state from July 1, but with a caveat that they will have to pay the full bill if their usage exceeds 600 units in two months. However, Scheduled Castes, backward classes, below-poverty-line households and freedom fighters will be charged just for the usage over and above 600 units.
“From July 1, 2022, each household in Punjab will get free electricity of 300 units a month. It will be 600 units for two months,” the chief minister said in a video shared on Twitter as his Aam Aadmi Party government completed one month in office. There would be no increase in the electricity tariff for industrial and commercial consumers, while free power to the farming community would continue.
We do what we say, says Kejriwal
The AAP has fulfilled its first poll promise in Punjab and it will not let lack of funds hinder the state’s progress, party national convener Arvind Kejriwal said, while congratulating CM Mann for his government’s decision. “Bhagwantji, many congratulations for this wonderful decision. We fulfilled our first promise. We do what we say. We don’t make false promises like other parties,” Kejriwal tweeted in Hindi.
He said the Punjab government will “save money” by ending corruption and take the state on the path of progress. In Punjab, an honest and patriotic government “with clear intentions” has come, Kejriwal added.
The decision will put an estimated additional burden of ₹4,000 crore on the state exchequer. The cash-strapped Punjab government already has a total financial burden of ₹14,592 crore per annum on account of subsided power to various categories, out of which, the subsidy bill on account of free electricity to the farming sector alone is around ₹6,800 crore. There is a subsidy bill of ₹4,000 crore because of the ₹3 per unit rebate in electricity tariff implemented by the previous Congress government and free power of 200 units to SC, BC, BPL families and freedom fighters and ₹3,000 crore for giving power to the industrial sector at ₹5 per unit.
The Punjab State Power Corporation Limited, like the state government, is in dire straits and buying power by taking short-term loans. According to a source in the power corporation, the PSPCL is under a debt of ₹25,000 crore. 84% domestic power consumers to benefit Mann said if electricity consumption exceeds 600 units in two months, then a consumer will have to pay for the entire power usage. But the Scheduled Castes, backward classes, below-poverty-line households and freedom fighters will be charged just for the usage over and above 600 units. “For example, if they consume 640 or 645 units, then they will pay for 40 or 45 units,” he said.
Punjab has a two-month billing cycle for power supply.
At present, SC, BC, BPL families and freedom fighters, comprising about 21 lakh consumers, get 200 units of free power each month. From July, they will get 300 units of free electricity monthly.
Mann also announced waiving of electricity bills pending till December 31, 2021 of those households having up to twokilowatt load.
The announcement of free electricity will benefit 84% domestic consumers. There are 73.8 lakh domestic consumers in the state, and the scheme will cover 62.25 lakh families. As per PSPCL estimates, with today’s decision, beneficiaries are expected to consume a total of 10,216 million units of power free.
Delhi connection to ‘Rangla Punjab’
In Delhi, the AAP government provides 200 units of free electricity to all households. “(AAP national convener) Arvind Kejriwal and I remember all promises made to the people of Punjab and we will fulfil them,” Mann said after giving away appointment letters to newly recruited engineers and employees in the Punjab State Transmission Corporation Limited (PSTCL).
Mann had met CM Kejriwal in Delhi on Tuesday to discuss the modalities of providing free electricity. Chief secretary Anirudh Tewari and PSPCL chairman-cum-managing director BS Sra were among the top officials called to Delhi for the meeting with Kejriwal. “We have taken suggestions from the Kejriwal government. To make a ‘Rangla (vibrant) Punjab’, we will send our officers wherever good schemes are implemented. I will also go,” Mann said in the five minute recorded message, adding his government will ensure round-the-clock supply in twoto-three years.