FREE DELHI ELECTRICITY IS NO MORE SUBISIDIZED?
In an effort to make electricity more affordable for consumers in Delhi, the state government introduced an electricity subsidy program in 2019. The program aims to provide financial relief to residents of Delhi who use less than 400 units of electricity per month, which covers the majority of households in the city.
Under the subsidy program, eligible consumers receive a subsidy of Rs. 200 per month for electricity usage up to 200 units, and Rs. 400 per month for usage between 201 and 400 units. This means that eligible consumers can receive a maximum subsidy of Rs. 4,800 per year.
The program is funded by the Delhi government, and the cost is estimated to be around Rs. 1,800 crore per year. The subsidy is applied automatically to eligible consumers’ electricity bills, and there is no need for consumers to apply for the subsidy separately.
The introduction of the electricity subsidy program in Delhi was welcomed by consumers and consumer advocacy groups, who had been calling for more affordable electricity rates for years. Prior to the introduction of the subsidy, electricity rates in Delhi had been rising steadily, and many consumers were struggling to pay their bills.
The subsidy program has been successful in providing financial relief to eligible consumers, and it has helped to make electricity more affordable for households in Delhi. The program has also been praised for its simplicity and ease of use, as the subsidy is applied automatically to eligible consumers’ bills.
However, the subsidy program has also faced criticism from some quarters. Some critics have argued that the program is not targeted enough, and that it provides subsidies to consumers who may not necessarily need them. Others have argued that the program is not sustainable in the long term, as the cost of the subsidy is borne by the Delhi government.
Despite these criticisms, the electricity subsidy program in Delhi has been successful in providing financial relief to eligible consumers, and it has helped to make electricity more affordable for households in the city. The program has also helped to reduce the financial burden on low-income households, who are often the hardest hit by rising electricity rates.
Moving forward, the Delhi government will need to carefully consider the long-term sustainability of the subsidy program, and it will need to explore other options for making electricity more affordable for consumers in the city. This may include investing in renewable energy sources, such as solar power, which could help to reduce the cost of electricity production in the long term.
Overall, the introduction of the electricity subsidy program in Delhi has been a positive step towards making electricity more affordable for consumers in the city. The program has provided much-needed financial relief to eligible consumers, and it has helped to reduce the financial burden on low-income households. While there are some concerns about the sustainability of the program, the government’s commitment to making electricity more affordable for all consumers is a positive development for the city.
- The Issue
The office of Delhi Lieutenant Governor VK Saxena announced on Friday that the extension of the power subsidy programme for the years 2023–2024 had been granted after the AAP administration accused the LG of holding up the process.
The national capital’s almost 46 lakh residents would no longer receive power subsidies starting on Friday, according to Delhi’s power minister Atishi, because lieutenant governor VK Saxena has “yet to clear the file to extend the subsidy to consumers.”
The Lt. Governor’s office, however, claimed that Saxena had approved the renewal of the power subsidy and accused Atishi of making untrue claims.
The minister claimed that she had requested a meeting with Saxena over the matter but that no response had been received in the most recent dispute between the local government and the LG office.
“Starting today, we will discontinue providing subsidies to 46 lakh people. People will start receiving inflated bills without subsidies on Monday, she stated at a press conference in Delhi.
The extension of the power subsidy for the years 2023–2024 has been agreed by the Delhi Cabinet, according to the minister, but the paperwork is still pending at the LG office.
“We can’t provide subsidy till the file is authorised. Even though I requested time from the LG office to discuss the issue, more than 24 hours have passed and I still haven’t received it. Additionally, the file has not yet been returned, she claimed.
According to Atishi, the material was sent a few days ago, and a reply is still pending.
“The Vidhan Sabha has approved the budget for this assistance. We are unable to use the money that the government has set aside for subsidies, she stated.
An LG House representative responded to her claims by saying, “The power minister is instructed to avoid from needless politicking and baseless false allegations against the LG. She needs to quit.
presenting false information to the public. She and the CM should, if possible, explain to Delhi’s citizens why a decision in this matter was delayed until April 4 when the deadline was April 15. On April 11, why was the file delivered to LG? What was the necessity for a news conference today followed by a letter-writing spectacle on April 13?
