'Delhi govt ignored advice to restrict power subsidy', L-G swings into action

Raj Niwas officials said the chief secretary’s report is a part of a detailed report dated December 19, 2022, submitted to the LG after a complaint related to the non-payment of outstanding dues by discoms.

The Delhi power department in 2020 kept in abeyance “statutory advice” by the Delhi Electricity Regulatory Commission (DERC) to provide domestic power subsidy only to consumers using 1-3KW or 1-5KW of power, a report submitted by chief secretary Naresh Kumar has said.

The report, which was given to lieutenant governor (LG) VK Saxena and chief minister Arvind Kejriwal recently, says the move would have covered nearly 95% consumers availing subsidies, and could have saved the exchequer ₹200-316 crore per year. (PTI)

The report, which was given to lieutenant governor (LG) VK Saxena and chief minister Arvind Kejriwal recently, says the move would have covered nearly 95% consumers availing subsidies, and could have saved the exchequer ₹200-316 crore per year, officials in the LG office said on Friday.

Saxena has now asked the chief secretary to direct the power department to place the statutory advice of DERC before the council of ministers and decide the matter within 15 days, they said.

In 2019, the Aam Aadmi Party government announced it will provide 200 units of electricity per month for free to consumers as the government will pay the discoms for it. The AAP promised that it will continue the subsidies when it comes back to power in 2020, and accordingly, the subsidies have continued.

Raj Niwas officials said the chief secretary’s report is a part of a detailed report dated December 19, 2022, submitted to the LG after a complaint related to the non-payment of outstanding dues by discoms.

According to the officials, following Kumar’s report, Saxena in a note said, “The record of the file shows that the (power) department placed the statutory advice of DERC before the power minister for appropriate action. However, the then power minister (Satyendar Jain, currently in Tihar jail) decided to continue with the existing policy (unrestricted subsidy). The existing policy for granting electricity subsidy was decided by the council of ministers. Therefore, as per Rule 7 read with Entry 19 of the Schedule of ToBR (Transaction of Business Rules), the statutory advice of the DERC proposing to review existing policy of the government involving saving of the government revenue should have been placed for consideration and decision of the council of ministers.”

HT has not seen the chief secretary’s report or the note written by the LG.

In a statement, the AAP said that the “LG has once again violated the Constitution and Supreme Court directives by illegally issuing the order regarding the power subsidy”. “

Power department officials did not comment on the development despite requests.