Delhi government revises power, users to get Rs 100 rebate

According to government data, about 25% of the 47 lakh domestic consumers have a monthly consumption of up to 100 units

New Delhi

Tweaking its previous subsidy pattern of giving a flat 50% discount on energy consumption of up to 400 units, the Cabinet approved a flat Rs 2 per unit subsidy for any domestic consumer who consumes up to 400 units a month.(HT File Photo)

The Delhi government on Wednesday revised its subsidy on electricity bills of domestic consumers, a month after the Delhi Electricity Regulatory Commission (DERC) changed the city’s power tariff structure.

Tweaking its previous subsidy pattern of giving a flat 50% discount on energy consumption of up to 400 units, the Cabinet approved a flat Rs 2 per unit subsidy for any domestic consumer who consumes up to 400 units a month. “The government will also give an additional subsidy of Rs 100 per month on fixed charges for those who consume up to 100 units a month. The cumulative subsidy will benefit 41 lakh domestic electricity consumers of Delhi and their monthly savings will increase,” said power minister Satyendar Jain.

However, even after the subsidy, a majority of consumers will see a marginal increase ranging from Rs 18 to Rs 91 in their monthly power bills. The government decided to give an extra Rs 100 subsidy to those consuming the lowest amount of electricity as they too, like others, were paying extra on fixed charges as per the revised tariff schedule issued by the DERC on March 28.

According to government data, about 25% of the 47 lakh domestic consumers have a monthly consumption of up to 100 units. “They were paying Rs 105 extra as fixed costs which after the subsidy will come down to Rs 5. Those who have a sanctioned load of 1 kW and consume up to 200 units will get a reduction between Rs 18 and Rs 117 in their bills. Others, will see a marginal increase,” a government official said.

The Cabinet approved a budgetary allocation of Rs 1,830 crore for giving out the electricity subsidy in 2018-19. “Discoms continue to owe around Rs 8,000 crore to Delhi government owned DTL and IPGCL-PPCL, therefore, the subsidy amount will be credited to these government owned utilities,” a statement from the government said.

The Cabinet also decided that the government would ask the DERC to conduct a special
audit of subsidy amount through an external auditor to ensure its actual passage to the consumers.