The state government has defaulted around Rs 4,000 crore to Punjab State Power Corporation Limited (PSPCL) as on November 15 this year for the subsidies committed on account of free or subsidised power to various consumers.
The government has estimated that the power subsidy payable to PSPCL would be Rs 15,845 crore during the current financial year and this amount includes Rs 6,947 crore on free power for the agriculture sector, Rs 2,503 crore for the industrial sector, and Rs.6,396 crore for domestic consumers. The domestic subsidy amount includes Rs 1,800 crore, the cost of providing 300 units free to domestic consumers during the nine-month period. The last years balance subsidy is Rs 9,020 crore and thus total estimated subsidy becomes Rs 24,865 crore. The pro-rata subsidy due on November 15 is Rs 16,310 crore. The cash payment given by government is Rs 9,712 crores. After book adjustment of ED and IFD, the balance due is Rs 3,985 crore. Notably, the state government has estimated that 61 lakh households out of 73.50 lakh domestic consumers whose bi-monthly usage is less than 600 units in the state and will get benefit of free 300 units every month.
Sources in power sector said nearly 90 per cent of domestic consumers were getting free power under the zero-bill scheme whereas the amount of subsidy dues were not being paid timely despite the fact that PSPCL is facing a crunch. Sources said PSPCL has taken a loan of Rs 2,500 crore this year. The various departments of Punjab government owe PSPCL more than Rs 2,300 crore. “The estimates are going haywire as there is significant increase in the number of households who are getting zero bill. About 75,000 households who had a single connection has now taken double connection,” said AIPEF spokesperson V K Gupta.
