Skip to main content

Delhi’s power subsidy policy helping rich more than poor

Delhi’s power subsidy policy helping rich more than poor


Delhi government's committment to provide power for households at subsidised rates is among the most generous in the country but due to carelessness and disorganization, it is helping rich more than the poor. As per Brookings India research paper, poor get subsidy of around Rs 1,000 per year on average since they consume less electricity, rich people often end up getting a benefit of around Rs 9,000.

This is because of the criteria of how much a household consumes, and presently the subsidy is given to those people whose units in month are not more than 400. Thus, around 80% of households qualify for the 50% subsidy paid with Govt's money. "Sometimes it go high to 95% of households. The middle class, enjoy more benefits of the power subsidy on a percentage basis than the poor. The lowest tier gets under 33% subsidy on net billing on an average, and those utilising just a little under the limit get over 40% net subsidy.

No doubt, Delhi is one of the richest states in the country and has the highest per capita power consumption rate for households. But the Govt. of Delhi is riding on the subsidy to keep tariffs in check. Other states do look for revisions of the policy as well as improving efficiency to reduce tariffs. Aam Aadmi Party government's 2016-17 budget provided Rs 1,600 crore for Delhi power subsidy. If you do the math, you will see that this figure is eight times more than allocation for the Smart City project, more than one-third of the total budget for medical and public health services and nearly 20% of the total budget allocated for education. Check here for Delhi electricity payment online: BSES bill payment online and pay NDPL bill online.

Subsidy given to undeserving consumers can be saved by simple tweaks in the rules, while still maintaining the subsidy for the deserving public.

As per the paper, if subsidy is lowered to consumption of 300 units per month from the current 400 units, almost 30% of the taxpayer will be saved, only about 13% will be reduced. And if subsidy goes down to 200 units a month, it will still cover over half the population (as compared to 80% in the present scenario) but two-thirds would be saved which makes it about Rs 1,000 crore per year.

Recent Posts

Popular posts from this blog

Nagarhole National Park Safari Booking Online

Nagarhole National Park Safari Booking Online There is good news for all wildlife enthusiasts and tourists who were appealing to the forest department to introduce online ticket booking system for safari in the Nagarahole national park. All wildlife enthusiasts and tourists wishing and requesting the forest department to begin online ticket booking system for safari in the Nagarahole national park would be happy to know that Nagarhole safari booking online is now active and fully operational. Nagarhole Safari Ticket Booking has been started to bring in more transparency as well as facilitating tourists to plan and book tickets for their safari in advance. It was a demand from the people at large, mostly from Bengaluru, Karnataka and neighbouring states like Kerala and Tamil Nadu who quite often visit the Nagarhole national park to start the online ticket booking system. Nagarhole National Park  Nagarahole (or Nagarhole) name is derived from a windy river named Nagara Ho

Lucknow Jal Sansthan Online Payment, Online Water Bill Payment Lucknow

Lucknow Jal Sansthan Online Payment, Online Water Bill Payment Lucknow Lucknow Jal Sansthan online Payment is now available from November 2016. To facilitate online payment of water and sewer taxes online, you can use the Lucknow Jal Sansthan's online portal from November. From this month, i.e November onwards, you can use the Lucknow Jal Sansthan online portal to facilitate people to pay their tax dues and arrears online and make e-payments faster without having to reach Jal Sansthan's zonal office for water tax payment. As per Jal Sansthan general manager S K Verma, "The portal facility would be launched initially from zone 8 to see the response and check the portal's performance. Soon, it will be launched across Lucknow." Zone 8 includes colonies on Rae Bareli Road and Sultanpur Road like Vrindavan Yojna, Telibagh, South City, and colonies near PGI, Ruchi, Rashmi and Rajni Khands, Eldeco Udyan II, etc. The Lucknow Jal Sansthan online portal is being ch

JKPDD Bill Sahuliyat Payment, Jammu and Kashmir Electricity Bill Payment

JKPDD Bill Sahuliyat Payment, Jammu and Kashmir Electricity Bill Payment How to Pay JKPDD Electricity Bill Otnline in Jammu and Kashmir? Power Development Department (PDD) is one of the Department of Jammu & Kashmir State Government which takes care for all functions related to transmission and distribution of electric power in the state. The generation sector is looked after by J&K State Power Development Corporation (JKSPDC), which was carved out of PDD in the year 1995. Jammu and Kashmir State comprises of three geographically and climatically distinct regions viz; Arctic cold desert areas of Ladakh, temperate Kashmir Valley and subtropical region of Jammu. Pay Electricity Bill Using JKPDD Website Visit the official website of JKPDD here - http://www.jkpdd.net/ Under Customer Services at the left of the screen, hover your mouse on Bill Payment link and click Make Payment. This url opens - https://www.billsahuliyat.jkpdd.net/ You can quickly pay electricity bill online Jammu