He further said that the bulk supply is given to BSF, Indian Railways, CPWD and other central government entities besides big industry. “If any policy decision has to be taken, it will taken at the top level and will be for all bulk consumers,” he said.The free electricity scheme of 300 units has led to a surge in domestic connections, raising consumption and projected subsidy costs, thus risking PSPCL’s financial stability. The number of domestic electricity connections has increased by 80,000 after this scheme was launched in 2022. Before the launch of this scheme, the corporation had approved 5.5 lakh new domestic electricity connections between 2020 and 2022 but the number rose to 6.27 lakh between 2022 and 2024.The average annual rise in new connections used to be around 2.2 lakh, but the introduction of the free electricity scheme saw 3.65 lakh new connections in 2022-23, followed by 2.63 lakh in 2023-24. It is estimated that nearly one lakh of these new connections are “split connections” apparently created to take advantage of the 300-unit subsidy, said sources.When this scheme was launched, 63 lakh out of 74.6 lakh consumers were using less than 300 units of electricity per month. The number of domestic consumers with zero bills has since surged, climbing from 67.53 per cent in August 2022 to 89 per cent by the end of the 2022-23 financial year. The PSPCL data shows that domestic power usage reached 17,510 million units in 2022-23.The state government is hard pressed to pay the power subsidy to PSPCL due to its own poor fiscal health. Till November 13, the government could only pay Rs 4,508.2 crore to PSPCL out of the total subsidy due to be paid by it for free domestic power. Of the total subsidy bill of Rs 20,477 crore, Rs 11,401.26 crore has been paid. In this month, besides the subsidy of Rs 200 crore paid to the corporation, the state government has given them a grant-in-aid of Rs 2,387 crore.It is estimated that the total domestic power subsidy bill of the state government is already expected to be Rs 8,785 crore, an increase of Rs 1,550 crore over the last financial year.
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