Amid the rising prices of petrol, diesel, and LPG, there is good news for the people in Punjab. The Punjab government has decided to slash electricity rates for domestic consumers by Rs 3 per unit, which has come into effect from Monday.
Months ahead of assembly polls, the Punjab Cabinet on Monday decided to reduce the power tariff to domestic sector consumers having connected load up to 7 KW by Rs 3 per unit.
With this, 69 lakh domestic consumers out of the total 71.75 lakh are going to get the benefit, an official statement said.
The new rates will significantly lower the burden on consumers. Till yesterday, the rate was 4.19 rupees per unit till 100 units; with the changes announced today, it will be just 1.19 rupees per unit.
The state government has already waived off pending defaulting amount of consumers having connected load of less than 2 KW.
With this the government is going to bear an expenditure of Rs 1500 crore and it will benefit 15 lakh consumers, especially the poor.
As per the information, the rate of electricity for up to 100 units now will be Rs 1.19 per unit, from earlier Rs 4.19. For 100 to 300 units, the price will be Rs 4 per unit, which was earlier Rs 7 per unit. Apart from this, for more than 300 units, the rate of Rs 5 per unit will be charged.
The state government will reduce the power procurement cost
Making the announcement, Chief Minister Charanjit Singh Channi said, “the electricity that we have bought today is for Rs 2.65. When we did a survey, people told us that they do not want free but cheap electricity.”
The decision, that comes a few months before the assembly elections in the state, will cost the exchequer Rs 3,316 crore per annum.
CM Channi said, “We are reducing electricity rates by Rs 3 per unit for domestic consumers.”
Existing free power facility up to 1 KW to the Scheduled Caste, Other Backward Classes and the below poverty line (BPL) categories will continue.
It is a “big Diwali gift” for people, he said, adding that the decision will come into effect immediately and put an additional burden of Rs 3,316 crore per year on the exchequer.
He said according to a survey conducted by his government, people wanted quality and cheap power.
“People of Punjab do not want anything free. They want quality power at cheaper rates,” he said while quoting the survey.