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Saturday, December 5th, 2020

Rs. 5500 crore power subsidy for farmers

power subsidyINVC NEWS Bhopal, The state cabinet at its meeting chaired by Chief Minister Shri Shivraj Singh Chouhan here today decided to provide Rs. 5500 crore subsidy during year 2015-16 to provide farmers a cushion against burden of electricity tariff increase. This will benefit about 18 lakh 50 thousand farmers. For other sections, subsidy worth Rs. 300 crore will be given to power distribution companies. Thus, total subsidy will amount to Rs. 5800 crore this year. The cabinet decided to supply power free of cost to SC and ST agriculture consumers possessing upto one hectare of land using pump set upto 5 horsepower. This will benefit about 4.50 lakh farmers. The cabinet decided to continue subsidy of 90 paise per unit for domestic consumers consuming upto 30 units per month. It was decided to realise Rs. 1200 electricity bill per horsepower annually from agriculture consumers having permanent power connections. The state government will bear entire burden of gap between rates fixed by Electricity Regulatory Commission and rates payable by agriculture consumers. Subsidy at the rate of Rs. 1 and 75 paise will be given to agriculture consumers having temporary power connections. The state government will bear entire burden of fuel cost adjustment in case of agriculture consumers of both permanent and temporary categories. The cabinet decided to give 95 paise per KW subsidy per month on fixed cost of low-tension streetlights in Nagar Palikas and Nagar Panchayats. It was also decided to exempt high tension lift irrigation/group irrigation projects from annual minimum charge. Subsidy of 190 paise per unit will also be given on energy charge. The cabinet decided to supply power free of cost to single-point electricity connection consumers of BPL category belonging to scheduled castes and tribes. The cabinet decided to issue electricity bills based on actual consumption to powerloom consumers upto 25 horsepower. These consumers will also be given Rs. one and 25 paise subsidy on energy duty. Subsidy to powerloom consumers will be given by Commerce, Industries and Employment Ministry.

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