After intervention from the Chief Minister, the Finance Department has given its in-principle approval to the proposal from the Energy Department. This will save consumers over ₹540 crore. This will be a major relief once the official order is issued. The initial proposal had stipulated charging these consumers ₹75 per month for a minimum of three years. The state government will bear this amount and will reimburse the DISCOMs.
Meanwhile, the Energy Department has not yet been able to implement the guidelines for the new free electricity scheme, even though the state government released its formula on 27 March.
Scheme to be implemented soon
The government intends that consumers receive the full benefit of the new free electricity scheme. This is why there is agreement on not charging for smart meters. The scheme will be implemented soon. –Heeralal Nagar, Energy Minister
The new formula
Each domestic consumer will be provided with a 1.1 kW solar panel. The government will pay for this as a subsidy to the DISCOMs. This will generate up to 150 units of electricity per month, free for consumers. Implementation will be phased over three years, until March 2028. Until then, those who do not join the new scheme will continue to receive existing subsidy benefits.
Currently providing ₹6,200 crore in free electricity
The Rajasthan government is currently providing approximately ₹6200 crore annually in free electricity to domestic consumers. The maximum discount per consumer is up to ₹562.50. All registered domestic consumers are included in this scheme. A few months ago, Union Minister of New and Renewable Energy, Prahlad Joshi, who visited Jaipur, raised questions about states providing free electricity. Following this, the Rajasthan government formulated a new formula for free electricity.
Free electricity remains the focus
–Up to 150 units consumption: Smart meters will be installed for these consumers, and a fee of ₹75 was initially decided. This meant that even consumers with zero bills would have to pay a meter charge. No other charges would apply. Now, in the new proposal, the bill will remain zero. The government intends that when 150 units of free electricity are announced, no other charges should be levied. –Consumption above 150 units: These consumers will also not have to pay a meter fee. However, all such consumers will have to pay electricity duty, fixed charges, electricity duty, urban cess, and fuel surcharge. Currently, consumers consuming up to 200 units are not charged any other charges besides the electricity charge.