After AAP face-off, L-G clears Delhi power subsidy file: Reports
Following a face-off between the Aam Aadmi Party (AAP)-led Delhi government and Lieutenant Governor (L-G) VK Saxena, the latter on Friday reportedly cleared a file to extend the government's power subsidy scheme. Delhi Power Minister Atishi earlier on Friday said the subsidy provided on electricity bills would be discontinued with immediate effect, claiming Saxena had not approved the extension for the year 2023-24.
Why does this story matter?
The showdown over subsidized electricity for nearly 46 lakh people is the latest episode in the tug-of-war between the AAP and Delhi's L-G. While Saxena accuses the AAP of misusing public funds, the party accuses him of impeding its development work at the Bharatiya Janata Party (BJP)-led Centre's direction. In January, the AAP accused Saxena of withholding its proposal for teacher training in Finland.
L-G not giving appointment to discuss power subsidy: Atishi
Earlier on Thursday, Atishi alleged that Saxena was not giving her an appointment to discuss the power subsidy. She had claimed that the L-G and the BJP were "conspiring" to stop the AAP's free electricity scheme. The L-G's office, on the other hand, had called Atishi's claim "false and misleading" and stated her appointment request, which was received on Thursday, was under "active consideration."
Here's what AAP posted earlier on Friday
Issue started over DERC's recommendations
The tussle reportedly started on March 10, when Saxena ordered the Delhi Electricity Regulatory Commission's (DERC) statutory advice to be presented before the Delhi cabinet. The DERC's recommendation was to continue the subsidy for consumers with up to 5 kilovolts (KV) of sanctioned load, a move that could have saved the exchequer Rs. 200cr annually by covering nearly 95% of total consumers receiving subsidies.
AAP called it attempt to discontinue power subsidy
The AAP government said Saxena's move was an attempt to end the power subsidy. It also claimed the DERC later took back its advice because it was beyond its mandate to give advice on power subsidies. Meanwhile, hours after Atishi's allegations on Friday, reports said the L-G office approved the power subsidy extension. However, an official confirmation is awaited (at the time of writing).
Rs. 3,250 crore allocated for power subsidy for 2023-24
The L-G's reported decision to extend the AAP government's power subsidy on Friday will benefit 46 lakh domestic consumers who receive free electricity on monthly consumption of up to 200 units. Furthermore, from 201 to 400 units, the bill is subsidized by 50% and capped at Rs. 850. Moreover, a budget of Rs. 3,250 crore has been allocated for power subsidy for 2023-24.
