Delhi Government on Monday decided to continue its targeted subsidy linked to limited consumption of power for domestic consumers and agreed to provide subsidised power to agricultural consumers in the city.
The decision was taken at a Cabinet meeting presided over by Chief Minister Sheila Dikshit.
Briefing the media after the cabinet meeting, Ms. Dikshit said the targeted subsidy of Re 1 per unit for all domestic consumers restricting their consumption in off—peak or peak months would continue.
The government has been giving the subsidy to all domestic consumers who restrict their monthly consumption up to 150 units during the off-peak months of February, March, April, September, October and November while consumption limit to get the benefit is 200 units during peak demand months of May, June, July, August, December and January.
The decision to continue with the scheme will cost the state exchequer Rs. 142 crore. Officials said the decision would benefit around 20 lakh domestic consumers.
The subsidy scheme had expired on May 30 and government today decided to continue it from June one to March 31, 2011.
The scheme was first introduced in the year 2008.
“We have decided to continue the targeted subsidy to certain categories of domestic consumers and special subsidy to agricultural consumers up to March 31, 2011,” Ms. Dikshit said.
She said the decision was taken to continue providing relief to poor sections of the society.
Ms. Dikshit said the existing subsidy to agricultural consumers on power consumption has also been extended till March, 31, 2011.
The agricultural consumers are getting power at Rs. 1.55 per unit, less than the normal rate. The estimated financial implication on account of the special subsidy will be around Rs. 1.50 crore.