Delhi power subsidy to continue, decides Cabinet

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Delhi power subsidy to continue, decides Cabinet

Wednesday, 16 April 2025 | Rajesh Kumar | New Delhi

The Delhi Cabinet on Tuesday approved the continuation of the power subsidy scheme for the 2025-26 fiscal, wherein the State Government provides free electricity to households with consumption below 200 units, and a 50 per cent subsidy to households that use 201-400 units a month.  The Cabinet also approved a proposal for the extension of its Electric Vehicle (EV) Policy by three months. The cabinet also discussed the draft of the proposed Electric Vehicles (EV) 2.0 Policy.

The Cabinet meeting, chaired by Chief Minister Rekha Gupta, also approved the continuation of existing power subsidy for four categories: Domestic consumers, farmers, lawyers with chambers, and victims of the 1984 anti-Sikh riots.

Announcing at a press conference at Delhi Secretariat, Power Minister Ashish Sood said the Cabinet okayed the continuation of electricity subsidies for four specific categories. The Minister said the subsidy for the 1984 riot victims and lawyers represent particularly significant and sensitive decisions of the BJP government.

Alleging misinformation by the Opposition, Sood asserted that false narratives were in circulation to claim that the Delhi Government planned to discontinue power subsidies. He asserted that today’s Cabinet decision to continue with power subsidies for all four categories puts an end to such ‘baseless propaganda’. The Cabinet decided to continue with the old EV Policy instead of approving draft of the new policy as the new EV Policy 2.0 is yet to be finalised.

Delhi Transport Minister Pankaj Kumar Singh clarified that discussions on the new EV 2.0 Policy is currently underway and that the existing EV Policy will continue to remain in force until the new policy is finalised. “Once the new policy is approved, it will be brought in the public domain,” he said.

The Transport Minister also pointed out the delays in disbursing existing EV subsidies by the previous Aam Aadmi Party Government, which he said had impacted public trust in EV-related incentives. The BJP Government is committed to addressing these gaps and ensuring a smoother, more transparent implementation going forward, he added.

“There are many things our Government wants to do for city residents, and we will incorporate those in the revised EV Policy. However, I want to make it clear that there will neither be a ban on autos, nor there is any proposal to ban any category of vehicles. The current EV Policy is expected to continue for the next three to four months,” he added.

Slamming the AAP leaders, Sood said that people must understand how certain ‘self-proclaimed unemployed leaders’ are deliberately spreading misinformation and making misleading statements. “While they continue to spread lies, the Delhi Government continue to work with focus and transparency. With today’s decision, the facts have become crystal clear,” he said.

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