State set for more subsidy to PSEB
Jangveer Singh
Tribune News Service

Chandigarh, August 31
Punjab is set to make provision in Budget for more subsidy to the Punjab State Electricity Board (PSEB) to continue supplying free power to farm sector.

The state had provided for Rs 2,600 crore in Budget for subsidy to the PSEB on account of free power to farmers for tube wells, but now with it has gone up to Rs 3,140 crore following rise in cost of power from April this year.

Finance Minister Manpreet Singh Badal said on the issue though budgetary provision had been made for the PSEB; it could be revised when needed. “We have four quarterly meetings to review allocations to various departments. These could go up or down,” he added.

Manpreet, referring to the PSEB subsidy, said, “We have to jack it up whenever the Cabinet decides so,” adding “we have received a letter from the PSEB explaining the issue”. He said the government was making releases every month to the PSEB and these releases could be enhanced when needed, adding, “The PSEB is ours and will be looked after by the state”.

Though the government is keen on increasing the subsidy to ensure free power to farmers, it is yet to write to the PSERC in this connection. Commission Secretary Namita Sekhon said confirmation in this regard had not come in. It has held up its order on the tariff to be enforced this financial year because the government has not committed itself on this score.

Meanwhile, a former Chief Engineer of the PSEB today moved a petition claiming statutory provisions were required to be ensured while deciding the subsidy issue. Petitioner Padamjit Singh said the Electricity Act made it mandatory for the government to ensure budgetary provision for the subsidy due to the PSEB. He said besides this, the Act also made it mandatory for the government to provide advance payment of subsidy in quarterly instalments.

The petitioner claimed instructions for subsidy would become null and void in case the advance payment was not ensured.