SRINAGAR, September 26, 2026 – The Jammu and Kashmir Government has announced that the recently implemented power tariff hike is projected to generate an additional ₹251 crore for power distribution companies (DISCOMs) during the financial year 2026-27. Responding to a formal query raised by MLA Irfan Hafiz in the Legislative Assembly, the administration clarified that the tariff revision was executed by the Joint Electricity Regulatory Commission (JERC) following a comprehensive assessment of the DISCOMs’ annual revenue requirements and operational expenses. Defending the move, the government stated that the hike was “long overdue” and strictly necessitated to bridge the widening financial gap between the average cost of power supply and the actual revenue realized per unit. The administration emphasized that the revision followed a standard regulatory framework wherein DISCOMs filed formal petitions before the JERC, ensuring that stakeholder consultations were integral to finalizing the new tariff order.
Despite the anticipated increase in revenue collection, the overall financial burden on the state exchequer remains massive. The government revealed that it will still have to shoulder a burden of more than ₹14,500 crore in the form of power subsidies just to offset the substantial revenue deficit faced by the DISCOMs. However, in a significant relief for economically vulnerable sections of society, the government categorically assured the House that there has been absolutely no increase in the subsidized power tariffs for Antyodaya Anna Yojana (AAY) and Below Poverty Line (BPL) consumers under the new 2026-27 tariff order. Addressing the persistent issue of mounting unpaid electricity bills, the government noted that a proposal to reintroduce a Power Amnesty or a one-time settlement scheme, which would allow consumers to clear their long-pending dues, is currently being actively examined on its merits. The sheer scale of these pending liabilities was laid bare before the Assembly, with total outstanding power dues standing at a staggering ₹8,583.05 crore. A detailed departmental breakdown showed that domestic consumers account for the largest share of unpaid bills at ₹4,385.41 crore, followed by commercial consumers owing ₹1,727.51 crore, while various UT and Central Government departments themselves have accumulated pending electricity dues amounting to ₹2,470.13 crore.
Published by True Roots Media Network