The Jammu and Kashmir government expects the recent 6.83 per cent power tariff increase to generate additional revenue of Rs. 2.51 bn during the current financial year, while it will continue to bear more than Rs. 45 bn in subsidies for power purchases. The figures were provided by the Power Development Department (PDD) in a written reply to the Legislative Assembly.

The reply was submitted in response to a question raised by MLA Sajjad Gani Lone. The tariff revision, notified by the Joint Electricity Regulatory Commission (JERC), covers transmission and distribution charges, along with operation and maintenance expenses. The department said the revision was necessary to meet the Annual Revenue Requirement of distribution companies (DISCOMs).

The PDD said the additional revenue was a tentative estimate for 2026-27 and would be realised by DISCOMs following the JERC-approved revision. It also reported that domestic consumers in Kashmir generated Rs. 14.56 bn in 2025-26, including Rs. 8.6 bn from metered consumers and Rs. 5.96 bn from flat-rate consumers. In 2024-25, total domestic revenue stood at Rs. 12.38 bn.

Revenue collected during the current financial year up to August 2026 was Rs. 5.48 bn. Metered consumers accounted for Rs. 3.83 bn, while flat-rate consumers contributed Rs. 1.65 bn. Government departments collectively owed Rs. 43.85 bn in outstanding electricity bills, with the Public Health Engineering Department accounting for Rs. 14.76 bn.

The Power Development Corporation had arrears of Rs. 221.6 mn, while the Central Reserve Police Force owed Rs. 3.44 bn and the Home Department had unpaid dues of Rs. 2.98 bn. The government also said its commitment to provide 200 units of free electricity to eligible AAY households would be implemented through a RESCO-based rooftop solar scheme. Under the scheme, 2 kW systems will be installed through the PM Surya Ghar Muft Bijli Yojana. Implementation is currently at the tendering stage, with benefits to begin after installation.