Covid-19: Delhi extends subsidy on electricity, to pay for discoms' dues

The Delhi government also said it has approved "extension of existing electricity subsidy to domestic and agriculture, special subsidy to 1984 Sikh riots victims

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In a notice issued under the Section 65 of the Electricity Act, the Delhi government said it will pay 50 per cent of the subsidy amount for this quarter directly.

Shreya Jai New Delhi

3 min read Last Updated : Apr 22 2020 | 01:31 AM IST

Delhi on Tuesday said it will continue a subsidy offered on electricity for the current fiscal year as well. It also announced that it will pay 50 per cent of the subsidy amount for this quarter to the power distribution companies (discoms) to improve the cash flow.

In a notice issued under the Section 65 of the Electricity Act, the Delhi government said it will pay 50 per cent of the subsidy amount for this quarter directly. The other half will be paid to the two state-owned power generating companies and the transmission company, Delhi Transco Limited, to settle the dues of the discoms to them.

Delhi government pays subsidy amount to discoms annually and their dues are adjusted against