Avinash Azad
In response to a query by MLA Tanvir Sadiq regarding allegations of excessive electricity bills causing financial distress to consumers, the Jammu and Kashmir government has denied such claims.
The government stated, “No, it is not a fact that consumers have been served with excessive electricity bills causing financial distress.” It emphasized that Distribution Companies (DISCOMS) issue bills based on actual electricity consumption for metered consumers in line with the tariff order set by the Joint Electricity Regulatory Commission (JERC). For unmetered or flat-rate consumers, billing is also conducted according to the JERC tariff. Consumers who encounter billing issues are encouraged to lodge grievances, which are addressed based on the merits of each case.
Smart Metering Program to Reduce AT&C Losses
The government highlighted ongoing efforts to improve metering and reduce Aggregate Technical and Commercial (AT&C) losses. Currently, only 60% of consumers in J&K are metered, while the remaining 40% are charged on a flat-rate basis, contributing to higher AT&C losses.
To address these issues, DISCOMS are conducting calibrated load rationalization based on actual electricity usage and connected loads to ensure compliance with the Electricity Supply Code regulations.
The government is also implementing a smart metering program in mission mode. So far, approximately 7 lakh smart meters have been installed out of a total consumer base of 22.4 lakhs. The goal is to achieve 100% smart prepaid metering by 2025-26 under the ongoing Revamped Distribution Sector Scheme (RDSS). According to the government, smart meters provide accurate electricity measurements while eliminating human errors associated with manual meter readings.
Economic Uncertainty Not Affecting Bill Payments, Says Government
Addressing another query by MLA Tanvir Sadiq regarding whether economic uncertainty is preventing consumers from paying their electricity bills and causing significant outstanding debts, the government refuted the claim.
“No, it is not a fact that economic uncertainty or sluggishness is causing a majority of consumers to be unable to pay their bills, resulting in huge outstanding debts,” the government asserted. J&K offers one of the lowest electricity tariff rates across various categories, reflecting its commitment to providing affordable electricity. The government has taken steps to streamline the billing and collection systems, enhancing accuracy and raising consumer awareness.
These efforts have led to a significant reduction in AT&C losses, which dropped from 62% in 2020-21 to 40% in 2023-24. The government credits this improvement to better billing and collection efficiencies and increased consumer awareness, particularly in areas with smart metering. DISCOMS actively encourage consumers to pay their dues on time to avoid interest and surcharges. For those who fail to pay on time, action is taken in accordance with the Electricity Supply Code regulations.
Amnesty Scheme Provides Relief to Consumers
To further assist consumers, the government launched an Amnesty Scheme through Government Order No. 103-PDD dated 09.09.2022. This scheme, available until March 31, 2025, waives interest and surcharges on outstanding bills accumulated due to non-payment in the past, provided current bills are paid regularly.
The Amnesty Scheme has provided significant relief to various sections of society and has helped streamline the billing system. Given the ongoing success of the scheme, the government indicated that there is no need to introduce a fresh amnesty program. The smart metering initiative, along with the Amnesty Scheme, reflects the government’s proactive approach to addressing consumer concerns while improving efficiency and reducing losses in the electricity distribution system.
