OTS scheme for domestic power bill dues, interest and penalty waived

The government has decided to bring a one-time settlement scheme to clear old power dues of domestic consumers in Punjab. Interacting with journalists in Chandigarh, Chief Minister Bhagwant Mann stated that the formal order for this relief scheme will be issued tomorrow.

The Chief Minister clarified that liabilities pending on houses in both urban and rural areas up to March 31, 2026, will come under the ambit of this scheme. Under this, consumers will not have to pay additional interest or penalty incurred due to delay, and will only have to pay the principal amount of actual consumption.

Rules have been relaxed to make the payment easy. Consumers will initially have to deposit a fourth part, meaning 25 percent, of the total principal amount. The remaining 75 percent amount can be paid in two equal installments with a gap of six-six months during one year.

According to the Chief Minister, unpaid bills worth Rs 2,516 crore are pending in the name of houses across Punjab. With interest and penalty being waived through the new scheme, people will get a concession of approximately Rs 518 crore, which will directly impact about 24 lakh 84 thousand houses.

Apart from this, connections disconnected due to non-payment of bills will also be restored. After the notification comes, people will get 45 days for payment. The government will send revised bills itself and all this work will be settled through online portals and forms so that consumers do not have to make rounds of offices.

Key developments

• Preparation to bring OTS scheme for settlement of unpaid domestic electricity bills
• Full interest and penalty will be waived on dues up to March 31, 2026
• Consumers will have to pay only 25 percent principal amount initially and the rest in two installments
• About 24.84 lakh families of the state expected to get relief of Rs 518 crore
• Power connections cut due to arrears will be reconnected