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23 Apr

IN NEWS: ‘Samadhan Yojana 2025–26’ – Electricity Surcharge Waiver Scheme in Madhya Pradesh

Introduction

The Government of Madhya Pradesh under Mohan Yadav has launched the ‘Samadhan Yojana 2025–26’, aimed at providing financial relief to electricity consumers by waiving ₹3,000 crore worth of surcharge. The scheme targets around 90 lakh consumers, especially those with pending electricity dues, while also improving the financial health of power distribution companies.


ANALYSIS

Balancing Consumer Relief and Financial Sustainability

The scheme reflects a dual objective:

  • Consumer Welfare:
    • Relief to financially stressed households and farmers
    • Reduction in burden of accumulated surcharges
  • DISCOM Financial Stability:
    • Encourages recovery of principal dues
    • Helps improve cash flow of power utilities

Thus, it is a corrective fiscal intervention rather than a blanket waiver.


Targeted Approach to Defaulters

The scheme specifically focuses on:

  • Consumers with ≥ 3 months unpaid electricity bills
  • Covers:
    • Domestic
    • Agricultural
    • Non-domestic
    • Industrial consumers

This ensures targeted benefit delivery rather than universal subsidy.


Flexible Payment Mechanism

The design of the scheme promotes payment discipline:

  • Option 1: Lump-sum payment
    • 100% surcharge waiver
  • Option 2: Installment payment
    • Partial waiver
    • Conditions:
      • Domestic/Agriculture: 10% upfront payment
      • Non-domestic/Industrial: 25% upfront payment
      • Remaining dues to be cleared within 3 months

This structure incentivizes early settlement while ensuring recoverability.


Time-Bound Implementation Strategy

The scheme is implemented in two phases:

  • Phase 1: 3 November 2025 – 31 December 2025
  • Phase 2: 1 January 2026 – 28 February 2026

A limited window creates urgency among consumers, increasing participation and revenue recovery.


Behavioral Impact on Consumers

The initiative is designed to:

  • Encourage regular bill payment habits
  • Reduce future default risks
  • Improve billing compliance culture

This reflects a behavioral economics approach in governance.


Broader Energy Sector Implications

  • Supports financial restructuring of DISCOMs
  • Enhances efficiency in power distribution
  • Contributes to energy sector reforms

The scheme complements the state’s long-term vision of:

  • Affordable electricity access
  • Transition toward sustainable and renewable energy systems

Implications

  • Immediate financial relief to 90 lakh consumers
  • Strengthening of power sector financial health
  • Promotion of payment discipline among consumers
  • Reduction in non-performing electricity dues
  • Alignment with inclusive and sustainable energy governance

Static Part

Samadhan Yojana 2025–26

  • State:
    • Madhya Pradesh
  • Department:
    • Energy Department
  • Objective:
    • Provide relief to electricity consumers and improve revenue recovery
  • Key Features:
    • ₹3,000 crore surcharge waiver
    • 90 lakh beneficiaries
    • Applicable to consumers with ≥3 months pending dues
    • Two payment options:
      • Lump sum → 100% surcharge waiver
      • Installments → partial waiver
    • Two-phase implementation (Nov 2025 – Feb 2026)

Coverage

  • Domestic consumers
  • Agricultural consumers
  • Non-domestic consumers
  • Industrial consumers

Implementation Goal

  • Improve financial health of DISCOMs
  • Ensure affordable electricity and consumer relief

Updated - 03 November 2025 | 07:53 PM IST | News18 Hindi

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