Jammu and Kashmir Government Greenlights Free Electricity Scheme for 2.23 Lakh Families
In a significant move that delivers on a major electoral commitment, the Jammu and Kashmir administration has received central approval to provide 200 units of free electricity to approximately 2.23 lakh Antyodaya Anna Yojana (AAY) families across the Union Territory. This initiative, announced by Lieutenant Governor Manoj Sinha during the Budget Session in Jammu, aligns with the National Conference's key poll promise from the 2024 Assembly elections.
Implementation Under PM Surya Ghar Muft Bijli Yojana
The project has been sanctioned by the Ministry of New and Renewable Energy, Government of India, under the PM Surya Ghar Muft Bijli Yojana–Utility Led Aggregation (ULA) model. Lt Governor Sinha emphasized that the scheme will be rolled out promptly, marking a crucial step in the government's efforts to enhance energy accessibility for economically disadvantaged households. This approval follows a proposal in the previous budget to initially extend the benefit to AAY families, setting the stage for broader implementation.
Structural Reforms in J&K's Power Sector
Highlighting broader advancements in the power sector, Sinha outlined several key developments:
- Major hydropower projects, including Pakal Dul, Kiru, Kwar, and Ratle, with a combined capacity of 3,014 MW, are currently under active execution.
- Over the past five years, the distribution sector has seen an addition of 5,708 MVA, while the transmission sector has gained 4,239 MVA.
- The installation of smart prepaid meters is progressing in mission mode, with 10.44 lakh meters already installed and a target of 100% coverage by 2026–27. This initiative has contributed to a 9% reduction in losses and a 16% increase in revenue realisation.
Renewable Energy and Tourism Initiatives
Parallel efforts are underway to bolster renewable energy through the solarisation of government buildings and households under the PM Surya Ghar Muft Bijli Yojana. To date, more than 6,700 government buildings and over 16,800 households have been solarised, reducing power costs and enhancing energy security in the region.
Tourism remains a vital pillar of J&K's economy, with 1.78 crore tourists visiting in 2025 despite challenges from security incidents and natural calamities. The government has implemented confidence-building measures and improved facilitation to revive sectors such as:
- Pilgrim tourism in Jammu
- Adventure tourism in Kashmir
- Eco-tourism in tribal and border areas
New initiatives include the opening of the first-ever chrysanthemum garden, 'Bagh-e-Gul-e Dawood', in October 2025, featuring over 50 varieties to attract tourists during the lean autumn season. Additionally, the Kashmir Marathon has emerged as a flagship event, drawing over 1,000 runners from 11 countries in its 2025 edition, with the inaugural Jammu Marathon scheduled for March 2026.
Economic Growth and Future Prospects
Jammu and Kashmir continues to rank among the fastest-growing States/UTs, with notable economic indicators:
- GST revenue increased from Rs 8,064 crore in 2023–24 to Rs 8,586 crore in 2024–25.
- Power tariff revenue saw a 16% rise, reflecting improved efficiency and collection.
The government plans to introduce a major project for the sustainable development of emerging tourist destinations through public-private partnerships, aiming to expand tourism footprint, generate employment, and benefit remote areas. This holistic approach underscores J&K's commitment to equitable regional growth and energy sustainability.
