New Delhi: Delhi’s power subsidy pattern in the summer months shows a clear shift over the past three financial years, with 2025–26 standing out for keeping more households within the subsidy net despite rising consumption and a growing consumer base.
An analysis of data for April to Aug for the past three fiscals, adjusted for total domestic consumers rising from 59.4 lakh in 2023–24 to 62 lakh in 2024–25 and 63.5 lakh in 2025–26, indicates that while electricity use typically increases in summer, a larger share of households is still managing to remain within the subsidised bracket of 0–400 units.
Delhi govt provides 100% relief for households consuming up to 200 units monthly (zero bill) and a 50% subsidy (up to Rs 800) for 201–400 units.
In April 2023–24, around 80% of households (47.5 lakh) availed the subsidy. This rose to about 84% (52.3 lakh) in 2024–25 and further to nearly 87% (55 lakh) in 2025–26, showing a steady expansion in coverage even after accounting for more consumers.
In May, the proportion of beneficiaries remains largely unchanged, hovering around 72–74% across all three years, despite an increase in absolute numbers, from about 44 lakh to nearly 47 lakh.
According to a senior official, this suggests the rise is driven mainly by more users rather than a deeper subsidy reach.
June highlights the contrast between years. While 2023–24 saw about 65% of households receiving subsidy (38.8 lakh), the share dropped sharply to around 55% (33.9 lakh) in 2024–25, likely due to higher consumption pushing users beyond the 400-unit threshold. However, 2025–26 shows the coverage climbing back to about 64% (40.4 lakh), indicating improved retention within subsidy limits.
July and Aug further underline how 2025–26 differs. In July, the share of beneficiaries rose modestly from around 60% (35.8 lakh) in 2023–24 to about 62–63% (39.7 lakh) in 2025–26. The shift is sharper in Aug, where subsidy coverage jumps significantly — from roughly 49% (29.1 lakh) in 2023–24 to nearly 67% (42.5 lakh) in 2025–26, marking the strongest expansion in summer coverage across the three years.
The official said the main reason behind this trend is the movement of consumers between slabs. In earlier years, a larger share of households stayed within the 0–200-unit bracket, receiving full subsidy or zero bills. However, during the summer season, especially in 2025–26, many households move into the 201–400-unit range due to increased cooling needs. Instead of losing subsidy altogether, they continue to receive the 50% benefit.
For instance, in June, the number of consumers in the 201–400 slab increases to about 21 lakh in 2025–26, compared to roughly 19–20 lakh in 2023–24. Similar patterns are visible in July and May, indicating that higher consumption is not necessarily pushing households out of the subsidy system, but rather redistributing them within it, he said.
Following a scheme announced by the then AAP govt in 2019, electricity in Delhi has been free for households consuming up to 200 units a month. A 50% subsidy is given to those consuming 201 to 400 units. The rest pay applicable tariff rates.
“The number of beneficiaries has been growing because we have ensured the subsidy net is widened by identifying dormant customers,” power minister Ashish Sood said, adding, “There was a misinformation campaign earlier that we want to end subsidy, but we have only given to more people.”
Govt spending on power subsidy has risen sharply over the past three financial years -- from Rs 2,426 crore in 2023–24 to Rs 3,600 crore in 2024–25, and further to Rs 4,200 crore in 2025–26.
Overall, while 2023–24 had the highest share of zero-bill consumers, 2025–26 recorded the highest share of total subsidy beneficiaries when both slabs are combined.
“Even in summer months, subsidy is not shrinking but evolving… from full subsidy to partial support while still covering a large proportion of households,” said another official.
In FY 2025-2026, out of 63.5 lakh domestic consumers, the share of households receiving zero bills ranged from 28% to 74%. The highest coverage was recorded in March 2026, at 47.26 lakh consumers (74%), followed by Dec 2025 (73%) and Nov 2025 (69%).
In contrast, July 2025 saw the lowest share at a little over 18 lakh consumers (28%), with June (31%) and Aug (30%) also lagging.