Punjab Govt sets new milestones in power sector over 4 years.....by Manmohan Singh

The Punjab Government has implemented several welfare schemes across diverse sectors, particularly electricity, health services, and education. These include providing ₹1,000 to adult girls above 18 years of age and ₹1,500 to women belonging to the Scheduled Caste category, along with many other schemes and revolutionary initiatives whose concrete outcomes are clearly visible today.

Under the Punjab Government’s power department, Punjab State Power Corporation Limited (PSPCL) and Punjab State Transmission Corporation Limited (PSTCL) are making invaluable contributions to Punjab’s overall development and economic progress.

Under the dynamic leadership of Bhagwant Singh Mann, Chief Minister of Punjab, and the able guidance of Sanjeev Arora, Minister for Industries and Commerce, Investment Promotion, Power and Local Government, all categories of electricity consumers in Punjab have been provided uninterrupted, reliable and affordable electricity supply along with consumer-friendly facilities on a day-to-day basis.

The Punjab Government’s decisions to acquire the private GVK thermal plant and secure the Pachhwara Central Coal Mine in Jharkhand demonstrate Chief Minister Bhagwant Singh Mann’s strong political determination. Today, under his leadership, the Punjab Government has completed four years and is entering the journey of its fifth year.

New milestones have been set in the power sector through the honest and determined efforts of the Punjab Government over the past four years. During the paddy seasons of 2022, 2023, 2024 and 2025, agricultural consumers were supplied more than eight hours of uninterrupted electricity without imposing power cuts on domestic, commercial, industrial or other categories of consumers.

Key initiatives include the voluntary disclosure scheme for consumers, acquisition of a private sector thermal plant, enhancement of electricity generation capacity, implementation of schemes to ensure reliable and uninterrupted power supply, and the introduction of accident compensation and employment provisions for workers engaged through contractors and outsourcing agencies.

Punjab is the first state in the country where all domestic consumers are provided 600 units of free electricity every two months (or 300 units per month). At present, PSPCL supplies electricity to more than 1.17 crore consumers across various categories in Punjab, including over 85 lakh domestic consumers. During the past four years alone, more than 13 lakh domestic consumers have received new electricity connections.

Commercial organisations always depend on consumers, and in the same manner Powercom has streamlined the process of providing new electricity connections. One major reform has been the abolition of the No Objection Certificate (NOC) requirement, providing significant relief to consumers. Electricity connections are now also being issued in unauthorised colonies, and the A&E form for LT supply category consumers has been greatly simplified.

According to the 2026-27 tariff order, electricity rates for domestic consumers in Punjab have also been reduced, along with several other consumer-friendly facilities. Electricity consumers across the state have received an average reduction of one rupee per unit in power tariffs.

From April 1, 2026, consumers of every category will receive electricity at 50 paise to ₹1.50 cheaper per unit. Under the revised rates, domestic consumers with up to 2 kW load will receive electricity at ₹1.55 cheaper per unit for up to 300 units, while consumption above 300 units will be 70 paise cheaper per unit.

Similarly, for domestic consumers with 2 to 7 kW load, electricity up to 300 units has been made ₹1.47 cheaper per unit, and above 300 units it is 70 paise cheaper per unit. For non-residential supply, electricity rates have been reduced by 50 to 79 paise per unit, depending on demand. Small power supply has been reduced by 12 paise per unit, medium supply by 42 paise, and large supply by 70 to 74 paise per unit. Agricultural tubewell electricity tariffs have been reduced by ₹1.32 per unit, while farm motor electricity tariffs have been lowered from ₹6.70 to ₹5.38 per unit.

Acquisition of Guru Amardas Thermal Plant, Goindwal Sahib

In 2024, the Punjab Government created history by acquiring the private sector GVK thermal plant at Goindwal Sahib for ₹1,080 crore, marking one of the lowest purchase agreements for such a plant.

The Guru Amardas Thermal Plant, also known as the GVK Thermal Power Plant, achieved a plant load factor of nearly 82% by July 2025 after its acquisition by PSPCL in February 2024. Prior to acquisition, from April 2016 to January 2024, the plant’s average plant load factor was only around 34%.

In July 2024, the plant set a record with a 90% plant load factor, and during the financial year 2024-25 its average plant load factor stood at approximately 65%.

Pachhwara Central Coal Mine: A Boon for Punjab

The proverb “true policies yield desired results” fits well with PSPCL’s Pachhwara Central Coal Mine in Jharkhand, which has proved to be a major boon for Punjab’s power sector.

Allotted to PSPCL in March 2015 and operational since December 2022, the mine has so far supplied approximately 170 lakh metric tonnes of coal (4,266 rakes). This has resulted in savings of about ₹8.5 crore per lakh metric tonne compared with coal purchased from Coal India Limited, generating total savings of nearly ₹1,445 crore.

At present, thermal plants in Punjab have sufficient coal reserves:
• Ropar Thermal Plant – 43 days stock
• Lehra Mohabbat Thermal Plant – 34 days stock
• Goindwal Sahib Thermal Plant – 36 days stock

Coal from the Pachhwara Mine can be used only for government power plants in Punjab, and after the acquisition of the Goindwal plant, this coal will also be used there for electricity generation.

Launch of Roshan Punjab Project

The Punjab Government has launched the Roshan Punjab Project to make Punjab the first power-cut-free state in India. This flagship initiative involves an investment of ₹5,000 crore aimed at modernising the transmission and distribution network to ensure uninterrupted 24-hour electricity supply in the near future.

Under this project, new substations and power lines will be installed, feeder loads reduced, and critical infrastructure strengthened. The focus is on developing new infrastructure, upgrading existing systems, and improving maintenance capacity in the power sector.

Significant work has already been undertaken in the transmission and distribution sectors to ensure reliable electricity supply. Twenty-six new 66 kV substations have been constructed, the capacity of 194 power transformers has been increased, and 34 new transformers have been installed, resulting in an additional capacity of 2,737 MVA.

From April 1, 2022, to November 30, 2025, PSTCL added 413 circuit kilometres of transmission lines and 7,657 MVA capacity at 400/220/132 kV substations.

Major projects include the commissioning of the 400 kV Dhanansu (Cycle Valley) substation in January 2024 and the 400 kV Ropar substation in August 2024, along with upgrades and expansions of several substations across the state.

Revamped Distribution Sector Scheme

Under the Revamped Distribution Sector Scheme (RDSS), projects worth ₹9,563 crore have been approved to strengthen electricity distribution infrastructure and implement smart metering. Tenders worth ₹4,824 crore have already been issued, and about ₹755 crore has been spent so far.

PSPCL and PSTCL together provide reliable and affordable electricity supply to more than 1.17 crore consumers in Punjab. The CMDs, directors, engineers, and technical and non-technical staff of both corporations deserve immense credit for this achievement.

It is worth noting that employees of these corporations work with extraordinary dedication, and many even risk their lives while performing their duties to ensure uninterrupted power supply to consumers.

Between April 1, 2022 and March 12, 2026, Powercom and Transco have filled 9,593 vacancies through a transparent merit-based recruitment process. These include 8,014 jobs in Powercom and 1,579 in Transco. Recruitment for an additional 1,181 posts, including Assistant Engineers, Junior Engineers, Clerks and thermal staff, is expected to be completed soon.

PSPCL has also secured an A+ grade in the 14th Integrated Rating of Power Distribution Utilities, improving its score from 76.99 (A grade) in the 13th rating to 89.22, placing it second nationally among state-owned DISCOMs.

In FY 2025-26 (up to December 2025), PSPCL further strengthened its financial position by posting a profit of ₹4,202.85 crore.

Punjab successfully met a record peak power demand of 16,670 MW on July 5, 2025, surpassing the previous record of 16,428 MW recorded on June 28, 2025.

Power demand continues to rise due to early paddy transplantation and increasing temperatures. PSPCL effectively managed this surge, with electricity consumption reaching 9,071 million units in June 2025, a 4.5% increase from 8,678 million units in June 2024.

Meanwhile, PSTCL continues to play a fundamental role in strengthening the transmission network and ensuring seamless power supply across the state. Through its efforts, the Power System Operation Corporation Limited increased Punjab’s Available Transfer Capability from 7,400 MW to 10,400 MW.

PSPCL is also focusing on expanding electricity generation. Under the Shahpurkandi Multipurpose Dam Project, construction of a 206 MW hydel power project is progressing rapidly and is expected to begin power generation by May 2027.

March 15, 2026

Public Relations Consultant
Ex. Dy Secretary, P.R., Powercom
Phone: 8437725172