Punjab families, here’s continued big relief in 2026! The state government under CM Bhagwant Mann has kept the popular electricity subsidy scheme intact, providing up to 300 units of free power every month to all domestic consumers. This means zero electricity bill for households consuming 300 units or less per month – benefiting over 90% of families across cities like Ludhiana, Amritsar, Jalandhar, Patiala, and Bathinda. Plan your usage wisely to enjoy full savings amid rising summer demands.
Know Complete Details
Introduced in 2022 and continued without changes in 2026, this scheme offers 300 free units per month (600 units per bi-monthly billing cycle) to every domestic household connection via PSPCL. No income limit or category restriction for general consumers – applies to all residential users. Billing is bi-monthly, so consume up to 600 units in two months for zero bill.
- Free: First 300 units/month (no energy charges, fixed charges, or taxes)
- Above 300 units: Pay only for excess at slab rates (around ₹5-7 per unit depending on consumption)
- Special categories (SC/ST, BPL, BC, freedom fighters): Additional benefits if applicable, but base 300 units free for all
Over 79 lakh domestic connections benefit, with 90% getting zero bills annually. Government subsidy burden: Around ₹6,500-8,000 crore yearly for domestic sector.
How Much Benefit/Relief/Savings
Low to moderate consumption homes save fully – perfect for middle-class and rural families.
Example Monthly Savings (at average ₹6 per unit rate):
| Monthly Consumption | Bill Without Subsidy | Bill With Subsidy | Monthly Savings |
|---|---|---|---|
| 100 units | ₹600 | ₹0 | ₹600 |
| 200 units | ₹1,200 | ₹0 | ₹1,200 |
| 300 units | ₹1,800 | ₹0 | ₹1,800 |
| 400 units | ₹2,500 | ₹600 (for 100 excess) | ₹1,900 |
| 500 units | ₹3,300 | ₹1,400 (for 200 excess) | ₹2,000 |
Annual savings up to ₹20,000-25,000 for families staying under 300 units/month.
How It Affects You
- In major cities (Chandigarh border areas, Mohali, Ludhiana): High AC usage in summer may push over limit – monitor via PSPCL app.
- Rural areas: Tubewell free power separate for farmers.
- Multiple connections: One per household encouraged, but scheme per connection.
- New paperless connections from January 2026 make applying easier.
Tips to Avoid Trouble
- Track usage monthly via PSPCL website/app using account number.
- Use energy-efficient appliances, LED bulbs, star-rated ACs to stay under 300 units.
- Avoid load splitting for extra free units – penalties possible.
- Pay excess promptly to avoid late fees.
- Check bill online; report discrepancies immediately.
How many units do you consume monthly on average? Will this 2026 subsidy help your family save more this year?
Comment below and share your views!
Stay updated with us for all latest PSPCL rules, tariff changes, and power subsidy updates in 2026.