CHANDIGARH: In a major gift to Punjab’s domestic electricity consumers, Chief Minister Bhagwant Singh Mann has announced a One-Time Settlement (OTS) Scheme that will waive 100% of penalties and interest on outstanding electricity bills up to March 31, 2026. The scheme will benefit 24.86 lakh families, with ₹518 crore in penalties and interest waived, allowing consumers to clear only their principal dues through easy instalments. Even disconnected electricity connections will be restored upon payment of the principal amount, bringing substantial relief to households across Punjab.
Taking to X, CM Bhagwant Singh Mann stated: “A major relief for domestic electricity consumers in Punjab. Today, we have announced an OTS (One-Time Settlement) Scheme for pending electricity bills. The penalty and interest on outstanding bills up to March 31, 2026, have been completely waived… Consumers will now have to pay only the principal amount, with 25% payable upfront and the remaining 75% in two easy installments over one year. This decision will directly benefit more than 24 lakh families, with ₹518 crore in penalties and interest being waived.
Addressing a press conference, CM Bhagwant Singh Mann said that the initiative is another decisive step towards ensuring that financial difficulties do not become an additional burden on ordinary families. He said that the government believes governance is not merely about collecting revenue but about standing firmly with people during difficult times. “Several families have been unable to clear their electricity bills due to financial constraints, and the burden of accumulated interest and penalties has continued to grow.
CM Bhagwant Singh Mann further said that the Punjab State Power Corporation Limited (PSPCL) would dispatch special OTS bills and notices to all eligible consumers within the next seven days. These bills would clearly specify the total outstanding amount, the surcharge and interest being waived, and the actual principal amount payable under the scheme. “The entire process has been designed to ensure maximum convenience and transparency. Every eligible consumer will receive a clear account of their outstanding dues, the amount being waived and the payment required to avail the scheme,” he said.
