Andhra Pradesh plans to start disbursing power subsidies to all eligible agricultural consumers directly to their bank accounts by 2021-22 end.
According to an order issued by the state government, the direct benefit transfer (DBT) mechanism will be implemented in a pilot phase in one district in the current financial year and by end-2021-22, it will be operational throughout the state. Around Rs 17 billion has been earmarked for feeder segregation and installing meters in the state and the remaining requirement will be funded through debt. The step to bring in DBT has been taken to fulfil the conditions imposed by the centre to receive 0.5 per cent FRBM relaxation for additional borrowings.