Srinagar, Aug 12 : Lieutenant Governor Manoj Sinha on Monday said that there has been no power tariff hike in the Union Territory for the last three years and the cheapest power was being supplied to consumers of Jammu and Kashmir compared to other states in the country.

Addressing a select group of media persons in Srinagar about the budget for Jammu and Kashmir which was recently approved by the government of India in Parliament, Sinha said the UT government has repaid power sector dues of about Rs. 28,000 crore which were pending and rising for several years.

He said as part of power sector reforms, 5.74 lakh smart meters were installed by June resulting in 25 percent reduction in Transmission & Distribution (T&D) losses and 10 percent increase in tariff collection per month.

I want to say this thing with stress. In the last three years there has been no single paisa hike in power tariff and the Power department has already clarified about it. The cheapest power in the country is being supplied to consumers in J&K,” he said. “There is a narrative that electricity charges have been increased and that is why I clarified about it.”

Speaking about the budget, Sinha said over the years J&K was once known for its debt, but they have worked tirelessly to steer it towards economic sustainability.

He said the size of the budget in 2024-25 is Rs. 1,18,390 crore and it is Rs. 30889 crore higher than the expenditure of 2023-24.

“The budget in economic, social, and other development sectors has been increased this year,” he said.

Sinha said the tax/Gross Domestic Product (GDP) ratio for 2024-25 has been projected at 7.92 percent which is higher than the previous year’s 5.68 percent.

About the Revenue augmentation, Sinha said that the UT government improved GST return compliance, initiated an e-stamping system, expanded dealer registration, and conducted transparent excise auctions.

“Tax revenues have increased from Rs 12753 crore in 2022-23 to Rs. 13,900 crore in 2023-24 registering growth of 9 percent. The GST collection increased by 12 percent and excise collection increased by 39 percent in FY 2023-24 as compared to FY 2022-23,” he said.

He said during the past few years, the UT government has improved budgetary transparency and has repaid power sector dues of about Rs. 28,000 crore which were pending and rising for several years.

“For the first time in 77 years, UT contributed to the contingency funds created by RBI; viz. the Consolidated Sinking Fund and Guarantee Redemption Fund. During 2023-24, the UT government improved its fiscal discipline and curtailed the culture of raising Hundis and overdrafts,” he said.

The Lt Gov said that over the past year, the UT government has stressed on revenue augmentation, improving project execution, reducing ATC (Aggregate Technical & Commercial) losses, and improving the quality of governance.

“ Revenue Receipt estimates for 2024-25 is Rs 98,719 crore and Capital Receipt Estimate is Rs 19,671 crore,” he said.

LG Sinha said that J&K has seen a period marked by peace, prosperity, and optimism over the last few years.

“The Lok Sabha elections saw an unprecedented voter turnout of 58 percent, a remarkable achievement,” he added.

UNI