One Time Settlement Scheme’ (OTS)

• 09 Nov 2023

Why In News?

On November 8, 2023, Uttar Pradesh Energy Minister AK Sharma launched the Power Corporation's One-Time Settlement Scheme (OTS) at The Cantt sub-centre in Lucknow. The scheme will be implemented in three phases till December 31, 2023.

Key Points:

• Power Minister AK Sharma handed over the electricity bill to Meera, a resident of Cantonment area, who had made the first registration for interest waiver at the Cantt sub-centre.
• Under the 'one-time Settlement scheme', the state government has given convenience to those caught stealing electricity. A discount of 65 percent is being given in interest and a penalty on their bill. Such consumers can be free from legal action by paying a fine of just 35 percent.
• The first phase of the scheme will be held from November 8 to 30, the second phase from December 1 to December 15 and the third phase from December 16 to December 31.
• Under this scheme, a 50 to 100 percent discount will be available. This 100 percent discount will be available to consumers with one kilowatt.
• People caught in power theft, defaulters with permanently disconnected connections and pending court cases will also be included in the resolution plan.
• Under the scheme, domestic consumers with a load of more than one kilowatt have been given two options of payment in installments along with a lump sum payment.
• There will be a 90 percent discount on full payment of your dues till November 30, 80 percent discount on payment in three installments and 70 percent discount on payment in six installments.
• 80 percent discount on full payment from December 1 to 15, 70 percent discount on payment in three installments and 60 percent discount on payment in six installments.
• After December 16, there will be a discount of 70 percent on full payment, 60 percent discount on payment in three installments and 50 percent discount on payment in six installments.
• Commercial consumers up to 3 kW will get 80 percent discount on full payment of their dues by November 30 and 70 percent discount on payment in three installments. In subsequent phases, there will be a discount of 10 percent less on payment in both options, respectively.
• Commercial consumers with a load of more than three kilowatts will get 60 percent discount on full payment till November 30 and 50 percent discount on payment in three installments.
• Private commercial establishments and industrial consumers will get a discount of 50 percent on full payment of their dues till November 30 and 40 percent on payment in three installments. In subsequent phases, there will be a discount of 10 percent less on payment in both options, respectively.
• Private tube well consumers will be exempted from their surcharge due till March 31, 2023, and all other eligible consumers will be exempted from their surcharge due till October 31, 2023.