Daijiworld Media Network - Chennai

Chennai, May 24: The Tamil Nadu government’s expanded free electricity scheme for domestic consumers will come into effect from the next billing cycle, after the Tamil Nadu Power Distribution Corporation Limited (TNPDCL) completes necessary updates to its billing software to implement the revised policy.

Officials said the upgraded system will include changes for eligibility checks, subsidy calculations, bill generation and accounting adjustments, ensuring smooth rollout of the new scheme without disruption for consumers.

According to a communication from the accounts branch of Tamil Nadu Power Distribution Corporation Limited, field-level engineers have been instructed to ensure full preparedness so that beneficiaries receive the revised subsidies on time.

The move follows a major policy announcement by Chief Minister C. Joseph Vijay, under which domestic consumers using up to 500 units per two-month billing cycle will receive free electricity for up to 200 units.

Officials said the expansion is expected to significantly increase the number of households receiving zero electricity bills. Tamil Nadu has around 2.46 crore domestic electricity consumers, of which nearly 67 lakh households already receive free electricity under the earlier 100-unit scheme.

With the revised limit, the number of zero-bill households is expected to rise to about 1.2 crore. Another 85.83 lakh consumers are likely to benefit from reduced bills, with estimated savings of around Rs 235 per billing cycle.

However, consumers using more than 500 units per cycle—estimated at over 34 lakh households—will continue to receive only the existing benefit of 100 free units.

Officials said the software upgrade process began soon after the government’s announcement on May 10 to ensure timely implementation in the upcoming billing cycle.

The expanded subsidy programme is expected to place a higher financial burden on the state government, which will cover the cost as part of its welfare expenditure. Authorities said the initiative aims to provide significant relief to lower- and middle-income households by reducing monthly electricity expenses.