J&K’s Power revenue doubles in 7 years, hits Rs 4,207 Cr in 2023–24
Srinagar, June 1: Jammu and Kashmir has achieved a significant milestone in the power sector, with revenue realisation reaching Rs 4,207.61 crore in the financial year 2023–24, reflecting a nearly 98% increase over seven years.
In 2016–17, the total revenue collected stood at Rs 2,122.40 crore, and since then, the region has witnessed consistent year-on-year growth, driven by power reforms, infrastructure upgrades, and tighter enforcement.
According to official figures from the Jammu and Kashmir Economic Survey and the Power Development Department (PDD), the revenue realisation over the years has seen exponential growth.
In 2016–17, the government collected Rs 2,122.40 crore from electricity consumers across the Union Territory. This figure rose to Rs 2,222.56 crore in 2017–18, showing a modest increase of 4.73%. The next year, 2018–19, saw collections rise further to Rs 2,298.99 crore, a growth of 3.48%.
A more significant surge was recorded in 2019–20, when revenue reached Rs 2,632.32 crore, reflecting a 14.50% increase over the previous year. This upward trend continued in 2020–21, with revenue collections climbing to Rs 3,081.27 crore, an increase of 17.07%. In 2021–22, the total realised revenue was Rs 3,616.63 crore, marking a further jump of 17.36%.
By 2022–23, revenue had grown to Rs 4,207.61 crore, up by 16.36% compared to the previous year. The cumulative growth over the seven-year period stands at nearly 98%, indicating a dramatic improvement in the overall performance of the power sector in the region.
Officials have credited several reforms for this strong performance. “This upward trend in revenue collection shows that the structural reforms are working. We’ve focused on cutting losses, upgrading infrastructure, and improving billing and payment systems. The results are now visible.”
Among the key improvements driving this growth is the increase in billing efficiency, which rose from 45% in 2016–17 to 51% in 2023–24. Collection efficiency, a measure of the department’s ability to collect billed amounts, also jumped sharply from 63% in 2016–17 to 91% in the latest fiscal. Similarly, Aggregate Technical and Commercial (AT&C) losses, which include both technical losses in transmission and commercial losses due to theft or unbilled usage, reduced from 55% in 2016–17 to 49% in 2023–24.
The government’s efforts have included the installation of smart meters, feeder-wise energy audits, GIS-based asset mapping, and the use of aerial bunched cables to reduce power theft and technical losses. These steps have collectively improved transparency and accountability across the power distribution chain.
A senior power department official stated that the consumer mix has also contributed to revenue patterns. “Domestic consumers form 84% of our consumer base and are central to our planning. Alongside, we have a sizable number of commercial, agricultural, industrial, and government consumers whose growing demand has supported overall revenue growth,” he said.
“We are also focusing on customer awareness, timely billing, and grievance redressal to ensure better compliance and satisfaction.”
Going forward, the administration aims to build a fully sustainable and financially viable power system. Bridging the gap between the Average Cost of Supply (ACS) and the Average Revenue Realised (ARR) remains a priority, alongside goals of uninterrupted power supply and consumer-centric service delivery.
