Agriculture Electricity Cash Transfer Scheme 2024: Benefits & Implementation

The State Government of Andhra Pradesh has introduced various schemes for the welfare of the people of the state. Agriculture Electricity Cash Transfer Scheme is one of the schemes which is going to initiate by the State Government of Andhra Pradesh for the welfare of the farming sector. You might have various questions in your mind related to the scheme. Here in this article, we are going to furnish all the scheme-related information that the government has disclosed such as the benefits of the scheme, its implementation, and many more.

About Agriculture Electricity Cash Transfer Scheme

Free power supply to the farming sector is the dream concept of late Chief Minister Y S Rajasekhara Reddy. After the YSR Government came into power the Chief Minister signed the scheme in May 2004. From 2004 till now the scheme is continuing. Now, the state government is all set to introduce the Agriculture Electricity Cash Transfer Scheme from the financial year 2021- 2022. Under this scheme, the government will provide free electricity power supply to the farming sector. The government has maintained that the bill amount will be Rs. 8400 crores per year.

Agriculture Electricity Cash Transfer Schem
Agriculture Electricity Cash Transfer Scheme

Also Read: Kusum Yojana

Objective Of Agriculture Electricity Cash Transfer Scheme

The main objective of this scheme is to provide free of cost electricity to all the agriculture sectors present in Andhra Pradesh. Along with that the government also wanted to develop 10000 solar power plants to help the farmers and for uninterrupted free power supply for 30 years in Andhra Pradesh. Farmers are not required to pay any of the amounts on the monthly Power bill. This is quite a great step that has been taken by the previous Chief Minister of Andhra Pradesh.

Highlights of scheme

Name of the schemeAgriculture Electricity Cash Transfer Scheme
Announced byAndhra Pradesh Government
First introduced byLateChief Minister Y S Rajasekhara Reddy
First introduced inMay 2004
Announced forFarming sector
Benefitsfree power supply
Financial year2023- 2024

AP Free Electricity Scheme

The history of free electricity scheme is related to the previous late chief minister Dr YS Rajasekhar Reddy. The main aim of this scheme was to provide free electricity to all the agriculture sectors that are present in Andhra Pradesh state. He launched this scheme with the aim to make Andhra Pradesh green but unfortunately, he was not able to fulfill the vision. and now the current Chief Minister is working on his vision by providing free electricity to all the agriculture sectors in the state. Around 6000 crores have been spent by the previous Chief Minister in 2013 for the successful implementation of his vision.

Also Read: Pradhan Mantri Solar Panel Yojana

Implementation of the scheme

For the 2% hike in FRBM Act borrowing limit the state government has agreed to the central govt. suggested reforms under which installation of smart meters to all agricultural power connections. During the current fiscal this will facilitate the state with an additional loan amount of Rs. 20000 crores. The state government is going to spend 1500 crore rupees for meter installation. To provide free power supply YSR Jagan Mohan Reddy’s government has claimed to develop 10000 solar power plants in order to ensure uninterrupted supply for the next 30 years. To supply electricity nine hours a day, the government is going to spend Rs. 1700 crore to improve the transmission system.

How this scheme will work

As per the information we get, under this scheme, the farmers have to open their exclusive bank accounts in which the government will credit the monthly bill amount. After that the farmer has to deposit the bill to the concerned power supply company.

Benefits of scheme

  • Agriculture Electricity Cash Transfer Scheme will benefit the farmer by providing a free power supply. The farmer does need not pay a single rupee of electricity power bill from his own pocket.
  • As per the Agriculture Budget 2020- 2021 as well as the 2019-20 Socio-Economic Survey, by the end of March, there was 18.72 lakh agricultural power connections in the state and 17.55 lakh as per the latest order issued by Energy Secretary.
  • Agriculture Minister K Kanna Babu states that “There would be no change in the scheme only procedure may change but not scheme.”
  • Note: we will update the information about the scheme if any further information is released by the AP Government.

Process To Apply Under the Agriculture Electricity Cash Transfer Scheme

All the interested applicants who want to apply under the agriculture electricity cash transfer scheme will have to wait for some time as the scheme just has been launched by the government of Andhra Pradesh the application procedure under the scheme has not yet been declared by the government as soon as the information regarding application procedure will be provided by the government we will update you soon as you are article until then if you have any queries or question related to the scheme you can ask us in the comment box given below

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