AP Aqua Farmers to Get Power at ₹1.50 per Unit, DISCOMs’ Financial Strain Continues

The State Government is implementing the electricity subsidy scheme for aquaculture farmers in an effective manner, providing much-needed relief to the sector, Energy Minister Gottipati Ravikumar told the Assembly on Tuesday.

Participating in a discussion, the Minister said aquaculture farmers are being supplied power at just ₹1.50 per unit , benefiting nearly 5.2 lakh farmers across the State. He explained that while the tariff approved by the Andhra Pradesh Electricity Regulatory Commission (APERC) stands at ₹3.85 per unit , the government is extending a subsidy of ₹2.35 per unit , ensuring that farmers pay only ₹1.50 for electricity.

Reflecting this policy commitment, the 2026–27 State Budget has earmarked ₹890 crore specifically for subsidised power to aqua farmers , as part of the ₹13,930 crore allocation for the power sector . The allocation underscores the government’s focus on sustaining aquaculture, a key contributor to rural livelihoods and export earnings.

With aquaculture activity expanding steadily, the government has also sanctioned 50,000 new electricity connections to strengthen infrastructure support. Since electricity accounts for one of the largest input costs in aquaculture operations, access to reliable power at subsidised rates is expected to significantly reduce cultivation expenses and improve profitability.

Analysts, however, point to the continuing financial strain on power distribution companies (DISCOMs) . They note that the actual power procurement cost for DISCOMs averages around ₹6 per unit , well above the regulated tariff of ₹3.85. The gap between procurement costs and consumer tariffs, they say, is being bridged largely through State subsidies and regulatory mechanisms.

Analysts also flag the mounting receivables faced by power utilities. DISCOMs are currently owed over ₹15,000 crore in unpaid electricity bills by consumers , while nearly ₹12,700 crore in subsidy reimbursements from the State Government remain pending , adding pressure on cash flows and operational sustainability.

On implementation safeguards, Ravikumar said beneficiary identification is being carried out strictly as per the Fisheries Department’s zonal and non-zonal classifications , with a transparent verification process to ensure that only eligible farmers receive the subsidy.

The government, the Minister added, remains committed to balancing farmer welfare with the long-term financial stability of the power sector.