Mumbai: The Maharashtra Government has announced a major financial package worth ₹2,891.20 crore for the Maharashtra State Electricity Distribution Company Limited (MSEDCL/Mahavitaran) to strengthen its free electricity scheme for farmers and provide electricity tariff concessions to the textile industry.
Under the Chief Minister Baliraja Free Electricity Scheme, farmers using agricultural pumps of up to 7.5 HP will continue to receive free electricity from April 2024 to March 2029. For the financial year 2026–27, the state has allocated ₹15,552 crore for the scheme.
In the first phase, ₹193.57 crore has been released to Mahavitaran in cash. Additionally, ₹2,416.33 crore has been approved through financial adjustment against electricity duty and electricity tax payable by the utility to the state government for the period from April to June 2026. The government has directed that these funds be used exclusively for the implementation of the free power scheme and electricity tariff subsidies for farmers.
The government has also extended support to the textile sector. Against a budget allocation of ₹660 crore for electricity tariff concessions to textile consumers in 2026–27, ₹281.30 crore has been approved through a similar adjustment mechanism. This will enable Mahavitaran to provide direct electricity tariff relief to eligible textile industry consumers, reducing power costs and supporting industrial growth.
