By Kashmir Impulse Desk

Srinagar, April 2

The government of Kashmir is itself the largest defaulter on electricity payments, with unpaid dues across its departments, public agencies and security establishments rising to about Rs 3747 crore, a burden that is straining the region’s already fragile power distribution system. 

The figure was disclosed by Chief Minister Omar Abdullah, who also oversees the Power Development Department (PDD), in response to a question in the Legislative Assembly from Aga Syed Muntazir Mehdi, a People’s Democratic Party (PDP) legislator.

Data presented to lawmakers showed that arrears have accumulated across nearly every arm of the government. 

Of the total, roughly Rs 2310 crore is owed in areas served by the Kashmir Power Distribution Corporation Limited, while about Rs 1437 crore is pending under the Jammu Power Distribution Corporation Limited.

The largest share of the unpaid bills comes from essential public services. 

The Public Health Engineering Department alone accounts for approximately Rs 1300 crore in dues, while the Irrigation and Flood Control Department owes about Rs 581 crore. 

Together, the two departments represent nearly half of the total outstanding amount.

Troops and paramilitary forces stationed in the region also account for a significant portion of the arrears. 

The paramilitary Central Reserve Police Force (CRPF) has dues of roughly Rs 296 crore, followed by the Indian Army at nearly Rs 197 crore and the paramilitary Border Security Force (BSF) at about Rs 11 crore.

Other major contributors include the Home Department, which owes about Rs 223 crore, and municipal bodies with a combined liability of around Rs 242 crore. 

The Housing and Urban Development Department has dues of roughly Rs 144 crore, while the Health and Medical Education Department owes nearly Rs 120 crore.

In a sign of the system’s circular financial stress, even the PDD has pending dues of about Rs 108 crore, with the Power Development Corporation owing an additional Rs 23 crore.

Smaller, though still notable, liabilities are spread across departments such as Revenue and Relief (Rs 82 crore), Tourism (Rs 48 crore), Education (Rs 29 crore), Public Works (Rs 20 crore), and Rural Development (Rs 11 crore).

Outstanding payments are not limited to local bodies. 

Central agencies and Public Sector Undertakings (PSUs) including National Hydroelectric Power Corporation (NHPC), the National Highways Authority of India (NHAI), Indian Railways, the Power Grid Corporation of India, Bharat Sanchar Nigam Limited (BSNL), and Prasar Bharati also feature among defaulters, alongside regional development authorities and state-run corporations.

CM Omar told the Legislative Assembly that power distribution companies were attempting to recover dues from defaulting entities. 

But the breadth of the arrears, spanning virtually all major government institutions, points to deep structural challenges in the region’s power sector, where public consumption and weak payment discipline continue to undermine financial stability.