Promise of free electricity false, misleading: Ex-NITI Aayog VC's NGO in SC

A policy think tank, established by Rajeev Kumar, the former Vice Chairman of NITI Aayog has approached the Supreme Court with a plea that the promise of free electricity by political parties should be declared null and void as its announcement and the consequential benefit to the electorate is false and misleading.

It also sought a declaration to make it an offence under the Representation of People Act.

The plea also said the political parties should be restrained permanently from issuing manifestos unless cleared by the Election Commission of India, which has an impact on the finances of the State, directly or indirectly.

'Pahle India Foundation' also asked the court to declare that freebie promises should be covered as offence under the penal law for it constituted theft of public money for political purposes.

In an application filed in a pending PIL by advocate Ashwini Kumar Upadhyay to ban freebies, the NGO stated that the state governments should be curbed from encroaching on the regulatory domain and deciding tariff rates.

"The promise of free electricity and the consequential benefit to the electorate is false and misleading. The electorate is not being informed about the serious effect of free power on the economy which has an impact on the creation of jobs, public spending in education, healthcare, sanitisation, creation of infrastructure, etc. Since electricity is an economic good, it cannot be "free" in any manner. Someone has to pay for it," the application said.

The application stated the government raises revenue through taxes and other nontaxable sources. Finally, the free power has to be paid from such revenues of the government, which as has been seen by various institutional and statutory bodies, is inadequate to pay for the free/subsidised power.

The gap between the cost of supply and the subsidy is growing on a year-to-year basis, which then requires a bailout package that is extremely burdensome on the State's finance. The complete picture is not being given to the electorate. To that extent, the gratification that is made out is false and misleading. In any event, it should qualify as a corrupt practice as envisaged under Section 123 of the Representation of Peoples Act, 1951, the plea contended.

"It is also corrupt for the reason that the stressed State's finances are being diverted from essential services, which is also not been explained to the electorate. As has been seen, the current bailout for the electricity sector is close to Rs 5 Lakh Crores which is more than what the central government spends on health, education, or rural development," the plea pointed out.

It also stated that the election manifestos to the extent they have an economic impact on the State revenues should be specifically vetted and cleared by the office of the Election Commission, which should have experts on the subject to oversee each aspect of the manifesto/ promise which has an economic implication.

Apart from the violation of the provisions of the Representation of Peoples Act, 1951, the promise of free subsidised power below the cost constituted theft of public money for political purposes. It is an independent offence, it claimed.