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Jammu and Kashmir Government Clears Over Rs 18,000 Crore in Financial Liabilities

Jammu, Mar 31: The Jammu and Kashmir government has settled financial liabilities amounting to over Rs 18,000 crore during the financial year 2025-26, covering payments for gratuity, commutation, leave salary, contractor bills, and General Provident Fund (GPF) claims. This significant clearance of dues was disclosed by Chief Minister Omar Abdullah in the Legislative Assembly.

According to details received by The Chenab Times, bills totalling Rs 12,561.31 crore under various heads, including gratuity, commutation, leave salary, and contractor payments, were cleared up to March 27, 2026. Furthermore, GPF bills worth Rs 5,821.43 crore were settled by December 31, 2025. The Chief Minister, who also holds the Finance portfolio, was responding to a question from legislator Sham Lal Sharma during the assembly’s Question Hour.

The administration has been regularly clearing government financial liabilities presented at treasuries, encompassing payments to contractors and retired employees. In the financial year 2025-26 alone, specific disbursements included Rs 2,864.14 crore for gratuity, Rs 1,123.22 crore for commutation, Rs 773.47 crore for leave salary, and Rs 7,800.58 crore for contractor bills up to March 27, 2026. The settlement of GPF claims during this period reached Rs 5,821.43 crore by December 31, 2025.

Chief Minister Abdullah clarified that allocations for these payments were based on Heads of Expenditure, not on a divisional basis, ensuring that treasury accounting reflected expenditures by category.

In a separate response to legislator Shakti Raj Parihar regarding the PM Surya Ghar Muft Bijli Yojana, the Chief Minister informed the Assembly that Rs 3.80 crore had been disbursed as Union Territory (UT) subsidy to 4,288 consumers across the Kashmir and Jammu Power Distribution Companies. This subsidy is part of a larger national initiative to promote solar energy adoption.

Specifically, Rs 1.80 crore was disbursed to the first 2,053 consumers of the Kashmir Power Distribution Corporation Limited (KPDCL), in accordance with Central Financial Assistance (CFA) guidelines. For the Jammu Power Distribution Corporation Limited (JPDCL), Rs 2 crore was disbursed to 2,235 beneficiaries under the same scheme.

The Chief Minister detailed the subsidy structure under the PM Surya Ghar: Muft Bijli Yojana. The primary subsidy component is provided by the Government of India through the Ministry of New and Renewable Energy. An additional subsidy is offered by the UT administration. The CFA from the central government provides Rs 33,000 per kW for the first 2 kW of installed capacity and Rs 19,800 per kW for the next 1 kW, with a maximum subsidy of Rs 85,800 for systems up to 3 kW. The UT subsidy adds Rs 3,000 per kW, ranging from Rs 6,000 for a 2 kW system to Rs 9,000 for a 3 kW system (capped at 3 kW), resulting in a total potential subsidy of up to Rs 94,800 for a 3 kW installation.

Regarding delays in the release of the UT’s subsidy share, the Chief Minister stated that these were typically due to the verification of installed beneficiary systems, scrutiny of supporting documentation, and the integration of subsidy disbursement processes with the national portal. The J&K administration is actively implementing measures to streamline these procedures, assuring that pending UT subsidy shares will be released to eligible beneficiaries upon the completion of verification formalities.

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