New Delhi: The Supreme Court on Thursday expressed serious concern over the growing trend of states announcing free electricity schemes, questioning the financial sustainability of such promises and their broader impact on economic development.
A bench led by Chief Justice of India Surya Kant issued notice to the Centre and other parties while hearing a plea related to the Tamil Nadu government’s proposal to provide free electricity to consumers, irrespective of their economic background.
During the proceedings, the Chief Justice criticised what he described as an expanding “freebie culture” across states and political parties. He observed that many states are already running revenue deficits while continuing to roll out large-scale welfare schemes.
“The economic development of the nation will be hampered with this kind of largesse distribution,” the Chief Justice remarked. While acknowledging that the state has a duty to support its citizens, he questioned whether benefits should be extended without considering financial capacity.
The bench also pointed out that in some states, even affluent landowners receive free electricity, raising concerns about equitable allocation of public funds. “If you want to have a facility, you pay for it. But if the state says it will pay, who will ultimately bear the cost? This is taxpayers’ money,” the court observed.
The Supreme Court further noted that welfare schemes are sometimes announced shortly before elections, suggesting the need for broader introspection. The bench clarified that the issue is not limited to Tamil Nadu but applies to all states across the country.
“We are not discussing one state alone. Why are schemes announced just before elections? Political parties and sociologists need to revisit this ideology. How long can this continue?” the Chief Justice said.
Justice Joymalya Bagchi, who was also part of the bench, emphasised the importance of structured budgetary planning. He suggested that governments should clearly justify welfare outlays in their budget proposals, particularly when allocating funds toward unemployment or social support measures.
The matter has reignited debate over fiscal responsibility, electoral promises, and the long-term economic implications of populist welfare policies. The Centre and other stakeholders are expected to respond following the notice issued by the court.
Originally published on 24×7-news.com.
