Paani Bachao Paisa Kamao Scheme
₹4 for every unit of electricity you do not draw for your tubewell — the free power stays free, and saving it now pays.
Run by: Punjab State Power Corporation Limited (PSPCL)
- Incentive
- ₹4 per unit saved
- Free power
- Unaffected
- Penalty for overuse
- None
- Coverage
- Selected feeders
Overview
Farm power in Punjab is free, which means there is no bill to reduce and therefore no reason to pump less. Paani Bachao Paisa Kamao fixes that without charging anyone: a monthly unit entitlement is set for each participating connection, and PSPCL pays ₹4 in cash for every unit you stay under it.
Nobody loses their free supply and nothing is deducted for exceeding the entitlement — the worst case is that you earn nothing. Since the payment is for units not drawn, the money follows straight from anything that cuts pumping hours: laser levelling, direct-seeded rice, a shift away from long-duration paddy varieties. The scheme runs on selected feeders in water-stressed districts rather than statewide.
What you get
The benefit as the state notifies it — nothing here is an estimate.
- ₹4 in cash for every unit of electricity below your monthly entitlement, paid by DBT.
- The free power subsidy is untouched — this is paid on top, not in place of it.
- No penalty if you exceed the entitlement; you simply earn nothing that month.
- Rewards practices that cut pumping hours — laser levelling, DSR, shorter-duration varieties.
Who is eligible
State schemes usually state their criteria as prose rather than a checklist. This is that prose, unpacked — the department’s verification is what decides.
You qualify if
- Agricultural power connection in Punjab
- Connection on a feeder covered by the scheme
- Enrolment with PSPCL, with a meter installed on the connection
- Bank account for the incentive transfer
Not covered
- Connections on feeders not covered by the current phase
- Connections without a working meter — savings cannot be measured
Documents you need
Have these ready before you start — most rejections are a missing paper, not a missing right.
- Agricultural connection account number
- Aadhaar card
- Bank passbook
- Consent form for meter installation
How to apply
Fewer steps than a central scheme, and usually one office rather than a portal.
- 1
Check whether your feeder is covered
The scheme runs on selected feeders in water-stressed districts. Your PSPCL sub-division office can confirm.
- 2
Enrol and get the meter fitted
A meter is what makes savings measurable. Enrolment does not change your free-power entitlement.
- 3
Save, and collect the incentive
Consumption is compared against your monthly entitlement and ₹4 per saved unit is transferred to your account.
Frequently asked questions
Will I start getting an electricity bill?
No. Farm power stays free. The meter measures how much you use so the saving can be calculated — it is not there to bill you.
What if I use more than my entitlement?
Nothing is charged or deducted. You simply do not earn an incentive for that month.
Can I join from any village in Punjab?
Not yet. It operates on selected feeders in water-stressed districts. Ask your PSPCL sub-division whether your feeder is one of them.
Facts checked against www.pspcl.in on 24 July 2026. editorial policy.