India’s power sector has been struggling for decades with rising subsidies, widening deficits and deep inefficiencies. In this system, farmers have been facing a paradox—subsidized tariffs on paper, but poor quality of supply, untimely power and unreliable infrastructure.
The Electricity (Amendment) Bill seeks to break this cycle. While some farmers’ unions fear cost increases and privatization, the actual provisions of the Bill paint a different picture—one that provides farmers with greater reliability, stronger protections, and transparent subsidies. In fact, the Bill is a step in the direction of sustainability—and its biggest beneficiaries are farmers.
1. A major step towards reliable and predictable power supply for agriculture
For many years, the biggest problem with electricity in rural India has not been tariffs, but unreliable supply.
Farmers across the country repeatedly face these problems:
● Power outages in the middle of the night or early in the morning,
● Voltage drop,
● Frequent burning of motors,
● Equipment damage,
● Unavailability of three-phase supply.
The main reason for this is that the financial condition of the DISCOMs is very weak, due to which they cannot maintain the infrastructure or ensure reliable supply.
How the Bill fixes this:
Better governance, timely payment of subsidy and financial stability will enable DISCOMs to:
● Upgrade rural feeders,
● Voltage improvement,
● Lack of half-heartedness,
● Scheduled and weather-friendly electricity timings for farmers.
Farmers will be the first to benefit from the financial strength of DISCOMs.
2. Subsidies are not being abolished—they are being strengthened.
It is a big misconception that the bill will remove subsidies.
In fact, it makes subsidies more transparent and accountable.
Instead of hidden discounts in tariffs, state governments will now pay the subsidy amount directly to DISCOMs.
This will benefit farmers:
● It will become a legal obligation for states to provide subsidy on time,
● DISCOMs will be spared from financial pressure,
● Any deductions or interruptions in electricity due to late receipt of subsidy will not be made,
● Subsidy will become a firm right, not just a political promise.
This is a step towards confidence and stability for farmers.
3. Competition not privatization
Some people believe that bringing competition into the distribution sector means privatization.
The bill never says this.
What competition really means:
● Multiple service providers can operate,
● Performance can be compared,
● Service quality increases,
● Farmers in particular have the right to demand better service.
Farmers are concerned about who is providing electricity, not how reliable and timely it is.
The current monopoly has not ensured that.
Competition can.
4. Why the opposition is understandable—but the bill is still a good opportunity
Farmers’ unions remember past policy setbacks and fear hidden tariff hikes.
Their concerns are legitimate.
But scrapping the bill altogether will leave farmers stuck in the same old, broken power system.
The bill lays the foundation for transparent subsidies, improved infrastructure and firm service standards.
5. What reforms should farmers demand in the bill?
Instead of opposing it outright, farmer organizations can seek these guarantees in the bill to ensure:
1. Legally protected agricultural subsidies
2. Electricity supply for agriculture with commitment of specified hours
3. Penalties and compensation for voltage fluctuations and motor damage
4. Transparent grievance redressal system
5. Time-bound plans for rural feeder and network upgrades
These demands are reasonable, implementable and completely pro-farmer.
They can turn the bill into a charter.
Final conclusion: Potential for true empowerment
The old system has repeatedly let farmers down—poor supply, erratic timing, dilapidated infrastructure, and perpetual uncertainty.
The Electricity Amendment Bill is an opportunity to break free from this.
If implemented responsibly and safely, it could deliver:
● More reliable electricity,
● Transparent subsidy,
● Less downtime,
● Less motor and equipment damage,
● A responsible and accountable distribution system.
This is not a burden on farmers—but a step towards their empowerment.
The real opportunity lies not in repealing the bill, but in making it farmer-friendly.
For India’s farmers, it can make the difference between uncertainty and confidence, dependency and self-reliance.
