25/02/2015 5:07 PM IST | Updated 15/07/2016 8:25 AM IST

Delhi Government Announces Cheaper Power, Free Water

Leader of the Aam Aadmi Party, or Common Man’s Party, Arvind Kejriwal, center, waves to the crowd as his party looks set for a landslide party in New Delhi, India, Tuesday, Feb. 10, 2015. The upstart anti-corruption party appeared set to install a state government in India's capital in a huge blow for Prime Minister Narendra Modi's Hindu nationalist party. As early trends pointed to an overwhelming win for the AAP, the party's jubilant supporters began cheering and dancing in celebration, yelling

The Aam Aadmi Party government of Delhi has announced reductions in power tariff, and offered free water to its residents. AAP will fulfil these two major promises of its campaign at the cost of around Rs.1,670 crore annually to the exchequer, PTI reported.

In a press conference on Wednesday afternoon, Manish Sisodia, Deputy Chief Minister, announced reduction in power tariffs by 50 percent till 400 units. Sisodia said that this will benefit 36 lakh people, 90 percent of domestic consumers in Delhi, will be effective from March 1. Those consuming more than 400 units will have to pay full charges.

The Delhi government will also waive off water and sewer charges for those consuming 20,000 litres from March 1. Sisodia said that free water will also be available to group housing societies.

P.N. Mehrotra, an economics professor at Allahabad University, said that AAP's move did not have any "economic logic," but it was based on their ideology to eliminate corruption. AAP, Mehrotra explained, believes it can afford these subsidies if it cuts down on the money lost in corrupt practices. "They believe that business dealings should be transparent, there should be no hidden costs, and no corruption," he told HuffPost India. "If you can pay seven rupees instead of 10 rupees then you use that money in other schemes."

AAP had rolled out these schemes when it formed the government in Delhi, last year. But these schemes were discontinued after AAP stepped down on Feb 14, 2014. On Wednesday evening, Chief Minister Arvind Kejriwal said that his party had delivered on its promise.

Soon after the announcement, #आपकीसरकार was trending on Twitter.