Delhi govt subsidies form major chunk of budgetary expenditure: Report

“It is likely to increase by 43.57% between 2023-24 and 2025-26. However, the increase in revenue receipts from 2024-25 (RE) to 2025-26 (BE) is 29.4%,” the report said.

While the total disbursement of the Delhi government was Rs 65,823.87 crore in 2023-24 (A/c), the total outlays for 2024-25 (RE) and 2025-26 (BE) were to the tune of Rs 69,500.00 crore and Rs 1,00,000 crore, respectively.

Of the total expenditure of Rs 65,823.87 crore, about 95% constitutes current transfers, including subsidy (35.8%), the report said.

Other key expenditures include compensation of employees (23.99%), new construction (9.46%), purchase of goods and services (8.08%), repayment of loan to the central government (7.59%), and advances (5.53%).

These items constitute the major share of total expenditure during the subsequent years,  the report pointed out.

The component of gross expenditure on current transfers, including the subsidy, has been Rs 23,563.22 crore, Rs 25,896.13 crore and Rs 34,519.86 crore in 2023-24 (A/c), 2024-25 (RE) and 2025-26 (BE), respectively.

Current transfers or grants include funds to aided schools, scholarships and stipends, welfare of the weaker sections of the society, private institutions, local bodies and autonomous bodies.

The major chunk of the subsidy expenditure is spent on concessional passes issued by the Delhi Transport Corporation (DTC), compensation for meeting deficit of public transport buses and for working deficit of DTC for operation of buses, subsidies for female commuters, subsidies for electric vehicles, subsidies to consumers for sugar, subsidies paid to the consumers through discoms and sops to consumers through Delhi Jal Board and New Delhi Municipal Council, added the report.