Modi takes 'power' jibe at AAP

Days after he had pledged to cooperate with the Aam Aadmi Party (AAP) and work together to make Delhi a better place, Prime Minister Narendra Modi, on Sunday, took a barely veiled jibe at the AAP's manifesto promise of bringing down power bills by 50 per cent.

Speaking at RE-Invest 2015 at Vigyan Bhawan here, Modi said the main reason for lack of irrigation is power and India has a shortage of power because political parties aspiring to power would offer free electricity - especially in states that don't produce any and buy from others. "If you use electricity, the bills are inevitable. You have to pay them," said Modi, eliciting a ripple of laughter from the audience.

The AAP sought help from the Centre in developing Delhi. The PM, by his remarks, made it clear that while administrative help would not be held back, he did consider AAP a political rival and would do nothing to further its election promises if he thought these could prove to be unhealthy for the overall economy.

Despite being only a throwaway remark, it does not portend well for the relationship between the Centre and Delhi, which has been fraught at the best of times because of fuzziness in administrative space. In its manifesto, the AAP had promised to reduce electricity bills in Delhi, among the lowest in India, by half at Rs 3 a unit in the minimum consumption slab.

Research by Business Standard, based on calculations by the Delhi power distribution companies, shows any rate lower than Rs 2.8 a unit is practically impossible for Delhi's budget to bear.