Maharashtra Chief Minister Devendra Fadnavis on Wednesday, 15 July announced a ₹48,000 crore waiver on outstanding electricity bill arrears owed by the state's farmers, calling it a decisive step to give the agricultural community a clean financial slate. The announcement was made at a farmers' gratitude ceremony organised by the Bharatiya Janata Party (BJP) Kisan Morcha in Mumbai.

What the Waiver Covers

The waiver wipes out all historical electricity dues accumulated by farmers across Maharashtra. While the state already provides free electricity for pump sets up to 7.5 horsepower (HP), older unpaid bills remained registered against farmers' names, blocking them from obtaining new power connections. The write-off resolves that structural barrier entirely.

Fadnavis quoted directly: 'Our government has decided to write off ₹48,000 crore in old electricity bills. The farmer's slate must be wiped clean so they can write a new history of progress.'

Solar Power and the Road to 100% Daytime Coverage

The state currently backs agricultural power through an annual ₹25,000 crore subsidy, underpinning the Solar Pump and Solar Agricultural Feeder schemes that already deliver daytime electricity to 76% of Maharashtra's farmers. Fadnavis committed to scaling this to 100% of farmers receiving free daytime agricultural power by the end of 2025.

The Chief Minister framed the pivot to solar and sustainable energy as a long-term structural fix rather than a stopgap, contrasting it with repeated loan waivers that, in his view, signal persistent agricultural stress rather than resolve it.

Broader Agricultural Strategy

Fadnavis also referenced the earlier ₹40,000 crore loan waiver, describing both decisions as calculated policy moves rather than pre-election gestures. He argued that the BJP-Mahayuti alliance received an unprecedented mandate in the assembly elections on the strength of these commitments, and that implementation follows through on those promises.

On structural reforms, the government is promoting group farming to reduce input costs and improve market access, incentivising natural farming, and supporting indigenous cattle conservation to improve soil health. Previous conditions attached to loan waivers have reportedly been relaxed to widen eligibility.

Fadnavis credited initiatives launched since 2014 — including Jalyukt Shivar (water conservation) and Magel Tyala Shettale (farm ponds on demand) — with helping millions of farmers shift from single-crop to multi-crop agriculture, harvesting up to three crops a year.

Water Infrastructure: ₹6 Lakh Crore Blueprint

Addressing the fact that 52% of Maharashtra is drought-prone, Fadnavis unveiled a large-scale river-linking and water grid plan. The Wainganga-Nalganga project will divert surplus rainwater into the Godavari and Tapi basins. The blueprint includes constructing 24 new dams and raising the height of 16 existing reservoirs.

Additionally, 200 TMC of floodwater from Western Maharashtra will be redirected to the arid Marathwada region via diversion bunds, and nearly 275 TMC of water from the Ulhas basin will be channelled to North Maharashtra and Marathwada. The total long-term water and agricultural infrastructure outlay is pegged at ₹6 lakh crore.

'Once these works are completed, the next generation of Maharashtra will never have to witness a drought,' Fadnavis said, concluding the address.

What Comes Next

With the electricity arrear waiver now announced, implementation details — including the timeline for crediting the write-off and the mechanism for clearing blocked power connections — are expected to be formalised by state energy officials. The push to extend daytime solar power to the remaining 24% of farmers is the immediate operational benchmark to watch.