According to the state's information and public relations department, the Aam Aadmi Party (AAP) government in Punjab announced today that every family will receive 300 units of free power starting July 1.
The declaration comes on the one-month anniversary of the Bhagwant Mann-led government in the state.
Chief Minister Bhagwant Mann said on Tuesday that he will soon offer the people of Punjab "good news," implying that the announcement could come this week.
"Arvind Kejriwal, our leader and Delhi's chief minister, and I had a fantastic meeting. Soon, I will bring good news to the Punjabi people "Mr Mann said in a tweet.
Meanwhile, Punjab Congress chairman Amrinder Singh Raja Warring took a swipe at the Chief Minister, questioning the move and the restrictions that came with it.
"The proof of the pudding, as they say, is in the eating...
The facts and circumstances related to your 300 unit free power will be used to test its veracity. Best of luck to PSPCL, who must now find a way to survive "Mr. Warring sent out a tweet.
Punjab, for example, was already offering free electricity to the agricultural sector. It also gives 200 units of free electricity to all Scheduled Castes, backward castes, and low-income families.
One of the primary promises made by AAP in the run-up to the Punjab Assembly elections was to provide free energy to every family for up to 300 units.
Arvind Kejriwal, the AAP convener and Delhi Chief Minister, had made the promise last year, saying that despite the state's surplus electricity output, protracted power interruptions are imposed and many people face inflated rates.
"Many people in villages have received "wrong" invoices and their power connections have been terminated due to non-payment, and such people have resorted to stealing power," Mr Kejriwal said.
Last month, Punjab Chief Minister Bhagwant Mann announced the implementation of the doorstep ration delivery plan, which was also a significant election campaign issue for the AAP.
On March 19, Mr Mann announced the opening of 25,000 posts in various state government departments, including 10,000 in the Police Department, as the first decision of his first Cabinet meeting.
The AAP devastated the Congress, the Shiromani Akali Dal-Bahujan Samaj Party coalition, and the BJP-Punjab Lok Congress-SAD (Sanyukt) alliance in the Punjab Assembly elections last month.
In the 117-member assembly, the Congress, which was in power in the state, received 18 seats, while the AAP received 92.