The subsidy from the USOF was disbursed in four quarterly installments during each financial year. Each installment shall be disbursed quarterly in arrears. In case the total amount disbursed for a financial year based on quarterly self-assessment claims of the USP results in excess payment by more than 10% of the actual subsidy due to him, the entire amount of excess payment shall be recovered along with an interest at the prime lending rate of State Bank of India prevalent on the day the respective disbursement was made.
In cases of faults for more than 7 days in a quarter, the subsidy shall be deducted proportionately for the total number of days the VPT remained faulty during the quarter.
With effect from the quarter ending 30.09.2004, VPTs that remain disconnected on account of non-payment and VPTs that register no incremental meter reading during the entire quarter shall not qualify for any subsidy support for that quarter (vide letter no. 30-101/2002-USF dt 14.09.04).
Claims from QE December 2007 onwards should contain a list of NIMR/Closed/DNP VPTs (vide letter no. 1-1/2007-USOF dated 19th November 2007).
Subsidy claims from QE June 2008 onwards should be certified by the concerned GM/DGM (TR) to the effect that information furnished in the claim tallies with the billing record (vide USO letter no. 1-1/2008-USOF dated 6th May 2008).