Power Secy: Grants to discoms based on action plan progress, all states on board, Feb 8, 2022

Posted On : March 07, 2022

All states are on board for the Centre’s Rs 3.03-lakh-crore discom reform scheme, Power Secretary Alok Kumar told The Indian Express, noting that the scheme had incorporated learnings from previous schemes aimed at reforming power distribution, which is often termed the weak link of India’s power sector.

Kumar noted that power distribution companies (discoms) in most states and union territories had submitted their reform plans under the Revamped Distribution Sector Scheme (RDSS) and the government was likely to sanction all plans that are in accordance with the scheme guidelines by the end of the fiscal. The RDSS aims to reduce the aggregate technical & commercial (AT&C) losses across discoms to 12-15 per cent and to reduce the gap between average cost of power supply and average revenue realised to zero by FY25. The targets for the RDSS are largely the same as the targets under the Ujwal Discom Assurance Yojana (UDAY), that was launched by NDA government