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Upadhyaya Gram Jyoti Yojana), IPDS (Integrated Power Develop-      •   In order to improve the performance of the distribution sec-
             ment Scheme) and SAUBhAGYA (Pradhan Mantri Sahaj Bijli har Ghar        tor, a number of attempts have been made by Government of
             Yojana) have shown marked progress.                                    India. These include legal and regulatory reforms under the
                 •   The distribution sector is now buzzing with endeavors in-      electricity Regulatory Commissions Act, 1998, and the elec-
                    cluding smart metering by Uttar Pradesh, prepaid metering       tricity Act, 2003, which paved the way for competition and
                    by Manipur, IT implementation by Tripura, introduction of       altered the industry structure and governance framework.
                    energy Audit Software (eAS) by Madhya Pradesh, constitu-    •   The eA 2003 de-licensed generation and enabled rapid ca-
                    tion of anti-theft vigilance squad by Rajasthan, electricity    pacity addition through private sector participation. To re-
                    theft prevention campaigns by haryana, etc.                     vive the financially stressed sector, the central government
                 •   For modernisation of distribution segment, the Government      from time to time has initiated bailout packages such as the
                    has notified a target of making all meters – smart and prepaid   Financial Restructuring Plan (FRP) in 2012-13 and UDAY in
                                                   st
                    over a period of three years starting 1  April 2019. NTPC and   2015-16. Further, government schemes such as DDUGJY, Re-
                    POWeRGRID have entered into a joint venture for entering        structured Accelerated  Power  Development  and  Reforms
                    into electricity distribution business.                         Programme  (R-APDRP),  and  IPDS,  aimed  at  increasing  the
                 •   Under the UDAY scheme, more than INR 36,000 Crores (USD        number of connections and strengthening the distribution
                    5.02 bn) interest cost has been saved by DISCOMs in past        network, have been undertaken.
                    two years. AT&C losses have come down to 18.76% in FY18     •   Govt of India is drafting a national perspective plan to ad-
                                              1
                    as compared to 20.77% in FY16 . The current national level      dress all the people, process and technology related aspects
                    ACS-ARR (average cost of supply and the revenue realised)       required for making the power sector robust and resilient.
                    gap is at 26 paisa/unit as compared to 58 paisa/unit in FY16 .   The plan would aim at sustaining the goal of 24X7 uninter-
                                                                    2
                    States like Gujarat,  himachal Pradesh, Karnataka, Kerala,      rupted Power for all with increasing demand of electricity by
                    Tamil Nadu, Telangana, Dadra & Nagar haveli and Daman &         consumers. The plan would lay emphasis on 100% metering
                    Diu have already achieved less than 15% AT&C losses.            of all consumers, power reliability and availability. Addition-
                 •   India’s rank in World Bank’s ease of doing business - “Get-    ally, the plan also envisages conversion of all electricity con-
                    ting electricity” Ranking has improved to 24 in 2018 from 137    sumer meters into smart meters in prepaid mode within the
                    in 2014.                                                        next three years. Smart metering would empower consum-
                 •   A national perspective plan at the distribution level is being   ers with tools to help them conserve energy and plan their
                    drafted by Central electricity Authority (CeA), with needs of   electricity usage in an efficient and optimum manner.
                    the consumers at the centre of its focus. The plan anticipates   •   To facilitate state utilities to ensure quality and reliable 24x7
                    an increase in distribution sub-station capacity of 38% and     power supply in the urban areas, Government of India had
                    in distribution transformation capacity of 32% as well as an    launched IPDS in 2014 for strengthening of sub-transmission
                    increase in feeder lengths of 27-38% till 2022.                 and distribution networks in the urban areas, metering of
                                                                                    distribution transformers, feeders and consumers in the ur-
             opportunities                                                          ban areas and IT enablement of distribution sector among
                                                                                    others.
                 •   The viability and efficiency of the distribution segment
                    would be critical to attract investments into other segments
                    of power sector value chain. The overall investments and ef-  in the distribution segment, emerging
                    ficiency of the power sector has significant impact on the   areas like rooftop solar, electric vehicles
                    overall socio-economic development of the country. There-
                    fore, future strategies need to be based on an integrated ap-  and smart meters are going to open
                    proach supported by all stakeholders including government,   additional avenues of investment
                    regulator, utility and consumers at large.


             EnErgising sustainablE & ProsPErous FuturE                                                                            33
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