Transmission network has been expanded to connect the whole country into one integrated grid with inter-regional transfer capacity of over 1 lakh MW
Power Minister R K Singh on Friday said that providing quality and reliable power supply round-the-clock is a key factor for accelerated growth of the economy.
‘Providing 24×7 quality and reliable power supply with enhanced consumer satisfaction is very important as this is the key ingredient for accelerated growth of economy and country at large,’ Singh said in a statement after chairing a review meeting.
He chaired the virtual meeting with Additional Chief Secretaries/Principal Secretaries (Power/Energy) and CMDs/MDs of DISCOMS of all States/UTs.
Minister of State for Power Krishan Pal Gurjar, Union Secretary Power Alok Kumar and senior power ministry officials were also present at the meeting.
During the meeting, reforms being undertaken in the power sector as well as on the guidelines of the new Reforms Based and Results Linked Distribution Sector Scheme were reviewed. IPDS and DDUGJY Schemes were also reviewed.
At the meeting, Singh said the power sector has witnessed tremendous growth over the past few years in the areas of generation, transmission and distribution. With a total installed generation capacity of 384 GW, the country has transformed from a power deficit to a power surplus country.
Transmission network has been expanded to connect the whole country into one integrated grid with inter-regional transfer capacity of over 1 lakh MW, he noted.
With the joint efforts of the Centre and state governments, universal access has been achieved, with 100 per cent electrification of the villages and electrification of 2.82 crore households, the minister said and emphasised that in today’s scenario, all policies and programmes should be consumer centric.
Under the DeenDayalUpadhyaya Gram Jyoti Yojana and Integrated Power Development Scheme for strengthening the distribution system, 2,798 new substations have been set up, 3,930 substations have been upgraded and 2.5 crore meters had been provided, among others.
Singh said the revamped distribution sector scheme was the largest of its kind in the power sector and that there are enough funds to meet the requirements of the states/DISCOMs for distribution system strengthening and modernisation.
While calling for a major technological push by DISCOMs, Singh said the scheme envisages extensive use of Artificial Intelligence (AI) and Information Technology (IT) for system-generated energy accounting to enable energy audit and modernisation of distribution infrastructure for loss reduction as well as improvement in reliable power supply.
Among others, the scheme provides for the separation of agricultural feeders and DISCOMs should also take advantage of KUSUM Scheme for separation and solarisation of the agricultural feeders, Singh said.
The target of the scheme is to bring down the Aggregate Technical and Commercial (AT&C) losses to 12-15 per cent at the all India level as well as to reduce the gap between Average Cost of Supply (ACS) and Average Revenue Realised (ARR) to zero by 2024-25.
Singh said that a DISCOM which is making losses will not be able to access funds under the revamped distribution sector scheme unless it draws up a plan to reduce the losses, lists out the steps it will take to reduce such losses and meet other conditions.
According to the minister, action plans and DPRs need to be formulated by the DISCOMs in consultation with the nodal agency/ power ministry.
DISCOMs will also indicate specific activities and reforms required to improve their performance as part of the Action Plan.
The deadline for DPRs (Detailed Project Reports) submission is December 31, 2021.