Free power at a big price

Synopsis: The promise of free power to households/ other activities cannot be sustained. Introduction With elections coming near in many states, political parties started offering a lot of freebies to the people. Promises such as free power up to 300 units /month for households, free households, free households etc have been made. These all have… Continue reading Free power at a big price

Nursing the ailing power discoms back to health

Synopsis: Despite the UDAY scheme, the condition of DISCOMS is critical. This demands a closer analysis. Introduction The DISCOMS provide power to households by connecting power producers to households. Though this seems a good economic proposition, the condition of DISCOMS in India is fragile. What are the causes for the fragile economic health of Discoms?… Continue reading Nursing the ailing power discoms back to health

SAUBHAGYA completes Four years of successful implementation

What is the News? SAUBHAGYA Scheme has completed four years of successful implementation. What is the Saubhagya Scheme? The SAUBHAGYA Scheme was announced by the Prime Minister in 2017.  Objective: To achieve Universal Household Electrification in the country through last-mile connectivity and providing access to electricity to all un-electrified households in rural areas and poor… Continue reading SAUBHAGYA completes Four years of successful implementation

Explained: Electricity amendment bill 2021 —why are states such as WB opposing it?

Source: Indian Express Relevance: Resolving issues with the discom-sector. Synopsis: The Central government is facing opposition to the Electricity Amendment Bill 2021 even before it is introduced in Parliament. Examining key concerns being raised. Context West Bengal Chief Minister has written to the Prime Minister requesting that the Bill not be brought before Parliament claiming… Continue reading Explained: Electricity amendment bill 2021 —why are states such as WB opposing it?

NITI Aayog and RMI Release a Report on Power Distribution Sector

Source: PIB What is the News? NITI Aayog and RMI have released a report titled “Turning Around the Power Distribution Sector”. Purpose of the Report: The report presents a review of reform efforts in the Indian and global power distribution sector. It extracts the learnings and best practices from policy experience that exists in the… Continue reading NITI Aayog and RMI Release a Report on Power Distribution Sector

Order & stability in power supply

Source: Business Standard Synopsis: India’s solar energy price reduction needs other reforms from the government to enhance India’s solar capacity. About Japanese investment in solar energy: In 2015, Japan’s SoftBank Group announced the intention to invest $20 billion in India in solar projects through SB Energy (SBE). It seemed ideal for India. With abundant sunshine… Continue reading Order & stability in power supply

Smart Metering Program shouldn’t be implemented in Haste

Relevance: Inefficient discoms have been a critical problem for India’s power sector since long.   Synopsis: Smart meters have the power to improve the revenue recovery rate of discoms and ensure better electricity services to the consumer. But such outcomes can be expected only if our roll-out program are executed well and not in haste.  Background:  Announced in Union Budget 2020 –21, smart… Continue reading Smart Metering Program shouldn’t be implemented in Haste

Renewable energy: Centre looking to set up portal to disclose payment delays by Discoms

The Ministry of New and Renewable Energy(MNRE) is considering setting up a web portal to publicly disclose payment delays to renewable energy players from power distribution companies (Discoms).This move is expected to usher in more transparency in pending payments. The industry has demanded that a portal should be similar to Payment Ratification and Analysis in… Continue reading Renewable energy: Centre looking to set up portal to disclose payment delays by Discoms

Discom debt to return to pre-UDAY levels

According to the credit ratings agency Crisil,the debt of state-owned electricity distribution companies(discoms) is set to increase to pre-Ujwal Discom Assurance Yojana(UDAY) levels of ₹2.6 lakh crore by the end of 2019-20. The Ujwal Discom Assurance Yojana(Uday) was launched in 2015.It envisaged state governments taking over 75% of the utilities debts,thus reducing the interest burden… Continue reading Discom debt to return to pre-UDAY levels