Revamped Distribution Sector Scheme: Meghalaya, Assam frontrunners in planning operational, financial reforms

The Government of India launched the Reforms-based and Results-linked, Revamped Distribution Sector Scheme (RDSS), informed the Ministry of Power on Sunday.

As per the ministry, the objective is to improve the operational efficiencies and financial sustainability of State-owned DISCOMs/ Power Departments by providing financial assistance to DISCOMs for modernization and strengthening of distribution infrastructure.

The state governments of Meghalaya and Assam have become the frontrunners in planning their operational and financial reforms as well as the underlying works to accomplish the same under Revamped Distribution Sector Scheme (Nodal Agency - REC), said the ministry.

Accordingly, their state-level Distribution Reforms Committee (DRC) and State Cabinet have approved the proposals, including Action Plan and DPR, for consideration under the scheme.

The Action Plans from the states include multiple reform measures aimed towards loss reduction, implementation of smart prepaid metering of the majority of their consumer base, 100 percent feeder level energy accounting by FY 23, reconductoring of old/frayed conductors, conversion to LT ABC, bifurcation of feeders, segregation of agriculture feeders, and up-gradation of billing and other IT/OT systems, in addition to works towards improving quality and reliability of supply.

The Revamped Distribution Sector Scheme has an outlay of Rs.3,03,758 crore with estimated budgetary support from the Central Government of Rs. 97,631 crores, which would be available till FY 2025-26.

( With inputs from ANI )

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