Govt issues detailed guidelines to revamp discoms

28 Jul 2021 CW Team

To reform the result-linked power distribution program for the upcoming five years, the Ministry of Power (MoP) has announced detailed guidelines.

The program targets to enhance the quality and the security of power supply to consumers by an operationally effective distribution area and which is sustainable financially.

The plan is to decrease the aggregate technical and commercial (AT&C) losses over India to 12-15% and reduce the gap between the aggregate revenue and the average cost of supply by 2024-25.

As per the MoP, the cost for the program is Rs 3.03 trillion, including the budgetary provision of Rs 976.31 billion from the Indian government.

The nodal companies responsible for executing the program over India would be Power Finance Corporation Limited and REC Limited.

States and their distribution companies (discoms) need to sign a tripartite agreement with the central government to avail of the benefits under the program.

An inter-ministerial monitoring committee would be formed under the MOPs Secretary chairmanship. The monitoring committee would design and allow every action plan and detailed project report (DPR) of discoms/states and observe the program's execution.

Finance Minister, Nirmala Sitharaman, announced the Covid-19 economic relief package and revealed different sops for discoms, including Rs 3.03 trillion, the cost for reform-based result-linked power distribution program.

The program will consist of the Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY), Integrated Power Development Scheme (IPDS), and the Prime Minister’s Development Package (PMDP)- 2015 for Jammu & Kashmir, and the profits of the gross budgetary support of nearly Rs 170 billion.

The range of the program is split into two parts. Part-A consists of financial aid for the up-gradation of the infrastructure, metering system, and prepaid metering.

Part-B comprises training capacity building and additional supporting and enabling activities.

Image Source

Also read: Ministry of Power announces ninth yearly ratings for state discoms

To reform the result-linked power distribution program for the upcoming five years, the Ministry of Power (MoP) has announced detailed guidelines. The program targets to enhance the quality and the security of power supply to consumers by an operationally effective distribution area and which is sustainable financially. The plan is to decrease the aggregate technical and commercial (AT&C) losses over India to 12-15% and reduce the gap between the aggregate revenue and the average cost of supply by 2024-25. As per the MoP, the cost for the program is Rs 3.03 trillion, including the budgetary provision of Rs 976.31 billion from the Indian government. The nodal companies responsible for executing the program over India would be Power Finance Corporation Limited and REC Limited. States and their distribution companies (discoms) need to sign a tripartite agreement with the central government to avail of the benefits under the program. An inter-ministerial monitoring committee would be formed under the MOPs Secretary chairmanship. The monitoring committee would design and allow every action plan and detailed project report (DPR) of discoms/states and observe the program's execution. Finance Minister, Nirmala Sitharaman, announced the Covid-19 economic relief package and revealed different sops for discoms, including Rs 3.03 trillion, the cost for reform-based result-linked power distribution program. The program will consist of the Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY), Integrated Power Development Scheme (IPDS), and the Prime Minister’s Development Package (PMDP)- 2015 for Jammu & Kashmir, and the profits of the gross budgetary support of nearly Rs 170 billion. The range of the program is split into two parts. Part-A consists of financial aid for the up-gradation of the infrastructure, metering system, and prepaid metering. Part-B comprises training capacity building and additional supporting and enabling activities. Image Source Also read: Ministry of Power announces ninth yearly ratings for state discoms

Infrastructure Transport

06 Feb 2026

Lucknow Metro East-West Corridor Consultancy Contract Awarded

The Uttar Pradesh Metro Rail Corporation has awarded the first construction-related consultancy contract for the Lucknow Metro East West Corridor to a joint venture of AYESA Ingenieria Arquitectura SAU and AYESA India Pvt Ltd. The firm was declared the lowest bidder for the Detailed Design Consultant contract for Lucknow Metro Line-2 under Phase 1B and the contract was recommended following the financial bid. The contract is valued at Rs 159.0 million (mn), covering design services for the corridor. Lucknow Metro Line-2 envisages the construction of an 11.165 kilometre corridor connecting Cha..

Infrastructure Urban

06 Feb 2026

Div Com Kashmir Urges Fast Tracking Of Jhelum Water Transport Project

The Divisional Commissioner of Kashmir has called for the fast-tracking of the Jhelum water transport project, urging district administrations and relevant agencies to accelerate planning and clearances. In a meeting convened at the divisional headquarters, the commissioner instructed officials from irrigation, public health engineering and municipal departments to prioritise the project and coordinate survey and design work. The directive emphasised removal of administrative bottlenecks and close monitoring to ensure timely mobilisation of resources and contractors. Officials were told to in..

Infrastructure Urban

06 Feb 2026

Interarch Reports Strong Q3 And Nine Month Results

Interarch Building Solutions Limited reported unaudited results for the third quarter and nine months ended 31 December 2025, recording strong revenue growth driven by execution and a robust order book. Net revenue for the third quarter rose by 43.7 per cent to Rs 5.225 billion (bn), compared with Rs 3.636 bn a year earlier, reflecting heightened demand in pre-engineered building projects. The company’s total order book as at 31 January 2026 stood at Rs 16.85 bn, supporting near-term visibility. EBITDA excluding other income for the quarter increased by 43.2 per cent to Rs 503 million (mn),..