The central government has launched the reform-based and results-oriented renewed distribution sector scheme to improve the quality and reliability of the power supply to consumers through a financially sustainable and operationally efficient distribution sector.
The scheme aims to provide the Aggregate Technical & Commercial (AT&C) losses to pan-Indian levels of 12-15% and average cost of service aggregate revenue realized (ACS-ARR) to zero in 2024-25. The scheme has an expenditure of Rs 3,03,758 crore and an estimated global business service (GBS) of Rs 97,631 crore from the central government.
The scheme includes loss mitigation work, including replacement of old and frayed conductors, provision of a high voltage distribution system (HVDS), Ariel Bunch cable (ABC) provisioning, and network upgrades and system upgrades such as supervisory control and data acquisition (SCADA) systems. information technology or operational technology (IT/OT), smart prepaid metering.