Key National Initiatives Strengthening Indian Power Distribution Sector
Major national‑level initiatives aimed at strengthening DISCOMs and GENCOs, improving sector liquidity, and enhancing operational and financial sustainability. Executive Summary – Key National Initiatives Strengthening India’s Power Distribution Sector The Government of India has implemented a series of structural, financial, and technology‑driven reforms to improve the operational efficiency and financial viability of DISCOMs and GENCOs. These initiatives collectively aim to reduce AT&C losses, ensure timely payments, modernise networks, attract private investment, and enhance long‑term sector sustainability. 1. Supply‑Side Reforms to Enable Low‑Cost Power Procurement Ultra Mega Power Projects (UMPPs) Launched to develop ~4000 MW supercritical thermal plants through tariff‑based competitive bidding to deliver low‑cost power at scale. PFC incorporates SPVs for each UMPP to manage approvals, conduct bidding, and transfer a “de‑risked project” to the successful developer. Multiple ...