{"id":123358,"date":"2021-08-04T18:07:36","date_gmt":"2021-08-04T12:37:36","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=123358"},"modified":"2021-08-05T16:14:03","modified_gmt":"2021-08-05T10:44:03","slug":"niti-aayog-and-rmi-release-a-report-on-power-distribution-sector","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/niti-aayog-and-rmi-release-a-report-on-power-distribution-sector\/","title":{"rendered":"NITI Aayog and RMI Release a Report on Power Distribution Sector"},"content":{"rendered":"<p><strong>Source: <\/strong><a href=\"https:\/\/www.pib.gov.in\/PressReleasePage.aspx?PRID=1741780\"><strong>PIB<\/strong><\/a><\/p>\n<h5><strong>What is the News?<\/strong><\/h5>\n<p>NITI Aayog and RMI have released a report titled \u201cTurning Around the Power Distribution Sector\u201d.<\/p>\n<h5><strong>Purpose of the Report:<\/strong><\/h5>\n<ul>\n<li><strong>The report presents a review of reform efforts<\/strong> in the Indian and global power distribution sector. It extracts the learnings and best practices from policy experience that exists in the country.<\/li>\n<\/ul>\n<h5><strong>Key Findings of the Report:<\/strong><\/h5>\n<p><strong>Power Distribution Sector in India:<\/strong><\/p>\n<ul>\n<li><strong>Most power distribution companies<\/strong> (or discoms) in India incur losses every year\u2014the total loss is estimated to be \u20b9 90,000 crores in FY 2021.<\/li>\n<li><strong>Due to these accumulated losses, <\/strong>discoms are unable to pay for generators on time.<\/li>\n<li><strong>Reasons: <\/strong>Part of the reason for these losses is the tension between two different outlooks:\n<ol>\n<li>Is electricity an essential public service whose provision at low rates is necessary for citizen welfare, or<\/li>\n<li>Is it a commodity to be bought and sold on the market like any other?<\/li>\n<\/ol>\n<\/li>\n<\/ul>\n<table style=\"border-collapse: collapse; width: 100%;\">\n<tbody>\n<tr style=\"background-color: #f2e9f1;\">\n<td style=\"width: 100%;\"><strong>Read more<\/strong>: <a href=\"https:\/\/forumias.com\/blog\/problems-with-discoms-need-radical-reforms\/\" target=\"_blank\" rel=\"noopener\">Problems with discoms need radical reforms\u00a0<\/a><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h5><strong>Reforms suggested by the Report:<\/strong><\/h5>\n<ul>\n<li><strong>Discom Restructuring: <\/strong>Only 10% of India\u2019s population is served by private distribution licensees. Hence, <strong>good Corporate Governance and higher private participation in distribution<\/strong> hold out the possibility of greater efficiency.<\/li>\n<li><strong>Regulatory Reforms: <\/strong>The state governments should promote<strong> autonomy, competence and transparency<\/strong> of the State Electricity Regulatory Commission(SERC).<\/li>\n<li><strong>Operational Reforms: <\/strong>The overall AT&amp;C loss figure in India is as high as 24.54%. Many discoms need to improve their billing efficiency through better and smart metering.<\/li>\n<li><strong>Renewable Energy Integration Reforms: <\/strong>Discoms need to prepare to accommodate an increasing amount of renewable energy (RE), from generators as well as prosumers.<\/li>\n<li><strong>Managerial Reforms<\/strong>: Effective reforms such as easily accessible call centres, convenient bill payment facilities can help <strong>reduce customer dissatisfaction and increase revenue<\/strong>. Moreover, <strong>Performance incentives<\/strong> can also help align discom employees to the interests of the organisation.<\/li>\n<\/ul>\n<table style=\"border-collapse: collapse; width: 100%;\">\n<tbody>\n<tr style=\"background-color: #f2e9f1;\">\n<td style=\"width: 100%;\"><strong>Read more<\/strong>: <a href=\"https:\/\/forumias.com\/blog\/reform-based-scheme-discoms-get-till-dec-31\/\" target=\"_blank\" rel=\"noopener\">Reform-based scheme: Discoms get till Dec 31<\/a><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n","protected":false},"excerpt":{"rendered":"<p>Source: PIB What is the News? NITI Aayog and RMI have released a report titled \u201cTurning Around the Power Distribution Sector\u201d. 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&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/niti-aayog-and-rmi-release-a-report-on-power-distribution-sector\/\">Continue reading <span class=\"screen-reader-text\">NITI Aayog and RMI Release a Report on Power Distribution Sector<\/span><\/a><\/p>\n","protected":false},"author":10317,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1566,3127,1305,9],"tags":[8715,4449,768],"class_list":["post-123358","post","type-post","status-publish","format-standard","hentry","category-daily-factly-articles","category-economy","category-index-reports-bodies","category-public","tag-discom-restructuring","tag-discoms","tag-energy","entry"],"jetpack_featured_media_url":"","views":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/123358","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10317"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=123358"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/123358\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=123358"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=123358"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=123358"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}