Utilization of funds by state governments under the Centrally-sponsored Integrated Power Development Scheme (IPDS) currently stands at a healthy 95.1 per cent, information tabled in Parliament suggests.
According to information tabled in the Lok Sabha during the recently-concluded winter session of Parliament, states and Union territories were together able to use 95.1 per cent of the total funds allocated/released by the Central government under IPDS, taken cumulatively from the launch of the scheme up to November 30, 2021.
The total funds allocated under IPDS up to November 30, 2021, stood at Rs.16,477 crore, against which funds utilized stood at Rs.15667 crore – implying utilization of 95.1 per cent. (see table).
In terms of funds allocated, Uttar Pradesh was the leading state with Rs.2886.53 crore, utilization of which stood at a remarkable 95.7 per cent. This northern state alone accounted for nearly one-fifth of the total funds released under IPDS. West Bengal, Bihar, Maharashtra and Tamil Nadu – in that order – followed Uttar Pradesh, in terms of cumulative funds released. These top five states accounted for nearly half of the total release of funds under the scheme.
States that came next in order were Madhya Pradesh, Rajasthan, Karnataka, Gujarat and Odisha. Fund utilization in the top 10 states was higher than the national average, and stood at 97.4 per cent. Rest of India had cumulative fund utilization of 89 per cent.
Bihar, Maharashtra, Rajasthan and Gujarat were among the top ten states that had fund utilization of very close to 100 per cent.
[Please note that funds allocated/released discussed above implies those granted by the Central Government. Generally, the Central government, under IPDS, releases 60 per cent of the total project cost. This percentage is higher for “special category states”. Also, there is provision for additional grant subject to discoms achieving project milestones.]
The Integrated Power Development Scheme (IPDS) was introduced by the present government when it came to power in 2014. Launched on December 3, 2014, IPDS replaced the erstwhile programmes – RAPDRP (Part A) and RAPDDRP (Part B). Power Finance Corporation (PFC) is the nodal agency for IPDS. All state government discoms are eligible for financing under IPDS.
Also read: GIS Substation Inaugurated In Jaipur, Under IPDS
The main objectives of IPDS are:
- Strengthening of sub-transmission and distribution networks in the urban areas
- Metering of distribution transformers / feeders / consumers in the urban areas
- IT-enablement of power distribution sector and strengthening of distribution network under R-APDRP for XII and XIII Plan periods, by carrying forward the approved outlay for RAPDRP to IPDS.
Schemes for Enterprise Resource Planning (ERP) and IT-enablement of balance urban towns are also included under IPDS. Scope of IT enablement has been extended to all 4,041 towns as per Census 2011.
Outlay
According to the official IPDS website, the estimated cost of IPDS with the components of strengthening of sub-transmission and distribution networks, including metering of consumers in the urban areas is Rs.32,612 crore which includes the requirement of budgetary support from Government of India of Rs.25,354 crore over the entire implementation period.
The component of IT-enablement of distribution sector and strengthening of distribution network approved by CCEA in June, 2013 in the form of R-APDRP for 12th and 13th Plans (enumerated in #3 above) will get subsumed in this scheme. The CCEA-approved scheme outlay of Rs.44,011 crore including a budgetary support of Rs.22,727 crore will be carried over to the scheme of IPDS.
Featured photograph, showing a substation recently inaugurated under IPDS, is for representation only.