Over 75 per cent of the total sanctioned loss-reduction works, in value terms, under the Revamped Distribution Sector Scheme (RDSS), has so far been awarded.
In a written reply in the Rajya Sabha, Shripad Naik, Minister of State for Power, said that a total of Rs.1,45,754 crore was sanctioned for loss-reduction (distribution infrastructure upgrade) under RDSS. Of this, around Rs.1,12,390 crore worth of projects, or 77 per cent, were awarded.
These loss-reduction works, exclude smart metering, and typically include upgradation/ augmentation of substations and distribution transformers, upgrading of conductors and segregation of mixed-load feeders.
As of March 6, 2025, the overall physical progress on distribution infrastructure works under RDSS stood at 23.18 per cent, at the national level.
It may be mentioned that a total of Rs.2.78 lakh crore has been sanctioned under RDSS, which includes around Rs.1.32 lakh crore for smart metering works.
Here are some interesting observations:
- Uttar Pradesh has the highest sanctioned amount of Rs.21,341 crore, which alone accounts for around 15 per cent of India’s total. Also, contracts corresponding to over 80 per cent of the sanctioned amount have already been awarded. As of March 6, 2025, the physical progress on infrastructure works under RDSS in Uttar Pradesh stood at nearly 37.66 per cent, better than the national average of 23.18 per cent.
- Rajasthan ranked second with respect to sanctioned project cost, at Rs.17,176 crore. However, the state needs to catch up on award of contracts, which stood at 52 per cent. Even in terms of physical progress, the state was lagging behind with a metric of 10.33 per cent.
- Third-ranking Maharashtra has done well with respect to award of contracts. Of the Rs.17,128 crore worth of sanctioned projects, nearly 96 per cent has been awarded. Physical progress, however, at 18.43 per cent, much lower than the national average.
- Speaking only of the top ten states with respect to sanctioned project cost, Bihar was the leader with respect to physical completion of projects, at 53.57 per cent, while West Bengal held first spot with respect to award of projects, with a metric of 97.3 per cent.
The top ten states had an aggregate sanctioned project cost of Rs.1,13,002 crore, accounting for 78 per cent of India’s total. Nearly 79 per cent of these projects, in value terms, have been awarded.
It may be noted that RDSS is Centrally-sponsored scheme aimed largely at assisting state power distribution utilities. Private distribution utilities are out of the purview of RDSS, which explains why a state like Odisha, for instance, where power distribution is completely privatized, does not fall under the purview of RDSS.
Featured photograph is for representation only
