GARV, GARV-II, IPDS, DDUGJY, UDAY, UJALA and now SAUBHAGYA joins the long list of schemes promising 'Power for All’. Energy access has been the clarion call of Narendra Modi led BJP government since it came to power.
Rural and urban electrification saw impetus, name change and budgetary boost in the first Union Budget of the government in 2014. Strict targets were a part of these two schemes - Integrated Power Development Scheme (IPDS) and Deen Dayal Upadhaya Grameen Jyoti Yojana (DDUGJY).
Of the unelectrified 18,000 villages, 14,483 are mentioned as electrified on the GARV dashboard. The dashboard captures real time data of rural electrification. However laudable is the speed of progress in powering villages, household electrification remains dismal. Of the 17 crore households, government data shows 4 crore is yet to be fully electrified.
This still doesn't translate into 24*7 power in these houses. No clause in the rural electrification program promises 24 hours power supply. Even SAUBHAGYA doesn't promises to monitor quantum or quality of power supply, despite the government claiming India to be power surplus.
In this year's budget, IPDS and DDUGJY were allotted highest ever budgetary allocation. Under IPDS, grant is given to states after they submit their proposal for urban power reforms. As per the IPDS website, the total grant by Government of India to the scheme stands at Rs 16,019 crore. Total grant released is Rs 3,728 crore. This is when the budgetary support in IPDS at 60 per cent is highest for any central sponsored program.
The government statement said, “The total outlay of the SAUBHAGYA project is Rs 16, 320 crore while the Gross Budgetary Support (GBS) is Rs 12,320 crore. The outlay for the rural households is Rs 14,025 crore while the GBS is Rs 10,587.50 crore. For the urban households the outlay is Rs 2,295 crore while GBS is Rs 1,732.50 crore. The Government of India will provide largely funds for the Scheme to all States/UTs.”
In the Union Budget 2017-18, IPDS was allocated Rs 5,821 crore and DDUGJY got received budgetary allocation of Rs 4,814 crore.
Basically, the new scheme would provide more central funds, mostly to provide subsidy. Subsidising electricity is not wrong especially for the ones who can't pay. But its years of subsidised electricity and fund pumping by the Centre, which has crippled the power distribution sector in India.
Battling debt and beleaguered operations, power distribution companies (discoms) across the country are trying to resurrect through reform program UDAY. These states were expected to get on the operational reform path post debt restructuring by this year. Given the slow progress in loss reduction and operational turnaround, Central funds could lead these discoms back to the same vicious circle of loss and subsidy.
The government statement on this scheme also said, “Un-electrified households not covered under the Socio Economic and Caste Census (SECC) 2011 would also be provided electricity connections under the scheme on payment of Rs 500 which shall be recovered by discoms in 10 instalments through electricity bill.”
Unelectrified villages, across country for years have been getting power supply like this, just through illegal mediums. Rural Electrification Corporation (REC) which is the nodal body for this scheme has since its inception is battling illegal connections and continues to.
The idea to electrify nook and corner of India has always grabbed headlines and pools of money. What has failed to reach is illumination in those corners. Pumping money in inefficient discoms and providing subsidy solves the immediate problem of fund crunch.
The government statement said, “For easy & accelerated implementation of the Scheme, modern technology shall be used for household survey by using Mobile App. Beneficiaries shall be identified and registered on spot. The Gram Panchayat/Public institutions in the rural areas may be authorised to collect application forms along with complete documentation, distribute bills and collect revenue in consultation with the Panchayat Raj Institutions and Urban Local Bodies.”
Under DDUGJY, REC and power ministry had appointed Gram Vidyut Abhiyantas (GVAs) in unelectrified villages to keep stock of affairs. Still, one or the other ‘declared electrified’ village is discovered to be without electricity. In urban areas too, there are isolated stories of success. Meanwhile, the target of 31st December 2018 is not far.