Govt plans second phase for discom-financing scheme

The Centre is planning to launch another scheme to enable public sector power distribution utilities (discoms) to cut technical losses via “transition-financing” of the required capital expenditure.

The new scheme would follow the expiry of the Rupees 3-trillion Revamped Distribution Sector Scheme (RDSS) launched in FY22 for five years through FY26, a senior power ministry official. The proposed RDSS-II would have a similar aggregate outlay, and run for as many years as the current one, he added.

“To be able to distribute the load of 780 giga watt(GW), which is projected for 2030, a lot of additional work has to be done,” the official said.