Lok Sabha Question No. 172 (STARRED), answered on 2021-12-09
Subject: Losses to Power DISCOMs
Ministry: POWER
Asked by: Su Thirunavukkarasar, Vijayakumar (alias) Vijay Vasanth

GOVERNMENT OF INDIA MINISTRY OF POWER LOK SABHA STARRED QUESTION NO.172 ANSWERED ON 09.12.2021

LOSSES TO POWER DISCOMS

*172.   SHRI THIRUNAVUKKARASAR SU: SHRI VIJAYAKUMAR (ALIAS) VIJAY VASANTH:

Will the Minister of POWER be pleased to state:

(a) whether  losses  to  DISCOMs  have  increased  to  the  tune  of  Rs.90,000/crores over the years;

(b) if so, the details thereof during each of the lastthree years, State-wise;

(c) whether  any  steps  are  being  taken  by  the  Government  to  assist  the power distribution companies to reduce their losses;

(d) if so, the details thereof; and

(e) if not, the reasons therefor?

A N S W E R

THE MINISTER OF POWER AND NEW & RENEWABLE ENERGY

(SHRI  R.K. SINGH)

(a) to (e) : A Statement is laid on the Table of the House.

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## STATEMENT

STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (e)  OF  STARRED QUESTION NO.172 ANSWERED IN THE LOK SABHA ON 09.12.2021 REGARDING LOSSES TO POWER DISCOMS. ********* (a) & (b) : As  per  information  made  available  by  Power  Finance  Corporation (PFC)  Ltd.,  the  State/Union  Territory-wise  details  of  profit  and  loss  of  power distribution  companies  for  the  years  2017-18  to  2019-20  are  furnished  in  the Annexure. (c) to (e) : The Government has taken several steps through interventions of Government  Schemes  such  as  Deen  Dayal  Upadhyaya  Gram  Jyoti  Yojana (DDUGJY) and Integrated Power Development Scheme (IPDS) to help the State DISCOMs reduce AT&C losses, which is one of the major reasons for financial losses.  The  interventions  under  these  schemes  include  feeder  segregation, Information  Technology  (IT)/Operational  Technology  (OT)  measures  such  as SCADA, DMS, ERP and remote monitoring of feeder. Further, the Central Government has approved a 'Revamped Distribution Sector Scheme - A Reforms based and Results linked Scheme' with the  objective  of  improving  the  quality  and  reliability  of  power  supply  to consumers through a financially sustainable and operationally efficient distribution Sector. The Scheme aims to reduce the AT&C losses to pan-India levels of 12-15% and Average Cost of Supply (ACS) - Average Revenue Realized (ARR) gap to zero by 2024-25. The Scheme has an outlay of Rs.3,03,758 crore. Under  the  scheme,  eligible  DISCOMs  would  be  provided  financial  support  for upgradation of the Distribution Infrastructure and Smart Metering Systems for the network as well as prepaid smart metering systems for consumers linked to initiation of reforms and achievement of results. A DISCOM which does not improve as per Action Plan, will not be able to access funds under this Scheme. Furthermore, based on the recommendations of Fifteenth Finance Commission, Govt. of India have also decided to provide performance based additional borrowing space of 0.50 % of Gross State Domestic Product (GSDP) to the states on certain performance criteria linked to operational efficiency and financial sustainability of DISCOMs.

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## ANNEXURE

ANNEXURE REFERRED TO IN PARTS (a) & (b) OF THE STATEMENT LAID IN REPLY TO STARRED QUESTION  NO.  172  ANSWERED  IN  THE  LOK  SABHA  ON  09.12.2021  REGARDING  LOSSES  TO POWER DISCOMS

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|                           | 2017-18                                                                                                | 2018-19                                                                                                | 2019-20                                                                                                |
|---------------------------|--------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------|
|                           | Profit/ (Loss) with Tariff Subsidy received excluding Regulatory Income and UDAY Grant (Rs. in crores) | Profit/ (Loss) with Tariff Subsidy received excluding Regulatory Income and UDAY Grant (Rs. in crores) | Profit/ (Loss) with Tariff Subsidy received excluding Regulatory Income and UDAY Grant (Rs. in crores) |
| States/UTs Sector         | (59,997)                                                                                               | (88,057)                                                                                               | (74,914)                                                                                               |
| Andaman & Nicobar Islands | (605)                                                                                                  | (645)                                                                                                  | (678)                                                                                                  |
| Andhra Pradesh            | (546)                                                                                                  | (16,831)                                                                                               | (813)                                                                                                  |
| Arunachal Pradesh         | (429)                                                                                                  | (428)                                                                                                  | (413)                                                                                                  |
| Assam                     | (259)                                                                                                  | (19)                                                                                                   | 151                                                                                                    |
| Bihar                     | (1,872)                                                                                                | (1,845)                                                                                                | (2,944)                                                                                                |
| Chandigarh                | 321                                                                                                    | 54                                                                                                     | 179                                                                                                    |
| Chhattisgarh              | (739)                                                                                                  | (1,531)                                                                                                | (611)                                                                                                  |
| Dadra & Nagar Haveli      | (12)                                                                                                   | 14                                                                                                     | 11                                                                                                     |
| Daman & Diu               | 324                                                                                                    | 164                                                                                                    | 79                                                                                                     |
| Goa                       | 26                                                                                                     | (172)                                                                                                  | (271)                                                                                                  |
| Gujarat                   | 426                                                                                                    | 184                                                                                                    | 411                                                                                                    |
| Haryana                   | 412                                                                                                    | 281                                                                                                    | 331                                                                                                    |
| Himachal Pradesh          | (44)                                                                                                   | 132                                                                                                    | 28                                                                                                     |
| Jammu & Kashmir           | (2,999)                                                                                                | (2,902)                                                                                                | (3,460)                                                                                                |
| Jharkhand                 | (212)                                                                                                  | (751)                                                                                                  | (1,711)                                                                                                |
| Karnataka                 | (2,439)                                                                                                | (4,889)                                                                                                | (2,501)                                                                                                |
| Kerala                    | (784)                                                                                                  | (135)                                                                                                  | (270)                                                                                                  |
| Lakshadweep               | (98)                                                                                                   | (109)                                                                                                  | (103)                                                                                                  |
| Madhya Pradesh            | (5,802)                                                                                                | (10,143)                                                                                               | (5,762)                                                                                                |
| Maharashtra               | (3,927)                                                                                                | 1,916                                                                                                  | (7,117)                                                                                                |
| Manipur                   | (8)                                                                                                    | (144)                                                                                                  | (168)                                                                                                  |
| Meghalaya                 | (287)                                                                                                  | (203)                                                                                                  | (432)                                                                                                  |
| Mizoram                   | 87                                                                                                     | (83)                                                                                                   | 175                                                                                                    |
| Nagaland                  | (62)                                                                                                   | (325)                                                                                                  | (488)                                                                                                  |
| Odisha                    | (792)                                                                                                  | (1,539)                                                                                                | (842)                                                                                                  |
| Puducherry                | 5                                                                                                      | (39)                                                                                                   | (306)                                                                                                  |
| Punjab                    | (2,760)                                                                                                | 272                                                                                                    | (985)                                                                                                  |
| Rajasthan                 | (11,314)                                                                                               | (12,524)                                                                                               | (12,277)                                                                                               |
| Sikkim                    | (29)                                                                                                   | (3)                                                                                                    | (62)                                                                                                   |
| Tamil Nadu                | (12,541)                                                                                               | (17,962)                                                                                               | (19,684)                                                                                               |
| Telangana                 | (6,697)                                                                                                | (9,525)                                                                                                | (6,966)                                                                                                |
| Tripura                   | 28                                                                                                     | 19                                                                                                     | (138)                                                                                                  |
| Uttar Pradesh             | (5,269)                                                                                                | (6,367)                                                                                                | (5,089)                                                                                                |
| Uttarakhand               | (229)                                                                                                  | (808)                                                                                                  | (323)                                                                                                  |
| West Bengal               | (871)                                                                                                  | (1,171)                                                                                                | (1,867)                                                                                                |
| Private Sector            | 1,523                                                                                                  | 1,357                                                                                                  | 471                                                                                                    |
| Delhi                     | 109                                                                                                    | 643                                                                                                    | (975)                                                                                                  |
| Gujarat                   | 574                                                                                                    | 307                                                                                                    | 612                                                                                                    |
| Maharashtra               | -                                                                                                      | (96)                                                                                                   | 283                                                                                                    |
| Uttar Pradesh             | 182                                                                                                    | 126                                                                                                    | 172                                                                                                    |
| West Bengal               | 658                                                                                                    | 377                                                                                                    | 379                                                                                                    |
| Grand Total               | (58,474)                                                                                               | (86,700)                                                                                               | (74,443)                                                                                               |

Note: Figures in parenthesis indicate losses.

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