Lok Sabha Question No. 2891 (UNSTARRED), answered on 2024-08-08
Subject: Power Reforms
Ministry: POWER
Asked by: Shri Ramasahayam Raghuram Reddy

## GOVERNMENT OF INDIA MINISTRY OF POWER LOK SABHA UNSTARRED QUESTION NO.2891

## ANSWERED ON 08.08.2024

## POWER REFORMS

2891  SHRI RAMASAHAYAM RAGHURAM REDDY:

Will the Minister of POWER be pleased to state:

- (a) whether the Government has taken a decision to bring power reforms in the country;
- (b) if so, the details thereof;
- (c) whether the State Governments have been consulted in this regard;
- (d) if  so,  the  details  thereof  along  with  the  suggestions  placed  before  the Union Government by the State Governments in this regard; and
- (e) if not, the reasons therefor?

A N S W E R

THE MINISTER OF STATE IN THE MINISTRY OF POWER

(SHRI SHRIPAD NAIK)

- (a) & (b) : Central Government has taken a series of measures for introducing reforms to ensure energy security of the country along with energy transition. Reforms    have  also  been  undertaken  for  maintaining  financial  viability  of  the power sector as well as to  enable ease of living and ease of doing business. The  major  interventions  made  in  bringing  reforms  in  the  power  sector  are  at Annexure.
- (c)  to (e) :   All  stakeholders  including  State  Governments  are  duly  consulted and the suggestions are considered, suitably, during formulation and implementation  of  measures  for  reforms  in  the  power  sector  through  rules, policies guidelines and orders etc.

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## ANNEXURE

## ANNEXURE  REFERRED  IN  REPLY  TO  PARTS  (a)  &  (b)  OF  UNSTARRED

## QUESTION NO. 2891 ANSWERED IN THE LOK SABHA ON 08.08.2024 *************

- i. To promote energy security, Central Government has issued Guidelines for Resource Adequacy Planning Framework for Power Sector. These Guidelines  provide  time-bound  and  scientific  approach  to  assess  the electricity  demand  for  future  and  to  take  advance  action  to  procure capacity to meet such demand.
- ii. Central Government has launched Revamped Distribution Sector Scheme (RDSS) with the objective of improving the quality and reliability of power supply  to  consumers  through a  financially  sustainable  and  operationally efficient Distribution Sector.
- iii. Electricity  (Late  Payment  Surcharge  and  Related  Matters)  Rules,  2022 have been notified to resolve the cash flow problems in the power sector arising out of delayed payment by distribution utilities.
- iv. Additional prudential guidelines have been introduced to ensure prudent lending and promote sustainable financial practices while sanctioning of loans to DISCOMs/ TRANSCOs/ GENCOs by REC and PFC.
- v. In order to enforce financial discipline in subsidy accounting and payment, Rules and Standard Operating Procedures have been issued.
- vi. Provisions have been made for automatic pass through of Fuel & Power Purchase  Adjustment  Surcharge  (FPPAS)  in  monthly  billing  to  ensure timely recovery of cost of supply of power .
- vii. Electricity (Right of Consumers) Rules, 2020 have been notified with the conviction that the power systems exist to serve the consumers and the consumers have rights  to  get  24X7  uninterrupted  electricity  supply  and reliable services.
- viii. Rules have been prescribed to facilitate faster installation and enhance the ease of setting up Rooftop Solar PV systems.
- ix. The time period for obtaining a new electricity connection under the Rules has been reduced.

..........2.

- x. To facilitate Electric Vehicle (EV) charging, enabling provision for separate connection has been provided.
- xi. Green energy specific market segments have been introduced to facilitate energy transition.
- xii. Green Energy Open Access Rules, 2022 have been notified with enabling provisions for higher consumption of renewable energy.
- xiii. To promote the addition of renewable energy generation in the country, the  waiver  of  Inter-State  Transmission  (ISTS)  charges  on  electricity generated from solar and wind sources, Renewable Purchase Obligation (RPO) and Renewable Generation Obligation (RGO) have been introduced.

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