UDAY: A transformative step to ensure ‘Power for All’

The Ujjawal Discom Assurance Yojana (UDAY) it is the single-most transformative step that will pave way to ensure power for all.
Ashok K. Puri, MD, Hinduja National Power Corporation Ltd
Prime Minister has promised ‘Power for All’ by 2019 and the government is engaged in intense efforts to achieve the same. “Data suggests that the country will have a surplus of 3.1 per cent during peak hours and 1.1 per cent during non-peak hours by end of FY2017. Indeed the government has moved fast to remove fuel supply bottlenecks through the coal auctions. However, the power industry believes that more needs to be done to enhance the coal linkage infrastructure,” comments Ashok K. Puri, Managing Director, Hinduja National Power Corporation Ltd.
A Central Electricity Authority (CEA) data sheet suggests that states in southern India will have surplus power to the tune of 3.3 per cent after being power starved for almost a decade, while the Western region will have surplus electricity at 6.9 per cent.
“While this data is encouraging, the eastern and north-eastern region is expected to face a shortage of 10.3 per cent and 8.3 per cent respectively. Also one needs to assess factors such as rising demand once manufacturing picks up and exigency situations such as natural calamities cause disruption,” noted Puri.
Currently, 250 million are yet to witness and enjoy the benefits of electricity. A strong transmission and distribution network as well as grid connectivity will ensure that they too become a part of India’s economic development,” opines Puri.
Generation and distributionTransforming India’s power landscape needs to be addressed in two parts—generation and distribution. As per the current power demand calculation methodology, only people who are connected to the grid and have access to electricity are taken into consideration. “However, as the CEA has pointed out recently, the real demand that encompasses all citizens would be known only when the entire population has access to power,” points out Puri.
“In terms of generation as of August 2016, the total installed capacity is 305GW, which includes around 44GW of renewable energy. This does indicate that India is moving towards surplus power. But if that is the case, why do most parts of the country experience power cuts? The answer lies in transmission and distribution,” he adds.
Transmission and distribution falls under the ambit of power discoms, most of which are in a poor financial shape. “The power sector lauds Minister of Power, Coal & Renewable Energies Piyush Goyal’s efforts to solve this problem by launching the Ujjawal Discom Assurance Yojana (UDAY). It is the single-most transformative step that will pave way to ensure power for all,” he states.
“Discoms have an outstanding debt of over Rs 4 lakh crore. These financially stressed companies are not able to supply adequate power at affordable rates, thus hampering the government’s electrification programme and the nation’s economic development,” he briefs. UDAY assures the rise of vibrant and efficient discoms through a permanent resolution of past as well as potential future issues of the sector. It empowers discoms with the opportunity to break even in the next 2-3 years through four initiatives:

Improving operational efficiencies of discoms

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