17-January-2018 हिन्दी
Power Ministers Conference held on 07-Dec-2017 at Hotel The Ashok, New Delhi         Review Planning and Monitoring (RPM) meeting of Ministry of Power with States held on 30-Nov-2017 at PFC, New Delhi         
Visit of CMD, PFC at Shivpuri S/s at Moradabad, Uttar Pradesh dated 12-Nov-2017 Visit of CMD, PFC at Amritpur patti S/s at Kaladungi, Uttarakhand dated 11-Nov-2017 Visit of CMD, PFC at Amritpur patti S/s at Jaspura, Uttarakhand dated 11-Nov-2017 Visit of CMD, PFC at Amritpur patti S/s at Jaspura, Uttarakhand dated 11-Nov-2017 Visit of CMD, PFC at Amritpur patti S/s at Jaspura, Uttarakhand dated 11-Nov-2017 CMD PFC and ED IPDS receiving the  prestigious 'One Globe Award for enabling a Mobile Economy' for URJA App from Hon'ble MoS IT & Electronics Sh. P P Chaudhary Hon'ble Prime Minister Shri Narendra Modi takes a look at changes made in Kabir Nagar, Varanasi under IPDS and HRIDAY Hon'ble Prime Minister Shri Narendra Modi reviews Underground cabling work done under IPDS in Kabir Nagar, Varanasi Hon'ble Prime Minister Shri Narendra Modi discussing about IPDS with School Kids of Kabir Nagar, Varanasi Release of Report on 'Impact Assessment Study' of IT Enablement of Urban Power Distribution Release of Report on ‘Operational Study of 10 selected DISCOMs where AT&C losses have reduced in five years’
Frequently Asked Questions: Integrated Power Development Scheme (IPDS)

You may have some questions regarding Integrated Power Development Scheme (IPDS).

1. What is the area of coverage under this scheme?
2. What is the objective of this scheme?
3. What is the scope of this scheme?
4. Who is the Nodal Agency for this scheme ?
5. What is the distribution system voltage level covered under this scheme?
6. Whether GIS (Gas Insulated Switchgear) based substations are considered in this scheme ?
7. What are the augmentation related works considered in this scheme?
8. Whether works related to renovation & modernization of sub-stations and lines is considered in this scheme?
9. Whether works related to Under ground cables is allowed in this scheme?
10. Whether works related to Aerial Bunched Cable & HVDS & is considered in this scheme?
11. Whether works related to IT is included in this scheme?
12. Whether AMI/Smart Meters are considered in this scheme?
13. Whether AMR Meters are considered in this scheme?
14. Whether consumer connections are considered in this scheme?
15. Whether IT & SCADA components , distribution network strengthening under R-APDRP is considered in this scheme?
16. What is scope of optical fibre missing links under the establishment of National Optical Fibre Network (NOFN)?
17. Whether provision for renewable energy are included in the scheme ?
18. Whether civil works is included in the scheme ?
19. Whether slalries of establishement expediture, tools & plants, vehicles are considered?
20. What is the estimated outlay of the scheme?
21. Which are the Eligible Utilities?
22. What is the process of Formulation of Detailed Project Reports (DPRs)?
23. How the DPR's be submitted? in hard copies or soft copy?
24. What is the mechanism for Project appraisal & approval ?
25. What is the role of Project Management Agency (PMA)?
26. Should the utility appoint PMA on its own?
27. What is the project execution Period?
28. Elaborate funding mechanism under IPDS?
29. Which are the special category states?
30. What is Bipartite/Tripartite agreement?
31. What is the provision for incentive by GoI for execution by utility?
32. What are the milestones for release of additional grant/ incentive?
33. What are the components applicable for 100% GoI grant ?
34. What are the Model benchmark for power systems in urban areas?
35. How IPDS is different from earlier schemes for urban distribution sectors?
36. What is the AT&C loss ?
37. What are the key benefits of this scheme for distribution utilities?
38. What are the key benefits of this scheme for consumers?
39. What will happen to the present scheme of RAPDRP?
40. What are the main component of the scheme?
41. What if the utility does not take loan for balance component?
42. Who are the eligible entities for benefit under the scheme?
43. What is Need Assessment Document?
44. Is price variation allowed under the scheme?


1. What is the area of coverage under this scheme?
The scheme covers urban areas under distribution utilities in India.

2. What is the objective of this scheme?
The objective of the scheme is to ensure

(i) 24x7 power supplies for consumers in urban area,

(ii) reduction of AT&C losses as per trajectory (discom-wise) finalized by the Ministry of Power in consultation with States and

(iii) providing access to all urban households. The above objective is to be fulfilled by identifying and addressing critical gaps in sub-transmission and distribution network considering all relevant parameters (such as voltage regulation, HT & LT ratio, optimum loading of transformers & lines, reactive power management, power factor improvement, standard of performance, ongoing works under other schemes) to arrive at broad scope of work to be implemented under the scheme.

3. What is the scope of this scheme?
The scope is as follows:

(i) Strengthening of sub-transmission and distribution networks including provisioning of solar panels.

(ii) Metering of feeders / distribution transformers / consumers including prepaid / smart meters in Govt. establishment and AMI, Smart meters in SCADA towns (under RAPDRP).

(iii) IT enablement and distribution strengthening work under R-APDRP (approved outlay of Rs.44,011 Crores, budgetary support of Rs.22,727 crores for 12th & 13th plan carried forward to IPDS).



4. Who is the Nodal Agency for this scheme ?
Power Finance Corporation (PFC) is the Nodal Agency appointed by GoI for IPDS.

5. What is the distribution system voltage level covered under this scheme?
Sub-transmission and distribution network of 66 KV , 33 KV, 22 KV ,11 KV, LT level is considered in this scheme.

6. Whether GIS (Gas Insulated Switchgear) based substations are considered in this scheme ?
Yes, GIS based substations are considered in this scheme.

7. What are the augmentation related works considered in this scheme?
Work related to augmentation of existing sub-stations capacity by installation of higher capacity/additional power transformer, HT lines for reorientation/re-alignment , new distribution transformers and augmentation of existing distribution transformers etc is included in the scheme.

8. Whether works related to renovation & modernization of sub-stations and lines is considered in this scheme?
Yes, works related to renovation & modernization of sub-stations and lines are considered in this scheme. Under this, installation of numerical relays, augmentation of switching devices, placment of RMUs(Ring Main Units) , Auto Recloser, Sectionlizer, FPIs( Fault Passage Indicators) etc are considered.

9. Whether works related to Under ground cables is allowed in this scheme?
Yes, works related to Under ground cable is allowed in this scheme in densely populated areas and areas of tourism and religious importance.

10. Whether works related to Aerial Bunched Cable & HVDS & is considered in this scheme?
Yes, works related Aerial Bunched Cable for theft prone area & HVDS is considered in this scheme.

11. Whether works related to IT is included in this scheme?
Yes, works related IT Applications limiting to ERP, Customer Care Services etc is considered.

12. Whether AMI/Smart Meters are considered in this scheme?
Yes, works related AMI, Smart meters in the towns where SCADA being established under R-APDRP is considered.

13. Whether AMR Meters are considered in this scheme?
Yes, AMR for feeders, Distribution transformer and high load consumers is considered in the towns where SCADA being established under R-APDRP.

14. Whether consumer connections are considered in this scheme?
Yes, all categories of consumers for un-metered connections, replacement of faulty meters & electro-mechanical meters is being established .

15. Whether IT & SCADA components , distribution network strengthening under R-APDRP is considered in this scheme?
Yes, continuation of scheme in 12th and 13th Plan is considered.

16. What is scope of optical fibre missing links under the establishment of National Optical Fibre Network (NOFN)?
Establishing Missing link of Optic fibre Upto Sub Stations under National Optic Fibre Network ( NOFN) is included in the scheme.

17. Whether provision for renewable energy are included in the scheme ?
Yes, provision of solar panels is considered in the scheme.

18. Whether civil works is included in the scheme ?
Civil works other than S/S is not considered in the scheme. Further, cost of land etc is also not included in the scheme.

19. Whether slalries of establishement expediture, tools & plants, vehicles are considered?
No , these are not admissble in the scheme.

20. What is the estimated outlay of the scheme?
The estimated outlay of the scheme is Rs 32,612 crore including a budgetary support of Rs 25,354 crore from Government of India during the entire implementation period.

21. Which are the Eligible Utilities?
All Discoms including private sector Discoms and State Power Dept.(for private sector Discoms, projects to be implemented through a State Govt Agency and assets to be created will be owned by State Govt./ State owned co. These assets to be handed over to concerned Pvt. Discom for their use on mutually agreed terms & conditions).

22. What is the process of Formulation of Detailed Project Reports (DPRs)?
Discoms will assess the need for strengthening the urban distribution networks and will formulate bankable DPRs. DPRs are to be prepared zone/circle/utility-wise and shall be based on need assessment document prepared by utility. Further, cost of items shall be based on approved standard estimates, Store issue rate of utilities. All technical specifications of items and RFP shall be based on Model bid documents which will be made available to utilities.

23. How the DPR's be submitted? in hard copies or soft copy?
The DPR has to be submitted online as well as a signed hard copy to the Nodal Agency for appraisal.

24. What is the mechanism for Project appraisal & approval?
DPRs to be recommended by Distribution Reforms Committee (DRC) at the State level under the Chairmanship of Chief Secretary/Principal Secretary/Secretary Power/Energy. Appraisal of the DPR shall be based on need assesment of utility, approved store issue rate, estimates, of utilities. DRC will ensure that there is no duplication of works while recommending the projects. PFC (Nodal Agency for IPDS) will appraise and recommended the DPRs for approval of Monitoring Committee chaired by Secretary (Power).

25. What is the role of Project Management Agency (PMA)?
A Project Management Agency will be appointed by utility for monitoring and ensuring timely implementation of the project. 100% grant will be provided by GoI towards expenditure incurred on Project Management Agency, which will be limited to 0.5% of cost of works.

26. Should the utility appoint PMA on its own?
The utilities may go ahead with the appointment of PMA through open bidding as per their policy/ guidelines, while Nodal Agency/ MoP may also empanel the agencies as an option to discoms.

27. What is the project execution Period?
Projects will be completed within a period of 24 months from the date of Award by utility. In case the Discoms / Power Depts are not able to complete the projects within stipulated time period due to circumstances beyond their control, Monitoring Committee authorized to grant time extension based on merits in exceptional cases on a case to case basis.

28. Elaborate funding mechanism under IPDS?
The funding mechanism under IPDS is as follows:

(a) GoI grant : 60% of project cost (85% for sp. cat states).

     (i) 10% of GoI grant on approval of DPRs and signing of Bipartite/Tripartite agreement between Discoms, State Govt & Nodal Agency on behalf of MoP.

    (ii) 20% of GoI Grant on placement of Award by utility.

    (iii) 60% of GoI grant on utilisation of 90% of grant released by GOI (1st and 2nd Tranche) and 100% release of Discom contribution.

    (iv) 10% of GoI grant after completion of works.

(b) Discom contribution (own fund) : 10% of project cost (5% for sp. cat states)

(c) Lender (FI/Banks) (loan) : 30% of project cost (10% for sp. cat states)

29. Which are the special category states?
North Eastern States including Sikkim, J&K, Himachal Pradesh, Uttarakhand. are the Special Category States.

30. What is Bipartite/Tripartite agreement?
Suitable Tripartite agreement will be executed between PFC as the Nodal Agency on behalf of Ministry of Power, the State Government and the Discom to ensure implementation of the scheme in accordance with the guidelines prescribed under the scheme. Bipartite agreement will be executed in case of State Power departments.

31. What is the provision for incentive by GoI for execution by utility?
Besides , 60 % grant , utitlies can be incentivise by additional Grant from GOI on achievement of prescribed milestones . In such case , 50% of loan component i.e.15% of project cost (5% of project cost for sp. cat states) shall be provided as incentive for execution.

32. What are the milestones for release of additional grant/ incentive?
The major milestones are:

(a) Timely completion of the scheme.

(b) Reduction in AT&C losses as per trajectory finalized by MOP in consultation with State Governments (Discom-wise).

(c) Upfront release of admissible revenue subsidy, if any, by State Govt. based on metered consumption.

33. What are the components applicable for 100% GoI grant ?
The components applicable for 100% GoI grant are Missing links of National Optical Fibre Network (NOFN) from nearest PoP (Point of Presence) to S/S / Panchayats, Training & Capacity Building, National Power Data Hub at CEA and Project Management Agency (PMA).

34. What are the Model benchmark for power systems in urban areas?
Model benchmark to be prepared by CEA to set standards in items like digital / prepaid metering, underground cabling, limits for AT&C losses etc. by 5th January 2015.

35. How IPDS is different from earlier schemes for urban distribution sectors?
The following are major differences between IPDS and earlier schemes for urban distribution sector:

a. Unlike earlier distribution scheme for distribution strengthening like R-APDRP which was limited to towns with 30000 or more population (10000 or more for special category states) as per Census 2001 IPDS covers the complete urban area of distribution utilities.

b. Unlike R-APDRP scheme , where conversion of loan into grant was extended upto 50% maximum and 90% max (for spl cat states) subject to reduction in AT&C loss , IPDS provides 75% max ( 90% max for spl category states) (incl 60% upfront ( 85% for spl cat states) with additional grant linked to achievement of milestones prescribed under the scheme.

36. What is the AT&C loss ?
AT&C loss is the acronym of "Aggregated Technical & Commercial losses" in the power distribution system.

The methodology for calculation of AT&C loss has been defined in the “Report on Performance of State Power Utilities” in consultation with CEA as below:

The AT&C losses represent the difference between energy available for sale (adjusted for transmission losses and trading in energy, Mkwh) and energy realized, Mkwh). Energy realized is the energy billed (adjusted for trading in enegy, Mkwh) factored by the collection efficiency. The collection efficiency is an index of efficiency in realization of billings, current as also previous years and essentially focuses on the year-to-year movement of receivables. The same is defined in table below:

AT&C Losses (%) for SEBs/PDs/Discoms
• Net input energy (Mkwh) = Total input energy (adjusted for transmission losses and energy traded)
• Net sale of energy (Mkwh) = Total energy sold (adjusted for energy traded)
• Net revenue from sale of energy (Rs. Crs.) = Revenue from sale of energy (adjusted for revenue from energy traded)
• Collection efficiency (%) = (Net revenue from sale of energy-Change in Debtors for sale of power)*100/(Net revenue from sale of energy)
• Energy realized (Mkwh) = Net sale of energy (Mkwh)*collection efficiency
• AT&C Losses (%) = (Net input energy, Mkwh - Energy realized, Mkwh)*100/( Net input energy, Mkwh)


37. What are the key benefits of this scheme for distribution utilities?
The key benefits of this scheme for utiltiies are :

(i) Strengthening of sub-transmission and distribution networks in the urban areas for enhancement of reliability and efficiency.

(ii) Metering of feeders /distribution transformers / consumers in the urban areas for proper energy accounting and auditing, bringing transparency and AT&C reduction.

(iii) Continuation of IT enablement of distribution sector and strengthening of distribution network, under R-APDRP for infusing transparency , reliability and efficiency in the distribution network help to achieve 24x7 Power supply.

(iv) Easier funding mechanism for funds deficient utilities.

(v) Increase in revenue.

38. What are the key benefits of this scheme for consumers?
The key benefits of this scheme for consumers are:

(i) Increase in reliability and efficiency in the distribution network help to achieve 24x7 Power supply.

(ii) Increase in revenue for utilities means lowering of tarriff / control of tarriff hikes.

(iii) Improvement in power quality.

(iv) Greater customer satisfaction

39. What will happen to the present scheme of RAPDRP?
Existing scheme of R-APDRP as approved by CCEA for continuation in 12th and 13th Plans will get subsumed in this scheme. All existing operational Guidelines/Standard documents/procedures of R-APDRP shall continue to prevail for implementation of R-APDRP component of scheme.

40. What are the main component of the scheme?
Scheme covers AMI/ Smart meter, UG cables, ERP, Rooftop Solar, missing gaps of Optic Fibre (NOFN), National Power Data Hub at CEA etc. apart from conventional Sub transmission distribution gap such as Sub stations, HT and LT lines, Distribution transformers and associated switchgears etc.

41. What if the utility does not take loan for balance component?
Utilities are free to bring balance fund from own sources or as loan from FIs such as PFC etc. The additional grant will still be applicable subject to meeting the desired outcome/ conditionality as follows:
  • Timely completion of the scheme;
  • Reduction in AT&C losses as per trajectory finalized by MOP;
  • Upfront release of admissible revenue subsidy by State Govt. based on metered consumption ;


42. Who are the eligible entities for benefit under the scheme?
All Discoms including Private Sector Discoms and State Power Departments will be eligible for getting benefits under the scheme. The scheme also covers Franchisee & Co-op societies undertaking distribution of Power.

43. What is Need Assessment Document?
The utilities are required to first submit a Need Assessment Document for proposing a project to be covered under the scheme, justifying the requirement of the proposed project, its cost estimates etc. The same shall be appraised by Nodal Agency to ensure that the project scope meets the IPDS scheme objectives and on the basis of this, the discoms may prepare bankable DPRs for coverage under the scheme.

44. Is price variation allowed under the scheme?
There may be price variation in the projects approved under the scheme. However, any price escalation above the cost approved by Monitoring Committee shall have to be borne by the discoms from their own funds or through debt.

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