Jharkhand first state to sign MoU with Centre for power scheme UDAY
Jharkhand, a mineral-rich but energy-deficit state has become first state in country to sign Memorandum of Understanding (MoU) on Ujwal Discom Assurance Yojana (UDAY) scheme with Union Government.
In this regard a tripartite MoU was signed between the state government, Union Ministry of Power and state power distributor Jharkhand Bijli Vitaran Nigam Ltd (JBVNL).
- The MoU will help state government in electrifying remaining 2200 villages in state and make Union Government’s vision of providing 24×7 electricity supply to all a reality.
- Through UDAY Jharkhand will also derive an overall net benefit of approximately 5,300 crore rupees.
- It will also have significant benefits for JBVNL, as the state government is taking over 100 percent liabilities of outstanding dues with CPSUs and 75 per cent of the outstanding debts of JBVNL.
The total number of states that would be joining UDAY Scheme now has risen to 15. The other states are Andhra Pradesh, Punjab, Jharkhand, Himachal Pradesh, Jammu & Kashmir, Rajasthan, Uttarakhand, Haryana, Gujarat, Madhya Pradesh and Chhattisgarh.
Besides, four major states Maharashtra, Uttar Pradesh, Bihar and Odisha also already have given their in-principle approval to join UDAY.
About Ujjwal Discom Assurance Yojana (UDAY)
- The Scheme was launched on 20th November 2015 to help financially stressed Distribution companies (DISCOMs) to supply adequate power at affordable rates.
- It aims for financial turnaround and revival of Power DISCOMs and also ensures a sustainable permanent solution to the problem. Read more