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24/7 electricity will be 100% reality soon, distributors to pay hefty fine in case of power cut

The decision comes the Centre's Rs 16,000 crore Saubhagya scheme.

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24/7 power supply will soon be a reality as the government is planning to impose fine electricity distributors from April 2019 in case of any power cuts. 

The government is mulling over making it mandatory for the firms to install prepaid or smart meters to prevent electricity theft. The decision comes the Centre's Rs 16,000 crore Saubhagya scheme. The Saubhagya scheme was launched in September to provide uninterrupted electricity for all by the end of 2018.

"Our vision is that we want 24x7 power for all by March 2019. Now it will be a legal obligation. After March 2019, if there is any load shedding without any reason, there will be penalties except in case of technical issues or act of God," power minister R K Singh said on Thursday, after a conference of 'Ministers for Power and New & Renewable Energy of States & Union Territories'. 

He further added that the fines on the distributors will be imposed in the financial year starting April 1, 2019.

The scheme if properly implemented can be a major game changer and help in PM Modi's re-election bid in 2019.

Following are some of the salient features and big numbers pertaining to the scheme. 

1. Aims to provide electric connection to 4 crore families in rural and urban India by December 2018

2. The initial target was to complete the scheme by March 2019. It has been revised now

3. The scheme will cost  Rs 16,320 crore while the Gross Budgetary Support (GBS) is Rs 12,320 crore.

4. The outlay for the rural households is Rs 14,025 crore while the GBS is Rs 10,587.50 crore. For the urban households the outlay is Rs 2,295 crore while GBS is Rs 1,732.50 crore.

5. The Centre will be providing funds to the states and union territories.

6. Families eligible for free electricity connection would be identified using Socio Economic and Caste Census (SECC) 2011 data.

7. Rest can avail the scheme on  payment of Rs 500 which shall be recovered by DISCOMs in 10 instalments through electricity bill.

8.  The solar power packs of 200 to 300 Wp with battery bank for un-electrified households located in remote and inaccessible areas, comprises of Five LED lights, One DC fan, One DC power plug.

9. Camps will be done in villages for spot registration of beneficiaries. 

10. The Gram Panchayat/Public institutions in the rural areas may be authorised to collect application forms along with complete documentation, distribute bills and collect revenue in consultation with the Panchayat Raj Institutions and Urban Local Bodies.

11. The Rural Electrification Corporation Limited (REC) will remain the nodal agency for the operationalisation of the scheme.

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