Soon after the return of Prime Minister Narendra Modi, the Union cabinet met on Thursday in New Delhi and approved three major projects for the power sector, including the rural electrification program, said the power ministry.
The three major projects are the Deen Dayal Upadhyaya Gram Jyoti Yojana, Integrated Power Development Scheme and the North Eastern Region Power System Improvement Project.
The North Eastern Region Power System Improvement Project aims to strengthen the intra-state transmission and distribution system at a projected cost of Rs. 5,111 crore, including a capacity-building expenditure of Rs. 89 crore, a ministry statement said.
The northeat region’s scheme will be funded by World Bank. The Integrated Power Development Scheme is designed for urban areas and is being implemented with an expenditure of Rs.32,612 crore.
The earlier scheme, known as the Restructured Accelerated Power Development and Reforms for 12th and 13th Plans will get subsumed in this new scheme, while the Deen Dayal Upadhyaya Gram Jyoti Yojana is mainly for rural electrification.
The scheme, being envisioned with a total investment of Rs.43,033 crore, and in the current fiscal budget for 2014-15, the government has allocated Rs.500 crore.
“The programme requires budgetary support of Rs. 33,453 crore from the government over the entire implementation period, the statement said.
It may be noted that the cabinet had earlier approved Rs.39,275 crore for the scheme, which includes budget allocation of Rs.35,447 crore under the earlier Rajiv Gandhi Gram Vidyutikaran Yojana. This outlay will be carried forward to the new scheme, in addition to the outlay of Rs.43,033 crore, said the ministry of power.