Status of Transmission and Distribution Losses in India

About 23% of the power is wasted in the Country during transmission and distribution. As per the Central Electricity Authority’s (CEA) report, Transmission & Distribution losses in the country for the year 2012-13 stood at 23.04% (provisional). 

Electricity is a concurrent subject and the responsibility of electricity distribution rests with the States. Government of India acts as a facilitator in supplementing the efforts of States to provide power to consumers in an improved manner. 

With the aim of reducing AT&C losses and improving power distribution sector of state utilities, Government of India has launched the Restructured-Accelerated Power Development and Reforms Programme (R-APDRP). Projects under the scheme are taken up in two parts in towns having population more than 30,000 (10,000 for special category States) as per census 2001. Part-A of the scheme is for establishing IT enabled system for energy accounting / auditing and Supervisory Control and Data Acquisition (SCADA) for big cities (population:4 lacs and Annual Energy Input: 350 MU) whereas Part-B is for up-gradation, augmentation & strengthening of electrical infrastructure in project towns. 

Under Part-A (IT enabled system), projects worth Rs. 5348.34 Crs. for 1412 towns, 72 Part-A (SCADA) projects worth Rs. 1601.28 Crs. and 1244 Part-B projects worth Rs. 31139.71 Crs. have been sanctioned till 30.06.2014 under the R-APDRP programme. Further, Government has notified mandatory labelling of Distribution transformers to ensure that distribution transformer losses are minimized. 

Government is giving various fiscal and financial incentives, such as capital/interest subsidy, generation based incentives, accelerated depreciation, concessional excise and customs duties for the promotion of renewable energy sources in the country. Among the other steps to promote renewable energy include setting up of demonstration projects, preferential tariff for purchase of power generated from renewable sources, intensive resource assessment, development of power evacuation and testing facilities, introduction of Renewable Energy Certification and Renewable Purchase Obligation etc. Indian Renewable Energy Development Agency (IREDA), a Central Public Sector Enterprise (CPSE) under Ministry of New and Renewable Energy, also provides soft term loan for promotion of renewable energy projects. As a result of these, an installed capacity of 31,707 MW from various renewable energy sources has been achieved in the Country till 31.03.2014.