Integrated Power Development Scheme

Integrated Power Development Scheme

Integrated Power Development Scheme


A 50 kWp Solar rooftop in Solan, Himachal Pradesh was inaugurated under Integrated Power Development Scheme (IPDS) of the MInistry of Power.

The project further reinforces the ‘Go Green’ Initiative of the government envisaged in the Urban Distribution scheme.

Integrated Power Development Scheme (IPDS):

  • Launch: December 2014.
  • Nodal Agency: Power Finance Corporation Ltd. (PFC), a Navratna Central Public Sector Enterprise (CPSE) under the administrative control of the Ministry of Power.
  • Components:
    Strengthening of sub-transmission and distribution networks in the urban areas.
    Metering of distribution transformers / feeders / consumers in the urban areas.
    Schemes for Enterprise Resource Planning (ERP) and IT enablement of the distribution sector. ERP helps in integrating the important parts of a business.
    Underground cabling to include additional demand of States and smart metering solution for performing UDAY States and Solar panels on Govt. buildings with net-metering are also permissible under the scheme.


  • 24×7 Power supplies for consumers.
  • Reduction of AT&C (aggregate technical and commercial) losses.
  • Providing access to power to all households.
  • Eligibility: All Power Distribution Companies (Discoms) are eligible for financial assistance under the scheme.
  • Funding Pattern:
    GoI (Government of India) Grant: 60% (85% for special category States)
  • Additional Grant: 15% (5% for special category States) – linked to achievement of milestones.

Power Sector in India:

  • India’s power sector is one of the most diversified in the world. Sources of power generation range from conventional sources such as coal, lignite, natural gas, oil, hydro and nuclear power to viable non-conventional sources such as wind, solar, and agricultural and domestic waste.
  • India is the third-largest producer and second-largest consumer of electricity in the world.
  • Electricity is a concurrent subject (Seventh Schedule of the Constitution).
  • The Ministry of Power is primarily responsible for the development of electrical energy in the country.
  • It administers the Electricity Act, 2003 and the Energy Conservation Act, 2001.
  • The Government has released its roadmap to achieve 175 GW capacity in renewable energy by 2022, which includes 100 GW of solar power and 60 GW of wind power.
  • The Government is preparing a ‘rent a roof’ policy for supporting its target of generating 40 gigawatts (GW) of power through solar rooftop projects by 2022.
  • The Ministry of New and Renewable Energy (MNRE) is the nodal Ministry for all matters relating to new and renewable energy.
  • 100% FDI (Foreign Direct Investment) is permitted under automatic route in the power sector.

Download Yojna Ias Daily Current Affairs of 23rd June 2021

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