UJALA Scheme

Why in News?

over 30 crore light emitting diode (LED) bulbs have been distributed  across the country under the Unnat Jyoti by Affordable LEDs for All (UJALA) scheme.

FACTS FOR PRELIMS

UnnatJyoti by Affordable LEDs for All (UJALA)

The main objective of the UJALA scheme is to promote efficient lighting, enhance awareness on using efficient equipment which reduces electricity bills and helps preserve the environment.

Significance

In its commitment to reduce carbon intensity by 33 to 35 per cent between 2005 and 2030, India has recognised energy efficiency as a key mitigation strategy, with the UJALA scheme serving as the government’s flagship programme for efficient domestic lighting .It has been recognised as one of the largest contributors to energy savings globally .

How the Model Works

i)Energy Efficiency Services Limited (EESL) distributes LED bulbs to households at 40 % of market price

ii)Total upfront investment and risk coverage borne by EESL

iv)DISCOM pays EESL from actual energy savings over 5 years

v)No subsidy required from government

vi)No impact on electricity tariffs

Implementation Agency

The Electricity Distribution Company and Energy Efficiency Services Limited (EESL)  a public sector body of under Union Ministry of Power.

Eligibility

Every grid-connected consumer having a metered connection from their respective Electricity Distribution Company can get the LED bulbs at about 40% of the market price under the UJALA Scheme. Consumers also have the option of paying for the LEDs in equated monthly instalments.

Source-The Economic Times.