UDAY scheme - Current Affairs Questions and Answers

ANSWER: Manipur

Explanation:
Manipur has joined the UDAY scheme meant for the revival of debt stressed power distribution utilities and will get benefits of INR 263 crore.

• Manipur is the 14th state to join UDAY. It is also the first NE state to opt for UDAY for improving the efficiency of DISCOMS.
• GoI, Manipur and DISCOM of Manipur signed the MoU under the scheme Ujwal DISCOM Assurance Yojana.
• An overall net benefit of close to INR 263 crore would accrue to states participating in UDAY by means of cheaper funds, reduction in AT&C and transmission losses, interventions in energy efficiency, coal reforms and more during the turnaround period.

ANSWER: UDAY

Explanation:
Andhra Pradesh has formally joined the Centre’s scheme to revive ailing electricity distribution firms and stave off debt amounting to INR 11,000 crore in the current fiscal.

• Ministry of Power has signed a tripartite agreement to formally join the scheme with AP government and two state discos APSPDCL and APEPDCL.
• This is a landmark achievement when the state reduces power transmission, distribution and billing losses through the agreement to 5-6 percent soon.
• State’s current TDC stood at 10.19 percent and if achieved.
• AP has come forward to also replace 15 lakhs agricultural pump sets over the next three years with energy efficient pump sets.

ANSWER: Chattisgarh

Explanation:
Chattisgarh join the UDAY scheme after signing the MoU with the Central Government. Government of India Chattisgarh and power distribution firm CSPDCL has signed an MoU under the Ujwal DISCOM Assurance Yojana for operational as well as financial turnaround of CSPDCL. UDAY was launched by the Central Government on November 20, 2015 to ensure distribution utilities break out of long standing chronic debt of close to INR 4.3 lakh crore. MoU will have considerable benefits for CSPDCL with Chattisgarh acquiring 75% of the outstanding debt of CSPDCL and the balance debt repriced or issued as State guaranteed DISCOM bonds at coupon rates along 3% less than average existing rate.

ANSWER: Both of the above

Explanation:
Government of India, the State of Jharkhand and Jharkhand Bijli Vitran Nigam Limited have signed an MoU under the UDAY scheme or Ujjwal Discom Assurance Yojana. MoU is for operational and financial turnaround of discoms and this is the first MoU to be signed by a state for this scheme. MoU will aid in electrifying 2200 villages in Jharkhand and providing 24/7 electricity to all.

ANSWER: 15

Explanation:
Close to 15 states have agreed to opt for the UDAY scheme meant for reviving debt stressed discoms in the nation according to Union Minister Piyush Goyal. A total of 15 from the current 29 states are on board for the Ujwal Discom Assurance Yojana. 4 major states- UP, Odisha, Bihar and Maharashtra have agreed to join UDAY with total of 15 states joining the scheme and 90% of over INR 4 lakh crore on discos debt will be covered under the scheme.

ANSWER: UP

Explanation:
State Cabinet of Uttar Pradesh has approved state’s participation in UDAY/ Ujwal Discom Assurance Yojana. 11 states so far have joined the UDAY scheme namely
Andhra Pradesh, Himachal Pradesh, Madhya Pradesh, Uttarakhand, Chhattisgarh, Jammu & Kashmir , Jharkhand , Gujarat , Punjab, Haryana and Rajasthan.

ANSWER: Gujarat

Explanation:
Numerous states in the Ujwal Discom Assurance Yojana has reached double digits with Gujarat becoming the 10th Indian state to join UDAY/Ujwal Discom Assurance Yojana. Other states which have joined the UDAY scheme include AP, HP, MP, J&K, Jharkhand, Punjab and Rajasthan.

ANSWER: Both a and b

Explanation:
UDAY (Ujwal DISCOM Assurance Yojana) Scheme of Ministry of Power was not only joined by Andhra Pradesh, Jharkhand and Rajasthan, but State Governments of Punjab, Jammu & Kashmir (J&K), Himachal Pradesh, & Uttarakhand have communicated their in- principle approval to the Ministry of Power ( MoP) to join UDAY Scheme . This scheme seeks to promote financial solvency of DISCOMs through voluntary restructuring of their debts.

ANSWER: UDAY

Explanation:
The in-principle approval was given on 6th December 2015. Ujwal Discom Assurance Yojana has provided incentives to states to restructure discom debts. Incentives include taking over of DISCOM debt by states outside the fiscal deficit limits and reduction in power cost. UDAY aims at lowering the cost of power generation.

ANSWER: Andhra Pradesh

Explanation:
AP government has given the approval for joining Ujwal Discom Assurance Yojana or UDAY Scheme. The UDAY scheme has been launched to improve financial and operational efficiency of power companies or discoms. The aim is to reduce interest burden and cost of power losses.