Reforms-based and Results-linked, Revamped Distribution

Sector Scheme-UHBVN

The Ministry of Power, Government of India vide office Memorandum No F.No

20/9/2019-IPDS dated 20.07.2021 has launched Revamped Distribution Sector Scheme-A
Reforms based and results linked Scheme with the objective of improving the quality and
reliability power supply to consumers through a financially sustainable and operationally
efficient distribution Sector.

RDSS Background, Objective and Outlay:

The Union Cabinet has approved a Reforms-based and Results-linked, Revamped Distribution
Sector Scheme. Ministry of Power has notified the Scheme vide Office Memorandum
dated 20th July 2021.

 Total outlay of the scheme is Rs. 3,03,758 Crore

 Improved Quality and Reliability of power supply to consumers through a financially
sustainable and operationally efficient Distribution Sector
 Reduce AT&C losses to pan India levels of 12-15% by 2024-25
 Reduce ACS-ARR gaps to zero by 2024-25.

Scheme Components:

Part A – Metering & Distribution Infrastructure Works:

 Component I: Metering
 Component II: Distribution Infrastructure Works
 Component III: Project Management

Part B: Training, Capacity Building and other Enabling & Supporting Activities.

Approved DPR Cost and Government of India (GoI) Grant for UHBVNL,

Sr. Particulars Total Project GBS* PMA GBS for PMA

No. Cost Charges** charges
Smart Metering
2125.77 318.87 7.97 4.78
1 Works***
Infrastructure Works
1527.54 916.52 22.91 13.75
2 – Loss Reduction
Total 3653.31 1235.39 30.88 18.53

*Excluding incentives in case of Smart Metering works of Phase-I.

** 2.5% of GBS for Smart Metering (excluding incentive) and 1.5% of total project cost
*** 15% of the approved cost of the metering including the operational cost, provided that it is
not more than Rs. 900 per meter for consumer metering only.
Note: Proposed System Strengthening and Modernization work (having SCADA-A,B& C
towns, UG Cable and New DTR works etc in scope) worth Rs. 1321.37 will be sanctioned in
next Phase/FY.
Consumer Metering: (Part-A)

•Consumer Metering-Prepaid Smart metering.

•System metering(Feeder and DT)-communicating feature, along with associated AMI/AMR.

 Metering works to be done in TOTEX mode through PPP.

 Capital and operational expenditure under DBFOOT (Design Build Fund Own Operate
& Transfer).
 Pre-paid smart metering works carried out after 1st Jan’2020 will be eligible for
funding, if they were carried out in TOTEX mode.

Priority Areas:

The following areas will be taken up on priority for prepaid smart metering of all directly
connected meters and AMI in case of other meters (other than agricultural consumers) in the
first phase to be completed by December, 2023:

(i) All Electricity Divisions of 500 AMRUT cities, with AT&C Losses >15%
(ii) All Union Territories
(iii) All other Industrial and Commercial consumers
(iv) All Government offices at Block level and above
(v) Other areas with high losses. Other areas with high losses, which shall mandatorily
include Electricity Divisions having more than 50% consumers in urban areas and
with AT&C losses more than 15% and other Electricity Divisions with AT&C losses
more than 25%, in the base year.
1. DISCOMs can cover any other areas as well as agricultural consumers, at their option,
in the first phase.
2. Consumers in Electricity Divisions with more than 50% consumers in urban areas and
with AT&C losses of 15% or less; and other Electricity Divisions with AT&C losses
of 25% or less in the base year will be provided prepaid Smart Meters by March 2025.
3. In areas which do not have communication network, installation of prepayment
meters, may be taken up.

General Terms and Conditions Applicable for Availing Financial Assistance under
Revamped Distribution Sector Scheme

Project Financing & Fund Management:

1. The funding pattern under the scheme is as given below:

Part Item Description GBS % (Max)

Part A Component I: Prepaid Smart consumer metering 15% / 22.5% of meter lifecycle cost
solution including Communicable/Smart System as the case may be (limited up to
Metering at DT, feeder and boundary level Rs.900 or Rs.1350 respectively per
including integration of existing infrastructure. meter for Consumer metering only)

Component II: Distribution Infrastructure works 60% or 90% of project cost as the
including SCADA, DMS, AB cables, feeder case may be
segregation etc.
2. Part A: Project Management funding pattern:

1. 2.5% of the GBS of metering component and 1.5% of project cost of Distribution
infrastructure works component shall be allowed as PMA charges under the Scheme.
PMA charges, over and above the permitted amount, shall be borne by the respective
DISCOM / State government.

2. 60% of the PMA charges allowed under the scheme for metering and Distribution
infrastructure work components would be provided as grant by Government of India
for other than Special Category States. For Special Category States, the Government of
India grant would be 90% of the allowed PMA charges.

3. Release of grant to Discom by PFC:

1. Release of grant for Metering:

a. Grant for metering works, will be due when a meter is successfully

installed and commissioned, and essential services and data related to it are
provided for a period of one month to the DISCOM. It will be essential
that a consumer meter is recharged at least once, for the release of grant
pertaining to it to become due.

b. The DISCOM may submit claim for release of grant in a phased manner
when grant becomes due against 5% of the total meters planned to be
installed, or such number of meters or such period that the Nodal Agencies
deem practical and convenient. After the first release, subsequent releases
shall be subject to submission of utilization certificate of the previous
releases.

2. Release of grant for Distribution Infrastructure works:

1. Phase I- 10% of the grant for Loss reduction part of Project (5% on sanction and
further 5% on award of works)

a. Approval of the project by the Monitoring Committee

b. Execution of Scheme Implementation agreement

2. Phase II- 30% of the grant for Loss reduction part of project in FY 2022-23
(including the advance 10%):

a. Qualification as per the Results Evaluation Framework of the Action Plan

for FY 2021-22.
b. Submission of a certificate regarding utilization of grant already released
in the Format prescribed by Ministry of Finance;
c. Submission of a certificate regarding receipts and expenditure on the
project certified by a Chartered Accountant ;
d. Submission of physical and financial (grant and counterpart funding)
progress report;
e. Sanction letter for counter-part funding / DISCOM’s own resources / State
Government funding for Distribution Infrastructure Works.
f. Award of prepaid Smart Metering works to be covered in the first phase to
be completed by December 2023, as per the clause 3.2.2.2 of scheme
guidelines.
 30% of the grant for Modernization & System Augmentation part of the
project in FY 2022-23 (10 % on sanction and 20% on award of works).

a. Approval of the project by the Monitoring Committee

b. Execution of Scheme Implementation agreement
c. Award of prepaid Smart Metering works to be covered in the first phase to
be completed by December 2023, as per the clause 3.2.2.2 of scheme
guidelines.

3. Phase III: Cumulative release of 60% of grant component of the project cost of
DPRs in FY 2023-24:

a. Qualification as per the Results Evaluation Framework of the Action Plan

for FY 2022-23.
b. Submission of a certificate regarding utilization of grant already released
in the Format prescribed by Ministry of Finance;
c. Submission of a certificate regarding receipts and expenditure on the
project certified by a Chartered Accountant;
d. Submission of physical and financial (grant and counterpart funding)
progress report;
e. Sanction letter for counter-part funding / DISCOM’s own resources / State
Government funding for Distribution Infrastructure Works.

4. Phase IV: Cumulative release of 95% of grant component of the project cost of
DPRs in FY 2024-25:

a. Qualification as per the Results Evaluation Framework of the Action Plan

for FY 2023-24.
b. Submission of a certificate regarding utilization of grant already released;
c. Submission of a certificate regarding receipts and expenditure on the
project certified by a Chartered Accountant;
d. Submission of physical and financial (grant and counterpart funding)
progress report;
e. Sanction letter for counterpart funding / DISCOM’s own resources / State
Government funding for Distribution Infrastructure Works.

3. Cumulative release of 100% of grant component of the project cost of DPRs in FY

2024-25:

a. Submission of project completion report as per clause 4.9.1 of scheme

guidelines.

4. Release of grant for PMA

Grant for PMA component shall be released, subject to the following conditions:
(i) Grant shall be released on the basis of the sanctioned cost or award cost,
whichever is lower;
(ii) Grant will be released in the month of March, every year;
 (iii) 10% shall be released as advance in the year of sanction;
(iv) 30% shall be released each year subsequent to the sanction year;
(v) Subsequent releases shall be subject to submission of utilization certificate
of the previous releases and achievement against deliverables as specified
in the SBD referred to in Clause
Discoms shall comply with the amendments/supplemental to conditionalities prescribed
for release of particular installment, if any, issued by MoP/PFC in future.

5. If DISCOM achieves the targets as per Action Plan of any previous FY in a subsequent
year, then it shall be eligible for release of grant pertaining to that FY.

6. Result Evaluation Framework:

a. Discom to meet the pre-qualifying criteria and achieve the specified marks
in the Evaluation Matrix based on which DPR for Modernisation &
System Augmentation shall be sanctioned and grant for both loss reduction
works (other than the advance for DPR for Loss Reduction) and for the
Modernisation & System Augmentation works will be released.
b. For qualifying in the Evaluation Matrix, a DISCOM needs to score a
minimum of 60 marks.

7. Monitoring & Evaluation

This scheme would be reviewed by the District Electricity Committees, to be notified by

the State Government in compliance to the notification of Government of India dated
16th Sept, 2021.

8. The DISCOM shall be responsible & accountable for assuring quality in the scheme
works. Accordingly, DISCOM shall formulate a comprehensive Quality Assurance (QA)
and Inspection Plan with an objective to build quality infrastructure under the project.
The QA and Inspection Plan shall be an integral Part of the contract agreement with
turnkey contractor or equipment supplier/vendor and erection agency as the case may be
in case of partial turnkey and departmental execution of works. Documentation with
regard to Quality Assurance & Inspection Plan shall be maintained by DISCOM and kept
in proper order for scrutiny during the course of project execution and for future
reference. The DISCOM has to ensure that the quality of material/equipment supplied at
site and field execution of works under the project is in accordance with the Quality
Assurance & Inspection Plan. DISCOM may use the MQP (Manufacturing Quality Plan)
and FQP (Field Quality Plan) used in DDUGJY and IPDS schemes by suitably modifying
as per requirement of this scheme.

9. In addition to the in-house quality checks and processes followed by the DISCOM, the
nodal agency (PFC/ REC) shall carry out concurrent inspection of works through the
Third Party Quality Monitoring Agency (TPQMA).
UHBVN Status

UHBVN has submitted the Action Plan and DPRs for Result-linked Revamped District
Reform-based & Distribution Sector Scheme (RDSS) and details of the amount of DPRs
submitted to the nodal agency, PFC for approval are detailed below:

Name of the Result-linked Revamped District Reform-based & Distribution

Scheme Sector Scheme (RDSS)

Work Description Amount in Crore

Smart metering and AMR meter (A) 2125.77
Loss Reduction works (B) 1527.54
Scope of work
System Strengthening and
1321.37**
Modernization (C)
Total Cost (A+B+C) 4974.68
** To be sanctioned in next year financial year.

An outlay of Rs 1527.54 Cr has been sanctioned for LRP works and Rs. 2125.77Cr. for
Smart metering and AMR meter by the Ministry of Power vide PFC letter bearing reference no.
02: 10: ROSS: 2021: I: UHBVN/77739 dated 07.07.2022. The scope of LRP works are feeder
bifurcation, Reconductoring works of Existing Worn out LT Line, AB Cabling, New 33/11kV
Power Sub Stations, Replacement of LT bare conductor with LT Armored XLPE Cable,
Reconductoring works of 11kV Conductor, Information Technology Systems with operational
Technology Systems ((IT/OT) Works (ERP and Tech Refresh/Upgradation)).

District-wise sanctioned cost is listed below.

Sr. No Name of District Sanctioned Cost(Cr)

1 Ambala 114.35
2 Jhajjar 105.54
3 Sonipat 101.72
4 Kaithal 92.63
5 Karnal 109.41
6 Kurukshetra 136.28
7 Panchkula 77.94
8 Panipat 84.24
9 Rohtak 145.65
10 Yamuna Nagar 237.95
TOTAL COST 1205.72
IT/ OT Works (ERP and Tech Refresh/
114.9
Upgradation)
New 33/11 KV Substation along with lines 207.0
Total Sanctioned Cost of Infra works 1527.5

These works are required to be completed by FY 2024-25.

PFC has released Rs. 45.83 Crores to UHBVN as a grant component against the
sanctioned works.
 M/s WAPCOS was appointed as PMA for LRP and System Strengthening
(Modernization) Works vide LOI dated 19.09.2022. However, circle-wise NITs with Division-
wise Packages will be floated to have better participation of contractors.

LATEST STATUS

Ministry of Power, GoI has circulated Standard Bid Document (SBD) for RDSS to carry
out the turnkey works (INFRA) and accordingly, NIT for LRP works of all 10 no. Districts under
UHBVN have been prepared with the estimated cost as mentioned below:

Estimated Date of Date of Date of Date of

Estimated
Sr. Name of Name of the Cost of Status of Publish/ Pre-bid Closing Opening
Cost of
No. District Division District NITs Downloading meeting
Division (Cr.)
(Cr.)
1 City Rohtak 79.55 09.12.22 20.12.22 16.01.23 17.01.23
(15:00hrs) (11:30hrs) (15:00hrs) (15:00hrs)
2 Rohtak SU No1 Rohtak 36.03 142.17
3 SU No 2 Rohtak 26.59
4 City Sonipat 35.00 21.12.22 04.01.23 06.02.2023 07.02.23
(15:00hrs) (11:30hrs) (15:00hrs) (15:00hrs)
5 Sonipat Gohana 10.55 100.14
6 SU Sonipat 54.59
7 Assandh 18.13 27.12.22 04.01.23 10.02.2023 13.02.23
(15:00hrs) (11:30hrs) (15:00hrs) (15:00hrs)
8 City Karnal 29.95
Karnal 110.40
9 S/U No1 Karnal 39.32
10 S/U No2 Karnal 23.00 NIT floated
11 City Panipat 31.46 28.12.22 04.01.23 13.02.2023 14.02.23
(15:00hrs) (11:30hrs) (15:00hrs) (15:00hrs)
12 Panipat Smalkha 32.87 84.15
Sub-Urban
13 19.82
Panipat
14 Bahadurgarh 32.42 30.12.22 - 13.02.2023 14.02.23
(15:00hrs) (15:00hrs) (15:00hrs)
15 Jhajjar Beri 16.38 103.43
16 Jhajjar 54.63
17 Gulha 15.17 04.01.23 - 20.02.2023 21.02.23
(15:00hrs) (15:00hrs) (15:00hrs)
18 Kaithal Kaithal 51.53 93.29
19 Pundri 26.59
20 City 29.95
21 Ambala Cantt 34.36 111.59
22 Naraingarh 47.28
23 Kurkshetra 58.46
24 Kurkshetra Pehova 27.69 133.92
25 Shahbaad 47.77
WTDs approval under process.
26 Panchkula 35.13
Panchkula 78.73
27 Pinjore 43.60
28 Bilaspur 25.34
Yamuna
29 Jagadari 110.48 231.91
Nagar
30 Yamuna Nagar 96.09
Total 1189.73 1189.73

Haryana Government has created HEW Portal and made the uploading of Tenders
mandatory on HEW Portal. The DNITs for Rohtak, Sonepat, Kaithal, Panipat, Jhajjar & Karnal
District has been uploaded on HEW Portal and has been published on E tender, Haryana.

All LRP Tender are likely to be floated by January 2023.