Budget 2026: ₹18,000 Crore Boost for Power Reform Scheme

Budget
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CNBC TV18•01-02-2026, 13:34
Budget 2026: ₹18,000 Crore Boost for Power Reform Scheme
- •Finance Minister Nirmala Sitharaman allocated ₹18,000 crore to the Reform Linked Distribution Scheme (RDSS) in Budget 2026, an increase from the previous revised estimate.
- •The RDSS, launched with an outlay of ₹3,03,758 crore, aims to reduce Aggregate Technical and Commercial (AT&C) losses over five years (FY 2021-22 to FY 2025-26).
- •Under the scheme, 20.33 crore smart meters have been sanctioned, with 4.76 crore already installed across the country.
- •RDSS provides financial support for prepaid smart metering, system metering, distribution infrastructure upgrades, and capacity building.
- •The scheme also focuses on improving electricity supply for farmers by separating agricultural feeders and integrating with the PM-KUSUM scheme.
Why It Matters: Budget 2026 significantly increases funding for RDSS to modernize power distribution and reduce losses.
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