First MoU on UDAY signed between Union Power Ministry, Jharkhand Energy Dept. and JBVNL

The first ever Memorandum of Understanding (MoU) was signed between Union Ministry of Power, Jharkhand department of energy, and Jharkhand Bijli Vitran Nigam Limited (JBVNL) on the UDAY (Ujjawal Discom Assurance Yojana) scheme

Net Benefit: approx 5300 crore derive through the UDAY scheme

• The Memorandum will help in electrifying  2200 villages in Jharkhand
• Jharkhand government is planning to provide off-grid power in 434 villages due to their geographical barriers.

Benefits for the JBVNL:

•  Jharkhand has taking over 100% liabilities of outstanding dues with CPSUs and 75% of the outstanding debts of JBVNL as existing on 30.09.2015.
• As a special dispensation, the JBVNL would also be able to wipe out its outstanding dues amounting to Rs 6000 crore to the Central Public Sector Undertakings.

About UDAY Scheme:

Ujwal DISCOM Assurance Yojana (UDAY) is the financial turnaround and revival package for electricity distribution companies of India (DISCOMs) initiated by the Government of India with the intent to find a permanent solution to the financial mess that the power distribution is in.