Accelerated Power Development and Reform Programme (APDRP)

Accelerated Power Development and Reform Programme or APDRP has been undertaken from the year 2000-01 with the twin objectives of financial turn-around in the performance of the power sector especially in electric distribution and improvement in quality of supply. The role of APDRP is to act as a catalyst for bringing about the desired changes through funding arrangements for implementing schemes.
The schemes are targeted towards improving financial viability and customer satisfaction. The scheme comprises of 25% grant and 25% of soft loans from the Central Government to the State Government. The remaining 50% resources have to be generated by State Government. The states also have to commit themselves for agreed loss improvement and collection improvement.
APDRP mainly focuses on six aspects i.e. Customer, Feeder, Distribution Circle, SEB, State and the Nation.
1. Improving financial viability: This can be achieved by reducing Transmission and Distribution (T&D;) losses and improving revenue collections.
2. Reduction of T&D; losses to around 10 %: The reported total T&D; losses are 24 % on an all India average basis. Losses including pilferage and wrong classification are much higher in some pockets of India. Thus, the higher losses are mainly due to commercial losses. The T&D; losses are pegged at around 10% in better managed power systems in the developed countries. In some States of India where private utilities are in place, the T&D; loss is about 11 %, which is close to the world benchmark of 7 to 8 %. This also points out that the loss figure of around 10 to 15 % is achievable in better administered organizations. Privatization has better scope to show efficiency improvement.
3. Improving customer satisfaction: Customer satisfaction can be improved by providing better quality power through reduced voltage fluctuations and improved availability.
4. Transparency through Computerization: Along with 100 % energy metering in the districts, it is necessary to enforce energy accounting and auditing as per Energy Conservation Act 2001. Energy accounting system should be able to take input data automatically at various levels from central meter reading control system. Based on this data, energy accounting system should be able to provide information about the losses and pilferages at various levels.
Most of the States have initiated actions to implement schemes under APDRP programme. Tamil Nadu has introduced the concept of reliability index for power supply in six cities and towns – Chennai, Coimbatore, Tiruchi, Madurai, Salem and Tirunelveli. Tata Power monitors reliability indices such as CAIFI, CAIDI, SAIFI, SAIDI, etc. for Mumbai distribution. Andhra Pradesh has started computing power supply reliability index for 20 towns and has also put in place an effective anti-pilferage legislation. The State has set up call centres in all district headquarters and has planned to set them in the rural areas in near future. In States where feeder and consumer metering have been completed, immediate gains in revenue ranging from 20 to 30 % have been visible. Other States are in the process of implementing such projects.

In the Union Budget 2009-10, Allocation under Accelerated Power Development and Reform Programme (APDRP) increased by 160 per cent to Rs.2,080 crore in B.E. 2009-10 over B.E. 2008-09.