Himachal Pradesh has joined the Ujwal DISCOM (distribution
company) Assurance Yojana (UDAY), becoming the 18th state to do so. The state
is estimated to achieve a net benefit of ~Rs.8,230 million (~$122 million).
Under the UDAY program, the combined DISCOM debt that will be restructured with
respect to these states and union territories is ~Rs.2.57 trillion (~$38.55 billion).
With the joining of Himachal Pradesh, in all, 17
states and one union territory have become party to UDAY.
According to a government release,
the Government of India signed a memorandum of understanding (MOU) with the
Government of Himachal Pradesh and the state DISCOM under the UDAY program on
December 8, 2016.
With Himachal Pradesh’s
inclusion in the UDAY program, these 18 states and union territories account
for ~69 percent of the total debt to be restructured through the program. Two
important solar states, Tamil Nadu and Telangana, are yet to join the program.