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1 year of UJALA Scheme (Adapted from the Indian Express, Relevant for GS Paper II, Govt intervention for Development, GS Paper III, Environment Conservation, Prelims Current Affairs)

An ordinary bulb is an extremely energy inefficient form of lighting with just 5% of the electricity input converted to light.  Efficient light bulbs like Light-emitting Diode (LEDs) consumes only one-tenth of energy used by ordinary bulb to provide the same or better light output. However, high cost of LEDs has been a barrier in adoption of such efficient lighting systems. The  Domestic Efficient Lighting Programme (DELP) on-bill financing scheme proposes to overcome this cost barrier. The scheme is being named "UJALA" – an acronym for Unnat Jyoti by Affordable LEDs for All.

Objectives

The main objective is to promote efficient lighting, enhance awareness on using efficient equipment which reduce electricity bills and help preserve environment.

Eligibility of acquiring LED bulbs

Every grid-connected consumer having a metered connection from their respective Electricity Distribution Company can get the LED bulbs at about 40% of the market price under the UJALA Scheme. Consumers also have the option of paying for the LEDs in equated monthly instalments. The UJALA is under implementation in 12 states. Piyush Goyal, Minister of Coal and Power has said that the scheme will be implemented throughout the country.

How the model works

  • Energy Efficiency Services Limited (EESL) distributes LED bulbs to households at 40 % of market price
  • DISCOM pays EESL from actual energy savings over 5 years
  • No subsidy required from government
  • Savings in Electricity bills

 



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