J&K power sector witnesses 22% drop in AT&C losses in 2 years



Srinagar, Jul 09 : The power sector in Jammu and Kashmir has significantly improved the aggregate technical and commercial (AT&C) losses of its power DISCOMS during the last two years.

As per the news agency—Kashmir News Observer (KNO), the losses, which stood at a high of 63% in the financial year (FY) 2021–22, have dropped to 41% in FY 2023–24, officials told KNO.

They attributed the progress to the projects undertaken under the Revamped Distribution Sector Scheme (RDSS).

However, the target under the prestigious scheme is still a distant dream of the Union territory.

The RDSS, with an outlay of about Rs. 2,118 crore over five years (FY 2021-22 to FY 2025-26) for the union territory of J&K, aims to enhance the operational efficiency and financial sustainability of distribution companies (DISCOMs) across the country.

One of the key targets of RDSS is to reduce AT&C losses to pan-India levels of 12–15% by FY 2024–25 and to bring down the gap between Average Cost of Supply (ACS) and Average Revenue Realized (ARR) to zero by the same fiscal year.

The scheme also targets improvements in the quality, reliability, and affordability of power supply through a financially sustainable and operationally efficient distribution sector.

One of the central interventions under RDSS is the implementation of prepaid smart metering.

In J&K, the scheme aims to install 22 lakh prepaid metres during its tenure.

Across India, action plans and detailed project reports (DPRs) for 30 states and union territories have been approved, sanctioning 19,79,21,237 prepaid smart metres, 52,18,603 DT metres, and 1,88,491 feeder metres.

Additionally, the RDSS encompasses capital investments for loss reduction works, system strengthening, and modernization for a smarter distribution system.

Know about AT&C losses

The concept of AT&C provides a realistic picture of the loss situation in the context in which it is measured.

It is a combination of energy loss (technical loss, theft, and inefficiency in billing) and commercial loss (default in payment and inefficiency in collection)—(KNO)


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