Deen Dayal Upadhyaya Gram Jyoti Yojna: Most Important Topic for 2021 RBI Assistant Exam

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  • The demand of electricity in rural areas is increasing day by day due to increase in customer base, changes in lifestyle & consumption pattern which requires continual strengthening & augmentation of distribution network.
  • However, the poor financial health of the distribution utilities has resulted in under - investment in the distribution network leading to poor upkeep and maintenance of assets, particularly in rural areas.
  • Therefore, strengthening & augmentation of sub - transmission & distribution infrastructure is also considered necessary to ensure reliable and quality power supply in rural areas.
  • The Government of India has launched the scheme “Deendayal Upadhyaya Gram Jyoti Yojana” for rural electrification. The erstwhile Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) scheme for village electrification & providing electricity distribution infrastructure in the rural areas has been subsumed in the DDUGJY scheme. Rural Electrification Corporation is the Nodal Agency for implementation of DDUGJY.


  • The Ministry of Power, Government of India has launched Deen Dayal Upadhyaya Gram Jyoti Yojana for rural areas with the following objectives:
    • To provide electrification to all villages
    • Feeder separation to ensure sufficient power to farmers & regular supply to other consumers
    • Improvement of Sub-transmission & distribution network to improve the quality & reliability of the supply
    • Metering to reduce the losses

Components of the Scheme

  • The following are the scheme components:
    • Separation of agriculture & non-agriculture feeders facilitating judicious rostering of supply to agricultural & non-agricultural consumers in the rural areas.
    • Strengthening & augmentation of sub-transmission & distribution (ST&D) infrastructure in rural areas, including metering at distribution transformers, feeders & consumers end.
    • Rural electrification, as per CCEA approval dated 01.08. 2013 for completion of the targets laid down under RGGVY for 12th & 13th Plans by subsuming RGGVY in DDUGJY and carrying forward the approved outlay for RGGVY to DDUGJY.

Benefits from the Scheme

  • All villages & households shall be electrified
  • Increase in agriculture yield
  • Business of Small & household enterprises shall grow resulting into new avenues for employment
  • Improvement in Health, Education, Banking (ATM) services
  • Improvement in accessibility to radio, telephone, television, internet & mobile etc
  • Betterment in social security due to availability of electricity
  • Accessibility of electricity to schools, panchayats, hospitals and police stations etc
  • Rural areas shall get increased opportunities for comprehensive development
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