Budget 2026: ₹18,000 Crore Boost for Power Reform Scheme

• Finance Minister Nirmala Sitharaman allocated ₹18,000 crore to the Reform Linked Distribution Scheme (RDSS) in Budget 2026, an increase from the previous revised estimate.
• The RDSS, launched with an outlay of ₹3,03,758 crore, aims to reduce Aggregate Technical and Commercial (AT&C) losses over five years (FY 2021-22 to FY 2025-26).
• Under the scheme, 20.33 crore smart meters have been sanctioned, with 4.76 crore already installed across the country.
• RDSS provides financial support for prepaid smart metering, system metering, distribution infrastructure upgrades, and capacity building.
• The scheme also focuses on improving electricity supply for farmers by separating agricultural feeders and integrating with the PM-KUSUM scheme.

Why It Matters: Budget 2026 significantly increases funding for RDSS to modernize power distribution and reduce losses.