Arunachal unveils Rs 6,519 cr power sector revamp to cut losses, boost reliability

The Arunachal Pradesh government has announced a Rs 6,519-crore plan, a move aimed at transforming the state's power sector by reducing losses, modernising the electricity grid, and ensuring a reliable power supply while easing fiscal pressure on the exchequer.

Announcing the initiative on Monday, Chief Minister Pema Khandu said the government is focused on building a resilient and efficient power ecosystem.

"Arunachal Pradesh is powering ahead with a massive transformation of its power sector," he said in a post on X.

"Our target is clear, low losses, high reliability, and zero fiscal stress," he added.

The state has allocated Rs 788 crore, specifically to address aggregate technical and commercial losses, which have long hindered efficient power distribution, especially in far-flung areas.

As part of the overhaul, the government will introduce smart meters and establish modern power grids to enhance operational efficiency and ensure real-time monitoring and billing, Khandu said.

These steps are expected to streamline power consumption, reduce wastage, and empower consumers with better control over usage, he said.

"To ensure the massive financial undertaking does not translate into an economic burden, the government has also committed to providing gap funding. This will help cover the difference between capital investment and cost recovery, thus preventing strain on public finances," the CM said.

"This is a transformative step towards a power-secure Arunachal," he added, highlighting that the initiative is aligned with the state's long-term development goals.

With this roadmap, the state aims to not only meet the present power demands but also lay the foundation for future growth, particularly in the industrial and rural development sectors, Khandu said.