Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) was introduced by Ministry of Power in April, 2005 and it aims to provide access to electricity to all households and give electricity connection to BPL households, free of charges. The scheme envisages creation of a robust Rural Electricity Distribution Backbone, which will ensure availability of quality and reliable power supply in rural areas. The nodal agency for the scheme is the Rural Electrification Corporation Ltd. (REC). The scheme envisages 90% grant from Central Government which provides sufficient funds to the States to implement this scheme. Balance 10% will be loan assistance to States by REC. This Scheme would lead to overall development of rural areas, poverty alleviation and employment generation. For projects to be eligible for capital subsidy under the scheme, prior commitment of the States has been obtained before sanction of projects under the scheme for a minimum daily supply of 6- 8 hours of electricity in the RGGVY network and deployment of franchisees for the sustained management of rural distribution.
The Government had sanctioned `5,000 crore for implementation of programme in the last two years of 10th Plan period and has also approved continuation of the scheme for the 11th Plan period with an initial outlay of `28,000 crore. 235 projects were sanctioned for implementation during 10th Plan with project cost of `9733.35 crore. All 235 projects have been awarded with the award cost of `13157.76 crore. Additional 343 projects have been sanctioned for implementation during 11th Plan with project cost of `16826.43 crore. As on November 30, 2011, 341 projects out of 343 projects, have been awarded with award cost of `19880.61 crore. Thus, as on November 30, 2011, a total of 578 projects have been sanctioned in the country for execution. These 578 projects targeted to electrify 1,09,888 un/de-electrified villages, intensive electrification of 3,46,944 already electrified villages and release of free electricity connections to 226.73 lakh BPL households.
The Bharat Nirman Target for RGGVY is to electrify 1.00 lakh un/de-electrified villages and to release free electricity connection to 175 lakh BPL Households by March, 2012.
Upto November 30, 2011, a total of 100,100 villages have been electrified, 2,28,507 villages have been intensively electrified and free electricity connections to 176.54 lakh BPL households have been released, thus achieving Bharat Nirman targets. Franchisees are in place in 1,48,399 villages in 17 States.
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