Status of Rural Electrification (RE) under DDUGJY

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 and 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.

Under DDUGJY-RE, Ministry of Power has sanctioned 921 projects to electrify 1,21,225 un-electrified villages, intensive electrification of 5,92,979 partially electrified villages and provide free electricity connections to 397.45 lakh BPL rural households. As on 30th June 2015, works in 1,10,146 un-electrified villages and intensive electrification of 3,20,185 partially electrified villages have been completed and 220.63 lakh free electricity connections have been released to BPL households. 

The funding mechanism of DDUGJY will be as under: 

Agency Nature of support Quantum of support
(Percentage of project cost)
Other than Special Category States Special Category States #
Govt of India Grant 60 85
Discom Contribution* Own Fund 10 5
Lender (FIs/ Banks) Loan



Additional Grant from GOI on achievement of prescribed milestones  Grant 50% of total  loan component (30%) i.e. 15% 50% of total  loan component (10%) i.e. 5%
Maximum Grant by GOI (including additional grant on achievement of prescribed milestones) Grant 75% 90%


# Special Category States (All North Eastern States including Sikkim, J&K, Himachal Pradesh, Uttarakhand)
* Minimum contribution by Discom(s) is 10% (5% in case of Special Category States). However, Discom(s) contribution can go up to 40% (15% in case of Special Category States), if they do not intend to avail loan. In case, the Discom(s) do not avail loan, the maximum eligible additional grant would be 15% (5% in case of Special Category States) on achievement of prescribed milestones. The loan component would be provided by REC or by other FIs/Banks.

Note: 100% grant shall be provided by GoI towards expenditure incurred on activities for bridging the missing links of National Optical Fibre Network (NOFN), Creation of Rural Electrification Data Hub at Rural Electrification Corporation & Project Management Agency (PMA) as per provision in the scheme.