Gram Ujala

Recently, the Government has launched the Gram UJALA Programme – an ambitious scheme offering the world’s cheapest LED bulbs in rural areas at a mere Rs. 10.

Important points:

• In its first phase launched from Arrah in Bihar, 15 million LED bulbs will be distributed across villages of 5 districts – Aarah (Bihar), Varanasi (Uttar Pradesh), Vijayawada (Andhra Pradesh), Nagpur (Maharashtra), and villages in western Gujarat.
  The light-emitting diode (LED) is one of today’s most energy-efficient and rapidly-developing lighting technologies.
• 7 watt and 12-watt LED bulbs with 3 years warranty will be given to rural consumers against submission of working Incandescent bulbs.
• Each household will get up to 5 LEDs.
• Participating rural households will also have metres installed in their houses to account for usage.
• EESL is a Public Sector Undertaking (PSU) under the Ministry of Power.

Financing Mechanism:

• The programme will be financed entirely through carbon credits and will be the first such programme in India.
• The revenue earned from carbon credits will contribute Rs. 60 per LED bulb piece, with the balance Rs. 10 to be paid by the rural consumer.
• Project owners, such as solar and wind energy developers, or protectors of endangered forestlands can sell these certificates to an individual or a company to earn revenues to keep expanding their projects into the future.
• When one purchases carbon offsets, one is funding the reduction or elimination of carbon.
• Further on, carbon credit documentation will be sent to United Nations (UN) accredited validators for inclusion into the Shine Program of activities.
• Carbon credits will be prepared under the Shine Program of Activities with an option for verifying under the Voluntary Carbon Standard, depending on the needs of buyers.
• Carbon Credit Buyers will also be sought through an open process based on initial discussions with the market.

Significance:

• If all 300 million lights in India were replaced, the total energy savings would be 40,743 million kWh/year, avoiding peak demand of 22,743MW/year and CO2 reductions of 37 million tons per year.
• Through extra carbon credit, India will boost its position in global carbon trade.
• Boost to efforts to ensure 24-hour power supply.
• The Prime Minister of India, in his Independence Day speech of 2015, promised that all villages where electricity was yet to reach, will have power within 1,000 days.
• To create basic power infrastructure and connectivity, the government had announced a scheme – the DeendayalUpadhyay Gram JyotiYojana.
• Help in the growth of domestic LED markets.

SOURCE: THE HINDU,THE ECONOMIC TIMES,MINT