Which one of the following is a purpose of ‘UDAY’, a scheme of the

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Which one of the following is a purpose of ‘UDAY’, a scheme of the Government?

Providing technical and financial assistance to start-up entre- preneurs in the field of renewable sources of energy
Providing electricity to every household in the country by 2018
Replacing the coal-based power plants with natural gas, nuclear, solar, wind and tidal power plants over a period of time
Providing for financial turnaround and revival of power distribution companies
This question was previously asked in
UPSC IAS – 2016
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UDAY stands for Ujwal DISCOM Assurance Yojana. It is a scheme launched by the Government of India aimed at the financial and operational turnaround of Power Distribution Companies (DISCOMs).
State-owned power distribution companies in India have historically suffered from significant financial losses and debt, primarily due to AT&C (Aggregate Technical and Commercial) losses and tariffs not covering the cost of supply. The UDAY scheme provides a framework for states to take over a portion of their DISCOMs’ debt, and for operational improvements to reduce losses and improve efficiency.
Option A relates more to schemes like Startup India or specific renewable energy promotion schemes. Option B relates to the Saubhagya scheme (Pradhan Mantri Sahaj Bijli Har Ghar Yojana). Option C relates to energy policy and transition towards cleaner sources but is not the specific purpose of UDAY. UDAY’s core focus is on resolving the financial distress of DISCOMs to ensure the sustainability of the power sector chain.

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