PERFORMANCE BUDGET 1998-99 - Ministry of Power

11.6.3 Annual Plan 1997-98
The Annual Plan proposals of Rural Electrification Corporation for the fiscal year 1997-
98 provide for financial outlay of Rs.775 crores for electrification of 3,000 villages
(later revised to 2000 villages) and energisation of 2.4 lakh pumpsets, and release of
2.8 lakh Kutir Jyoti connections and subsequently enhanced to 4.45 lakh connections.
The Annual Plan proposals also include provision of funds for taking up other
programmes like Integrated System Improvement. Small/Decentralised Power
Generation, funding of Rural Electric Cooperative Societies etc.
REC after being accorded the ‘Priority Sector Lending Status’ by the Reserve Bank of
India has been authorised to raise additional Rs.100 crores by way of Market Borrowings
on private placement basis from Commercial Banks. This amount has been raised by
the Corporation for funding pumpsets energisation including System Improvement -
Special Projects Agriculture (SI-SPA) programme. This would help improve power
supply to energised pumpsets in rural areas.
For funding Annual Plan 1998-99 of the Corporation, the detailed break-up of sources
of funds under various heads under Budget Estimates/Revised Estimates 1997-98 and
BE 1998-99 is given below:
Budget Estimates and Revised Estimates for 1997-98
104
(Rs. in Crore)
Sl. Item Budget Revised Budget
No. Estimates Estimates Estimates
1997-98 1997-98 1998-99
Budgetary Support
1. RE normal (MOP) 348 348 450
2. Minimum Needs Programme
(MOF) 175 175 175
3. Kutir Jyoti (Grant from MOP) 25 36.93 40
4. OECF (MOP) 30 30 75