Mission statement"Financial turnaround of Power Distribution Companies"
OwnerSupported by Ministry of Power (India)
FounderCentrally Sponsored Scheme
EstablishedNovember 2015 (2015-11)

Ujjwal DISCOM Assurance Yojana (UDAY) is the financial turnaround and revival package for electricity distribution companies of India (DISCOMs) initiated by the Government of India with the intent to find a permanent solution to the financial mess that the power distribution is in.[1] It allows state governments, which own the DISCOMs, to take over 75 percent of their debt as of September 30, 2015, and pay back lenders by selling bonds. DISCOMs are expected to issue bonds for the remaining 25 percent of their debt.


The scheme was announced by Piyush Goyal, Minister of State (IC) for Power, Coal & New and Renewable Energy (Now Railway minister and coal minister) in November 2015. The scheme is optional for the states to join. Jharkhand became the first state to come under uday scheme. Other states that have given their in-principle approval are Gujarat, Chhattisgarh, Andhra Pradesh, Karnataka, Rajasthan, Punjab, Haryana, Jammu and Kashmir, Himachal Pradesh, Madhya Pradesh, Uttarakhand, Telangana, Assam.[2]

Recently[when?] Uttar Pradesh, Bihar, Maharashtra, Tamil Nadu and Mizoram joined, thereby making the total of 27 states to have joined.[3] Till November 2017, only states that have not joined it are Odisha and West Bengal. Till now[when?] 31 states/UT have joined this scheme Mizoram being the 27th state to join. Lakshadweep joined the scheme on 28 February 2018,[4] bringing the total of states and Union Territories covered to 32.


  1. ^ "UDAY (Ujwal DISCOM Assurance Yojana) for financial turnaround of Power Distribution Companies". Press Information Bureau Government of India Cabinet.
  2. ^ "Telangana to join Centre's Uday scheme today". Business Standard India. 24 June 2016.
  3. ^ "The Uday plug-in". The Indian Express. 17 March 2016.
  4. ^ "Lakshadweep joins "UDAY" scheme; would derive an overall net benefit of Rs 8 crore through "UDAY"". Press Information Bureau Government of India.