The Full Form of APDRP is‍ Accelerated Power Development and Reforms Programme.

The Government approved the Accelerated Power Development Reforms Programme (APDRP) which is intended for up-gradation of Sub-Transmission and Distribution in densely electrified zones in the urban and industrial areas and improvement in commercial viability of State Electricity Boards by reducing the aggregate technical and commercial (AT&C) losses to around 15 per cent as against the existing over 50 per cent.

This will ensure reliability and quality of power supply with adequate customer satisfaction.

(a) Investment component for strengthening and up-gradation of the sub-transmission and distribution system and

(b) Incentive component to encourage/motivate utilities to reduce cash losses.

A sum of Rs 40,000 crore was needed for the implementation of APDRP under the Tenth Five Year Plan. Out of which Rs 20,000 crore was sent on investment component and another Rs 20,000 crore was used to incentivize states for reducing their financial losses.

The Government had sanctioned projects amounting to Rs 14,749 crore covering 406 towns all over the country during the year 2002-03 and the Government has released Rs 1,755.51 crore under the investment component for Strengthening and upgradation of sub-transmission and distribution network.

An additional amount of Rs 379.27 crore was also released under incentive component to the State of Gujarat, Haryana and Maharashtra for reduction in net losses. The budgetary allocations for 2003-04 were Rs 3,500.00 crore.

The Ministry of Power is giving highest priority to the distribution reforms. As a result, 27 states have signed reforms related MOUs with Ministry of Power. Moreover, 27 Electricity Boards/utilities have signed Memorandum of Agreement with the Ministry of Power.

With a view to giving a fillip to State Governments, SEBs and utilities to take adequate steps towards reduction of transmission, distribution and commercial losses, the Government is implementing the Accelerated Power Development and Reform Programme (APDRP).