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Govt approves National Smart Grid Mission

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Government has approved the National Smart Grid Mission (NSGM) -an institutional mechanism for planning, monitoring and implementation of policies and programs related to Smart Grid activities.

This was stated by Sh. Piyush Goyal, Minister of state for Power, Coal & New and Renewable Energy (IC) in a written reply to a question in the Lok Sabha today.



  • The NSGM aims to implement a smart power grid based on the latest technology in automation, communication and IT systems that can monitor and control power flows from points of generation to points of consumption
  • Total Outlay :  Rs.980 crore with a budgetary support of Rs.338 crore.
  • State-level missions on the lines of the national smart grid have also been proposed
  • NSGM has three tier structure.

Apex level :

  • A Governing Council headed by the Power Minister.
  • The members of the Council are secretary level officers of concerned ministries and departments.
  • Role of the apex council : To approve all policies and programme for smart grid implementation.

At the second level :

  • An Empowered Committee headed by the Secretary (Power).
  • The members of the committee are Joint Secretary level officers of concerned ministries and departments.
  • Role of this Committee : To provide policy input to the Governing Council and approve, monitor, review specific smart grid projects, guidelines/procedures etc.

Third Tier :

  • It will comprise a technical committee headed by the chairperson of the Central Electricity Authority
  • The members of this committee are Director level officers of concerned ministries and departments, representatives from industries and academia.
  • Role of this Committee :To support the Empowered Committee on technical aspect, standards development, technology selection guidelines etc.
  • For day-to-day operations, NSGM has a NSGM Project Management Unit (NPMU) headed by the Director NPMU.

Grants :

  • Grant up-to 30% of the project cost is available from NSGM budget
  • For selected components such as training & capacity building, consumer engagement etc, 100% grant is available.
  • Other activities envisaged under NSGM :
  • Development of micro grids.
  • Consumer engagements and training & capacity building.

Related Fact :

India Smart Grid Week – 15-19 March 2016