10 Years of UJALA and SLNP

Introduction to UJALA and SLNP

The Unnat Jyoti by Affordable LEDs for All (UJALA) scheme, launched on 5th January 2015, has completed its 10th anniversary. This initiative has been transformative in promoting energy efficiency across India.

Alongside UJALA, the Street Lighting National Programme (SLNP) was also launched. Both schemes have significantly contributed to revolutionizing lighting, reducing energy consumption, and advancing India’s environmental sustainability goals.

UJALA Scheme: Key Facts

The UJALA Scheme was introduced in January 2015 to promote energy efficiency. Its primary method is replacing traditional lighting systems with energy-saving LED bulbs.

It specifically targets the replacement of incandescent lamps (ICLs) and Compact Fluorescent Lamps (CFLs), which were less efficient.

Objectives of UJALA

The main objective of the UJALA Scheme is ambitious: to save 85 lakh kWh of electricity annually. It also aims to reduce 15,000 tonnes of Carbon dioxide (CO₂) emissions.

This is achieved by replacing an estimated 77 crore traditional bulbs and 3.5 crore street lights with efficient LEDs.

Need for UJALA

Before UJALA, lighting constituted a significant portion of residential electricity use in India, approximately 18-27%. This highlighted a major area for potential energy savings.

In 2011, Indian households utilized about one billion lighting points. The majority relied on less efficient options: CFLs (46%) and tube lights (41%). Only a small fraction, 0.4%, used LED bulbs.

Efficiency of LEDs

LEDs offer substantial energy savings compared to older technologies. They save up to 90% energy compared to ICLs and 50% compared to CFLs.

Furthermore, LED bulbs use 75% less energy and last 25 times longer than incandescent bulbs. The high upfront cost of LEDs was a major barrier to their adoption prior to the scheme.

Key Features of UJALA

• Subsidized LED Bulbs: The scheme dramatically reduced the cost of LED bulbs. The price was brought down to Rs 70 per LED bulb, a significant drop from Rs 450 in 2014.
• Distribution Mechanism: Bulbs are distributed through a unique demand aggregation-price crash model. This involves bulk buying to achieve lower prices.

In 2015, EESL initiated open bids for large-scale procurement of LED lamps and collaborated with state governments to establish an efficient distribution network.

Progress and Achievements of UJALA

The UJALA scheme has achieved remarkable success, distributing over 36.87 crore LED bulbs across the country. This has led to substantial benefits:

• Energy Savings: An impressive 47,883 million kWh of energy is saved annually.
• Cost Savings: Households and the nation save approximately Rs. 19,153 crore annually.
• CO₂ Reduction: The scheme has helped avoid 3.88 million tonnes of CO₂ emissions annually.
• Peak Demand Avoided: A significant 9,586 MW of peak electricity demand has been avoided.

GRAM UJALA Scheme

The GRAM UJALA Scheme was launched in March 2021, specifically targeting rural households. It offers LED bulbs at a highly subsidized rate of Rs. 10 each.

This offer is provided in exchange for old incandescent bulbs. Under Phase-I, the goal was to distribute 1.5 crore LED bulbs, aiming for energy savings of 2025 million kWh/year and a CO₂ reduction of 1.65 million tonnes per year.

Street Lighting National Programme (SLNP): Key Facts

The SLNP was launched concurrently with UJALA. Its core objectives include reducing energy consumption in public lighting and lowering operational costs for municipalities.

It also aims to foster a market transformation towards more energy-efficient appliances in the public domain.

SLNP Business Model

The SLNP introduced an innovative business model. EESL covers the initial capital costs required for replacing conventional streetlights with LEDs.

The investment is then recovered through monthly or quarterly payments from the participating municipalities. This model ensures that local budgets are not strained by upfront expenses.