Shimla, February 28, 2026: Minister of State for Power and New and Renewable Energy, Shripad Yesso Naik, has said that approximately 55 million smart prepaid meters have been installed across the country under the Restructured Distribution Area Scheme (RDSS). In 2023, the central government launched this scheme with an outlay of ₹3,03,758 crore for the period 2021-22 to 2025-26.
It’s worth noting that smart meters are also being installed in Himachal Pradesh under the Revamped Distribution Sector Scheme (RDSS), a central government scheme.
The Himachal Pradesh State Electricity Board Limited began installing smart meters in Shimla and Dharamshala in 2019 under the Integrated Power Development Scheme (IPDS). The project planned to install a total of 151,740 smart meters, of which 118,581 were proposed in Shimla and 33,159 in Dharamshala. The project was completed in 2022-23.
Now, under the RDSS, all 28 lakh meters are to be gradually replaced with smart meters, and to date, approximately 8 lakh smart meters have been installed in Himachal Pradesh.
Shri Shripad Yesonak stated that the central government’s objective in launching this scheme is to reduce technical and commercial losses in the power system, improve the financial health of DISCOMS , eliminate the average cost of supply-average revenue realized (ACSARR) gap, and improve billing accuracy. This initiative aims to replace conventional meters with 20 crore prepaid smart meters. He further stated that this initiative aims to modernize the distribution sector.
The scheme aims to install 2 crore smart meters to improve revenue and operational efficiency. He stated that smart metering is one of the most transformative components of this reform agenda. He explained that smart meters enable real-time energy accounting, accurate billing, reduced human intervention, and greater consumer empowerment. Prepaid functionality reduces financial pressure on distribution companies and lowers power costs. Minister Shripad Yesonak stated that smart meters provide high-resolution data, which is essential for using AI to predict demand and manage dynamic electricity load patterns, with the growing demand for rooftop solar and electric vehicles.
To date, more than 55 million meters have been installed in the country. States like Bihar and Maharashtra are leading the way, while others like Odisha have made slower progress. He noted that former Union Energy Minister R.K. Singh had previously emphasized the need to make smart prepaid meters mandatory within three years to eliminate the hand-billed payment system. The Energy Ministry emphasizes that this change will transform the electricity sector from a reactive to a productive, smart network in every state, including the hilly states of India. He emphasized the need to increase the use of technology to manage electricity loads.
