Eligible Projects


All Distribution Sector Infrastructure capital projects are eligible under the NEF (Interest Subsidy) Scheme provided that the proposed works have not been funded through the R-APDRP or RGGVY schemes. The projects for which any other grant / subsidy from Government of India has already been received / allocated will not be eligible under this scheme. Works similar to R-APDRP shall also be eligible under the scheme.

The loans taken by utilities from bi-lateral / multilateral FIs for eligible project shall be considered for extending benefit of the NEF if no concession has been provided by Govt. of India or on behalf of Govt. of India.

The capital works undertaken by the utility or franchisee on behalf of utility in the notified franchisee area would also be eligible for benefit under NEF scheme if provision of availability of NEF scheme is specifically mentioned in the bidding document for appointing franchisee. The performance criteria's of the utility shall be taken into consideration for evaluation of eligible subsidy. The eligible interest subsidy will be released to the Utility and Utility shall make back-to-back arrangements with franchisee for passing benefits under this scheme to the consumer.

The Steering Committee is empowered to include any other type of project for being eligible under this scheme.
News & Notice

Steering Committee in the 6th meeting held on 31.03.2015 has approved interest subsidy of Rs. 751.32 lakh under NEF
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Second workshop at Guwahati on operational guideline of National Electricity Fund Interest Subsidy Scheme was held on 25 July 2013, for all the Discom/Power department of North Eastern State (including Sikkim).
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Sensitization workshop was conducted in Chennai, Kolkata, Patna and Trivandrumfor their respective discomson Operational Guidelines
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Steering Committee has sanctioned proposals worth Rs. 10953.80 cr of capital loan from 8 states (11 discoms) during its meeting held on
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REC conducted Workshop in J&K for Power Department of the state on Operational Guidelines of National Electricity Fund-Interest Subsidy scheme on 22nd September, 2012.
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Sensitization workshop was conducted in Bhubaneswar on 24th September 2012 for Odisha Discoms on Operational Guidelines of National Electricity Fund- Interest Subsidy scheme.
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Workshop in Guwahati on Operational Guidelines of National Electricity Fund-Interest Subsidy scheme was held on 26th September,2012 for all North Eastern states including Sikkim.
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REC conducted a Presentation in Haryana for both the Discoms of the state on Operational Guidelines of National Electricity Fund-Interest Subsidy scheme on 1st October, 2012.
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Sensitization workshop was conducted in Shimla on 3rd October, 2012 for Himachal Pradesh Discom on Operational Guidelines of National Electricity Fund- Interest Subsidy scheme.
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Workshop at Bhopal on Operational Guidelines of National Electricity Fund-Interest Subsidy scheme was held on 5th October, 2012 for all the discoms of Madhya Pradesh.
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REC conducted Workshop in Gujarat for all the Discoms of the state on Operational Guidelines of National Electricity Fund-Interest Subsidy scheme on 12th October, 2012.
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