Indian power utilities lose more than $5 billion a year, crippling the incentive to expand and improve energy distribution. Power lines are illegally tapped, bill collection is low and, in customers’ minds, unreliable service does not justify payment. Yet with half of the households in the country not electrified, Indians need reliable, clean energy at an affordable price.

USAID’s Distribution Reform, Upgrades and Management (DRUM) project addresses the issues of power sector reform. Working closely with the Indian Ministry of Power, state utility providers and training institutions, DRUM focuses on improving distribution practices to mitigate energy losses, increase customer satisfaction and make energy providers commercially viable. DRUM:

• Creates centers of excellence in distribution to demonstrate technical and managerial best practices
• Works with energy commissioners to design plans to expand electrification to rural areas
• Assists in technical upgrades that improve service quality, produce cleaner energy and lower energy losses
• Enhances commercial and managerial tariff rationalization systems through better metering, billing and collection methods
• Develops curricula and provides scholarships for a post graduate program in Distribution Business Management
• Trains energy managers and staff in distribution management methodologies that improve reliability and decrease energy losses
• Teaches engineers and staff techniques for improving production efficiency and distribution quality.