UJALA Yojana


Before 2014, India’s electricity landscape was characterized by high energy costs, inefficiencies, and significant wastage. Traditional lighting solutions like incandescent bulbs and compact fluorescent lamps (CFLs) were widely used, but these consumed excessive electricity. Despite growing energy demands driven by rapid urbanisation and industrialisation, the penetration of energy-efficient technologies remained minimal due to high costs and limited awareness. The lack of affordable, efficient lighting solutions not only burdened households with higher electricity bills but also contributed to environmental degradation through increased carbon emissions. Recognising the urgent need for change, the government prioritised energy efficiency to address these critical challenges.

Why the UJALA Scheme Became Necessary


India’s growing energy demands and environmental challenges necessitated a transformative approach to energy consumption. In 2015, the government launched the UJALA scheme to make energy efficiency a household norm. The initiative sought to replace traditional incandescent bulbs and CFLs with affordable and energy-efficient LED lighting. By doing so, it aimed to reduce electricity costs and carbon emissions on a national scale.

Implemented by Energy Efficiency Services Limited (EESL) under the Ministry of Power, the UJALA scheme reflected India’s commitment to sustainable development and environmental conservation. Over the years, UJALA has revolutionised lighting in Indian households, benefiting millions and supporting global climate goals.


UJALA: A Milestone in India’s Energy Efficiency Journey

UJALA initially started as the Domestic Efficient Lighting Programme (DELP) before being rebranded. Its primary objective was to revolutionise household lighting by making energy-efficient LED bulbs, tube lights, and fans affordable and accessible to millions of homes.

As per information shared on the PIB, the scheme has distributed 36.87 crore LED bulbs nationwide since its inception in 2015, resulting in annual savings of ₹19,153 crore for consumers. Additionally, it has significantly reduced carbon emissions and promoted energy efficiency across the country. UJALA’s success is a testament to the government’s commitment to energy conservation, environmental sustainability, and economic efficiency.

Before UJALA, India faced an urgent need for energy-efficient lighting solutions. Traditional lighting systems, such as incandescent lamps and CFLs, consumed excessive electricity, resulting in high costs for households and significant energy wastage. In comparison, LED bulbs use 90% less energy than incandescent lamps and 50% less than CFLs, making them a game-changer in energy efficiency.

In 2014, however, LED bulbs were prohibitively expensive, retailing at ₹450–500 per bulb, compared to ₹10–15 for an incandescent lamp and ₹100–150 for a CFL. This high initial cost deterred widespread adoption, with LED bulbs accounting for less than 1% of the lighting market in 2013–14. Recognizing this gap, the government launched UJALA to make LED bulbs affordable for consumers. Through competitive bidding and cost optimization, the scheme brought down prices to ₹70 per LED bulb, ₹220 per LED tube light, and ₹1,110 per energy-efficient fan.

Transformative Impact of UJALA

As of January 6, 2025, UJALA has become the world’s largest zero-subsidy domestic lighting program. Its transformative impact includes:

Economic Benefits

  • Annual household savings of ₹19,153 crore.
  • Energy savings of 47.65 billion kilowatt-hours (kWh) annually.

Environmental Impact

  • Reduction of 38.68 million tonnes of CO₂ emissions annually.

Market Transformation

  • Sale of 407.92 crore LED bulbs in the Indian market, making LEDs the dominant lighting solution.
  • The affordability of LED bulbs has spurred innovation and competition in the lighting industry, driving down retail prices and improving product quality.
Category Description Metrics
Economic Benefits Annual household savings ₹19,153 crore annually
Economic Benefits Energy savings 47.65 billion kWh annually
Environmental Impact Reduction of CO₂ emissions 38.68 million tonnes annually
Market Transformation Sale of LED bulbs in the Indian market 407.92 crore LED bulbs
Market Transformation Affordability of LED bulbs driving innovation and competition Driving down prices and improving product quality

Complementing Efforts: The Street Lighting National Programme (SLNP)

Launched alongside UJALA, the Street Lighting National Programme (SLNP) complements household energy efficiency with smart, energy-efficient public lighting. This initiative has replaced conventional streetlights with LED lights in urban and rural areas, significantly reducing energy consumption and operational costs for municipalities.

Achievements of SLNP

  • Installation of over 1.34 crore LED streetlights.
  • Annual energy savings of 9,001 million units (MUs).
  • Reduction in peak demand by 1,500 MW.
  • Annual CO₂ emission reduction of 6.2 million tonnes.

EESL’s innovative business model has played a pivotal role in SLNP’s success. Municipalities are relieved of upfront investment costs, with EESL recovering expenditures through annuities over the project’s lifecycle. This model ensures over 95% uptime for streetlights, enhancing public safety and reliability.

Vision for the Future

As UJALA and SLNP celebrate a decade of transformative impact, the government remains committed to expanding its reach and scope. Efforts are underway to integrate smart technologies into lighting systems to enhance energy efficiency further and align with India’s global commitments to combat climate change.

The success of these programs has also inspired similar initiatives in other sectors, including air conditioning and electric vehicles, showcasing India’s ability to lead large-scale energy efficiency programs globally.

The UJALA and SLNP schemes exemplify India’s vision of an energy-efficient and environmentally sustainable future. By providing affordable, energy-efficient lighting solutions to millions of households and transforming public lighting, these initiatives have delivered substantial economic savings, reduced carbon emissions, and improved the quality of life for citizens. As India continues to pursue its sustainability goals, UJALA and SLNP stand as landmark programs lighting the way to a brighter, greener future.

 

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