New Delhi, March 24: Power and Renewable Energy Minister Raj Kumar Singh on Wednesday launched the Gram Ujala scheme in Prime Minister Narendra Modi's Lok Sabha constituency Varanasi. The scheme offers the world's cheapest LED bulbs in rural areas at Rs 10 per piece.

The Ministry of Power in a press release said, "Under this program Convergence Energy Services Limited (CESL), a wholly-owned subsidiary of Energy Efficiency Services Limited (EESL), will distribute high quality LED bulbs, at an affordable cost of 10 rupees per bulb in rural areas of Varanasi."

The launch program was attended by Union Power Secretary Alok Kumar and other dignitaries. Gram Ujala program is financed entirely through carbon credits. Under the United Nations' Clean Development Mechanism (CDM), the scheme will claim carbon credits. Also, under the new scheme, the rural consumer's incandescent and CFL (compact fluorescent lamp) bulbs will be taken back.

"Under phase 1 of GRAM UJALA program 1.5 crores LED bulbs will be distributed which will have a significant impact on India's climate change action energy savings of 2025 million kWh/year and CO2 reductions of 1.65 million T CO2/year," it stated.

The program will enable better illumination, at an affordable price of Rs 10/bulb. This will usher in a better standard of life, financial savings, more economic activity, and better safety for rural citizens.

On this occasion, Singh said that India is leading in energy transition as well as energy efficiency. This scheme is designed specifically for rural homes keeping affordability in mind and it will also result in energy savings as a 12 Watt LED bulb gives equivalent light as of 100-watt incandescent bulb.

The Power Minister further lauded EESL's efforts in implementing the UJALA scheme under which 36 crores LED bulbs have been distributed and 1.15 crore street lights have been replaced with LED lights across the country resulting in energy savings of thousands of megawatts.

Now the GRAM UJALA scheme is being launched for rural households where LED bulbs will be distributed at an affordable price of INR 10/bulb. The scheme has crossed the 6,150 distribution mark in Arrah, Bihar within two days of launch, it mentioned. Under the program, 7 watt and 12-Watt LED bulbs with three years warranty will be given to rural consumers against submission of working incandescent bulbs.

The GRAM UJALA program will be implemented only in villages of the five districts where consumers can exchange a maximum of five LED bulbs. These rural households will also have meters installed in their houses to monitor the number of hours of usage.

Carbon credits will be prepared under the Shine Programme of Activities with an option for verifying under the Voluntary Carbon Standard, depending on the needs of buyers.

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