NEW DELHI, Jan. 24 -- At least 10 states are losing about a third of the power supplied to their consumers in distribution losses. The situation has assumed alarming proportions with states struggling to pay for the electricity bought, resulting in some power generators being unable to buy fuel such as coal to run their plants.

This assumes significance against the backdrop of the National Democratic Alliance (NDA) government's '2.86 trillion plan to usher in the tentatively named Atal Distribution System Improvement Yojana (ADITYA), which involves reducing electricity losses to less than 12% from India's average aggregate technical and commercial (AT&C) losses of 21.4%. The scheme also aims at negating tariff gaps and having compulsory pr...