Madhya Pradesh Power Sector Investment Program

Multitranche financing facility design, when appropriate, can also bring benefits to the rural poor. The MFF enabled augmentation of the transmission and distribution system. The energy supplied to consumers has increased by a factor of 2.3 in 13 years (Table 3). Through initiatives taken by the government, there was increase in supply to rural areas with more low-income households. The consumption in rural areas increased by a factor of 2.1 from 13,891 GWh in FY2012 to 29,180 GWh in FY2019. The actual increase was even higher as the data do not account for commercial losses, which are higher in rural feeders. There is a lack of data to quantify the benefits accruing to rural low-income households, but the use of electricity for lighting, air-circulating fans, charging mobile phones, powering televisions and other appliances, and expanding opportunities for household income have had a significant impact in their quality of life. Rural communities benefit because a reliable supply of electricity supports social infrastructure such as primary health care and education, and participation in decisionmaking. Achieving the government’s target for 24x7 electricity supply to all households was made possible by the strengthened transmission and distribution networks. The MFF, on the whole, should be considered an example of significant investment in pro-poor infrastructure.