Updated Oct 18, 2019

Direct Benefit Transfers for Electricity

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Stage 3: Proof of Concept

Focus Areas:

Energy

EnergySEE LESS

Implemented In:

India

IndiaSEE LESS

1
Country Implemented In
Verified Funding
?

Problem

Many programs that provide public support to the poor in India are inefficient and management of common resources, such as groundwater, are lacking.

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Solution

The Institute of Financial Management and Research is working to address two problems in tandem: 1) the inefficiency of, and 2) how to manage common resources, particularly groundwater. These direct benefit transfers for electricity ensure that not only are farmers are better off because they are receiving cash to subsidize electricity, but the state is better off because farmers are now incentivized to conserve power and water due to the removal of marginal electricity subsidies.

Innovation Description

With nearly $800,000 in DIV funding, IFMR is evaluating a policy wherein per unit subsidies for farmers’ electricity consumption is replaced with targeted lump-sum transfers.

Milestone

Aug 2019
Funds RaisedVERIFIED
$799,078
Date Unknown
New Country Implemented In
India