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Power ministry launches framework for digitalisation of distribution sector

The CEA framework sets out a five-year roadmap for discoms to adopt smart meters, GIS and AI-based systems, aiming to cut losses, improve reliability and strengthen cyber security

power, power sector, power supply

Power Ministry launches a digitalisation framework to modernise electricity distribution and improve grid reliability

Sudheer Pal Singh

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Amid rising electricity demand, increasing renewable energy penetration in the grid, and growing consumer expectations of quality and affordable electricity supply, the power ministry on Monday launched the much-awaited unified framework for digitalisation of the distribution sector.
 
The framework -- prepared by the Central Electricity Authority (CEA) -- is expected to provide a strategic direction for the transformation of power distribution and the utilities which are increasingly operating networks that are more dynamic and data-intensive.
 
The framework focuses on building key digital capabilities including smart metering, supervisory control and data acquisition (SCADA), geographic information systems (GIS), outage management, distributed energy resource management and artificial intelligence (AI)-enabled analytics, the ministry said.
  
Under the framework, utilities will adopt a need-based approach to digital capabilities, rather than a uniform technology solution, based on their network conditions, investment priorities, and demonstrable business benefits.
 
“The core objectives for the unified framework are enabling integration of distributed energy resources by accommodating high penetration of renewable energy, electric vehicles, and energy storage systems while supporting decarbonisation goals; and empowering customers by providing them with tools to manage their consumption, access dynamic pricing, and participate in demand response,” the ministry said.
 
The framework is also expected to improve reliability and power quality by reducing outage frequency and duration, and enhance voltage stability. It will also strengthen network by modernising assets, reducing Aggregate technical & Commercial (AT&C) losses to below 10 per cent and enabling accurate energy accounting. Finally, the framework is expected to build resilience and cybersecurity by protecting grid data, communication networks, and customer information against cyber threats.
 
The framework introduces a five-year “implementation sequence” for discoms to adopt digitalisation beginning with GIS connectivity and advanced metering infrastructure to move towards AI/ML-based outage management systems with predictive fault location and auto-restoration capabilities, among others. 

More dynamic approach

  • The framework is expected to provide strategic direction for transformation of power distribution
  • It focuses on building key digital capabilities
  • Under the framework, utilities will adopt a needbased approach to digital capabilities
  • It is also expected to improve reliability and power quality by reducing outage frequency and duration
  • It is expected to build resilience by protecting grid data, communication networks against cyber threats
 

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First Published: Oct 19 2026 | 7:52 PM IST