UPSC Prelims 2016 GS Paper I · Q7 / 100 Economy easy

Which one of the following is a purpose of ‘UDAY’, a scheme of the Government?

  1. (a) Providing technical and financial assistance to start-up entrepreneurs in the field of renewable sources of energy
  2. (b) Providing electricity to every household in the country by 2018
  3. (c) Replacing the coal-based power plants with natural gas, nuclear, solar, wind and tidal power plants over a period of time
  4. (d) Providing for financial turnaround and revival of power distribution companies ✓ UPSC's answer

Why the answer is (d)

• UDAY (Ujwal DISCOM Assurance Yojana, 2015) aimed at the financial turnaround of State power distribution companies: States took over 75% of DISCOM debt as bonds, and DISCOMs committed to cut losses and align tariffs with costs — option (d).

• Start-up support (a) is under other schemes; universal household electrification (b) is Saubhagya; replacing coal plants (c) is not a scheme.

• Hence option (d).

Why the other options are wrong

(a) Providing technical and financial assistance to start-up entrepreneurs in the field of…
UDAY is not a start-up scheme.
(b) Providing electricity to every household in the country by 2018
Household electrification is Saubhagya, not UDAY.
(c) Replacing the coal-based power plants with natural gas, nuclear, solar, wind and tidal…
UDAY does not replace coal plants.

Asked in the GS Paper I of the UPSC Civil Services Preliminary Examination 2016, held on 7 August 2016. Question and answer key: Union Public Service Commission. Explanation: UPSC Answer Check.

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