India's Power Sector Reforms and State Action: The Impact of the UJALA Yojana on Manufacturing, Energy Efficiency, and Environment

India, as a rapidly growing nation, has a large energy market that represents the hopes and ambitions of over one billion people. Energy conservation is crucial for sustainable development and India has implemented large-scale energy efficiency and renewable energy programs. This research paper centers its attention on the most extensive self-funded domestic LED bulb initiative globally, the UJALA Yojana (Unnat Jyoti by Affordable LEDs for All), under which over 368 million LED bulbs were distributed in last eight years. This scheme is a prime example of India’s state action for the power sector reforms. Even though UJALA yojana has seen varied implementation across states, reflecting significant gaps and challenges but reports suggest a fairly even distribution of the scheme in rural areas. The study evaluates the impact of the Ujala Yojana on Energy Efficiency, it’s impact on Indian LED bulbs manufacturing industry, and its impact on contributing to India’s climate goals. However, the study also finds that there is still a lack of awareness and information among some households about the benefits of energy-efficient lighting and that states and Discoms must engage more actively in the design and planning of energy efficiency and demand-side management schemes for the greater benefits of programmes like UJALA.