1. UDAY scheme for the financial turnaround of power distribution companie, was approved by the Cabinet on November 5, 2015, with an objective to improve the operation and financial efficiency of State owned Discoms. 2. The UDAY scheme intends to achieve this through (a) reducing the cost of power generation by Discoms, (b) improving operational efficiencies of Discoms, (c) financial turnaround of Discoms through States takeover of Discoms debts, and (d) financing future losses and working capital of Discoms by States.