The government has achieved a further 10% reduction in prices of 9W LED bulbs through the Ministry of Power's Domestic Efficient Lighting Programme (DELP) initiative during a round of procurement for Madhya Pradesh, the ministry said in an official statement.

Energy Efficiency Services Limited (EESL), a public energy services Company under the Ministry of Power, has reportedly achieved a rapid decline in LED prices which would make it affordable to the common man.

"The procurement price has come down to Rs 64.41 from the existing Rs 73, while the efficiency of 9W bulbs has increased 20%," said the official statement.

"In the recent round of procurement of 9W LED bulbs for the state of Madhya Pradesh, the price has come down to Rs 64.41, which is exclusive of taxes. This is a 10% reduction from the June 2015 price of Rs 73, and about 80% reduction from the February 2014 price of Rs 310," the statement added.

It also said the government has encouraged competition by using e-procurement of goods and services, which has resulted in significant reduction in transaction costs and time, and enhanced process efficiency. In turn, it has led to a much larger participation of bidders, which increased competition and reduced the cost of LED bulbs.

The government has emphasised on the need to deliver quality and ensured that the quality of LED bulbs is not compromised, the ministry said in the statement, adding that EESL has thus been able to consistently procure a better-quality and more efficient product.

As of now, EESL has distributed 5.1 crore LED bulbs and the programme has led to significant savings to the country and consumers who are using these bulbs.

The target of the programme is to replace with LEDs all 77 crore incandescent bulbs sold in India. This will result in reduction of 20,000 MW load, energy savings of 100 billion kWh and Green House Gas (GHG) emissions savings of 80 million ton every year, said the statement.

The annual saving in electricity bills of consumers will be Rs 40,000 crore, considering average tariff of Rs 4 per kWh.