Official Answer Key & Detailed Solution
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Correct Answer: Option (B) — 1 and 2
Concept & Option Breakdown
Standard Reference Verified- Statement 1 is correct: Under the Prime Minister's Gramodaya Yojana (PMGY), rural electrification was incorporated as one of the six Basic Minimum Services to bridge the infrastructure deficit in rural areas.
- Statement 2 is correct: 100% Foreign Direct Investment (FDI) was permitted in power generation, transmission, and distribution under the automatic route to attract capital into infrastructure.
- Statement 3 is incorrect: By 2001, the Union Ministry of Power had signed MoUs with significantly more than 14 states as part of state-level power sector reforms.
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