Agricultural Demand Side Management (AgDSM) Agriculture sector is one of the most important sector of Indian economy. Agriculture plays a significant role in the overall socio-economic development of India. There are about 20 million pump sets presently energized in India and annual addition of 0.25 to 0.5 million pump sets are realized in this sector. Agriculture sector consumes 20-22% of total electricity consumption. Managing agricultural load is increasingly becoming a challenge for electricity utility in India. Subsidized tariff generate a perception of zero marginal cost of electricity use and consequently, efficiency in consumption is disregarded. Upgrading of existing pumping systems presents an immediate need and an unprecedented opportunity. Implementation of this program is crucial as energy bills for agricultural pump sets are being paid by Govt. in the form of subsidy. Low or free electricity coupled with high inefficiencies contributes to adoption of local made inefficient & unreliable pump sets, results in massive water wastage & higher energy consumption. The average efficiency of existing in-efficient pump sets is in the range of 20% - 30% whereas efficiency range of new star rated Energy Efficient Pump sets (EEPS) is 40% - 50%. Therefore, there is a need to tap the huge energy savings potential promised in agriculture pumping sector In Energy Sector and Power sector, Agricultural Demand-side Management (AgDSM) consists of those activities, methodologies, awareness, policy and technologies that influence consumer (farmers) behavior and Changes their (farmers) consumption patterns. The objective of the AgDSM programme is to reduce peak demand, shift the time during which electricity is consumed to off-peak hours and to reduce the total quantum of consumption. The AgDSM proposition is very simple i.e. replacement of inefficient agricultural pump sets with BEE star rated and high efficiency pump sets to reduce the amount of electricity needed to pump water in agriculture sector. By doing so, electricity usage can be reduced. If the savings from the reduction in electricity usage can be sustained and the total cost of the electricity saved exceeds the total installed cost of the pump sets over its useful life, there will be a net economic gain. First AgDSM Project in India Bureau of Energy Efficiency (BEE) has facilitated and initiated the implementation of first Ag DSM pilot project in Solapur circle of Maharashtra where 2209 old inefficient pump were replaced with star rated Energy Efficient Pump sets (EEPS) and provided free operation and maintenance for installed pump sets till project duration. The intervention would lead to lower energy supply on the feeder, and hence, could result in lower subsidy to be paid by the State Government.