GoM Discusses Power Distribution Viability
POWER & RENEWABLE ENERGY

GoM Discusses Power Distribution Viability

The second meeting of the Group of Ministers (GoM) on the viability of electricity distribution utilities was held in Mumbai, attended by Maharashtra Chief Minister Devendra Fadnavis and Union Minister of State for Power and New & Renewable Energy, Shripad Yesso Naik, who chaired the meeting. Ministers from Tamil Nadu, Uttar Pradesh, Andhra Pradesh, Rajasthan, and Maharashtra, along with officials from central and state governments, Power Finance Corporation (PFC) Ltd., and REC Ltd., participated in the discussions. Naik emphasised the need for collective efforts to strengthen the power distribution sector, highlighting key performance indicators such as Aggregate Technical and Commercial (AT&C) losses, the ACS-ARR gap, accumulated losses, and outstanding debts. He pointed out that every 1% increase in AT&C loss results in losses exceeding Rs 100 billion and called for leveraging renewable energy, adopting advanced technologies like AI for demand forecasting, and expediting projects under the Revamped Distribution Sector Scheme (RDSS). Fadnavis praised the Centre’s initiatives and stressed the importance of expanding renewable energy with storage solutions to meet future energy demands. He showcased Maharashtra’s efforts under the Mukhyamantri Saur Krishi Vahini Yojana, which provides daytime power to farmers, reducing costs and subsidy burdens. He also sought support from the Centre for faster release of Gross Budgetary Support under RDSS and called for lower interest rates on loans and regulatory relaxations. Gujarat, invited as a special participant, shared best practices that made its DISCOMs profitable. Member states, including Maharashtra, Tamil Nadu, Uttar Pradesh, Andhra Pradesh, and Rajasthan, presented their reform efforts and suggestions for improving the financial health of DISCOMs. The PRAYAS group also proposed reforms for a financially viable distribution sector. The GoM reaffirmed its commitment to enhancing the financial viability of DISCOMs and agreed to hold its third meeting in Uttar Pradesh in March. (PIB)

The second meeting of the Group of Ministers (GoM) on the viability of electricity distribution utilities was held in Mumbai, attended by Maharashtra Chief Minister Devendra Fadnavis and Union Minister of State for Power and New & Renewable Energy, Shripad Yesso Naik, who chaired the meeting. Ministers from Tamil Nadu, Uttar Pradesh, Andhra Pradesh, Rajasthan, and Maharashtra, along with officials from central and state governments, Power Finance Corporation (PFC) Ltd., and REC Ltd., participated in the discussions. Naik emphasised the need for collective efforts to strengthen the power distribution sector, highlighting key performance indicators such as Aggregate Technical and Commercial (AT&C) losses, the ACS-ARR gap, accumulated losses, and outstanding debts. He pointed out that every 1% increase in AT&C loss results in losses exceeding Rs 100 billion and called for leveraging renewable energy, adopting advanced technologies like AI for demand forecasting, and expediting projects under the Revamped Distribution Sector Scheme (RDSS). Fadnavis praised the Centre’s initiatives and stressed the importance of expanding renewable energy with storage solutions to meet future energy demands. He showcased Maharashtra’s efforts under the Mukhyamantri Saur Krishi Vahini Yojana, which provides daytime power to farmers, reducing costs and subsidy burdens. He also sought support from the Centre for faster release of Gross Budgetary Support under RDSS and called for lower interest rates on loans and regulatory relaxations. Gujarat, invited as a special participant, shared best practices that made its DISCOMs profitable. Member states, including Maharashtra, Tamil Nadu, Uttar Pradesh, Andhra Pradesh, and Rajasthan, presented their reform efforts and suggestions for improving the financial health of DISCOMs. The PRAYAS group also proposed reforms for a financially viable distribution sector. The GoM reaffirmed its commitment to enhancing the financial viability of DISCOMs and agreed to hold its third meeting in Uttar Pradesh in March. (PIB)

Next Story
Building Material

Ambuja Cements Drags JSW Cement to Court Over ‘Kawach’ Brand

Ambuja Cements, part of the Adani Group, has filed a trademark infringement case against JSW Cement in the Delhi High Court, alleging that its rival copied the ‘Kawach’ brand with its new product ‘Jal Kavach’.Justice Manmeet Pritam Singh Arora issued summons to JSW Cement and its subsidiary, JSW IP Holdings Pvt Ltd, while referring the matter to mediation. Hearings are scheduled to resume on October 15 if no settlement is reached.Ambuja, which registered the ‘Kawach’ trademark in 2019, argues that the term ‘Kavach’—meaning shield—is the distinctive feature of its branding. ..

Next Story
Technology

Bentley Systems Named Innovation Partner of the Year 2025 by Afcons

Bentley Systems, the infrastructure engineering software company, has been recognised by Afcons Infrastructure Limited as its Innovation Partner of the Year 2025 at the Innovation Partners 2025 Felicitation Ceremony in Mumbai. The award acknowledges Bentley’s contribution to Afcons’ engineering digitalisation journey through an enterprise agreement providing access to over 250 Bentley engineering software tools. This adoption has enabled Afcons to accelerate project delivery, standardise digital workflows, and strengthen innovation across its infrastructure portfolio. Among key i..

Next Story
Infrastructure Urban

SBI Sells 13.18% Stake in Yes Bank to Japan’s SMBC

State Bank of India (SBI) has completed the sale of a 13.18 per cent stake in Yes Bank to Japan’s Sumitomo Mitsui Banking Corporation (SMBC) for over Rs 8,889 crore. The divestment is part of a Rs 13,482 crore deal finalised in May with SMBC and seven private banks.Following the transaction, SBI’s shareholding in Yes Bank stands at 10.8 per cent. The deal, involving 4,134.4 million shares at Rs 21.50 each, is the largest cross-border transaction in the Indian banking sector.SBI Chairman C S Setty described the 2020 RBI-led rescue of Yes Bank as a pioneering public-private partnership, addi..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?