UP to Fast-Track Power Discom Privatisation in 42 Districts
POWER & RENEWABLE ENERGY

UP to Fast-Track Power Discom Privatisation in 42 Districts

After nearly a year of delays and protests lasting over 300 days, the Uttar Pradesh government is preparing to accelerate the privatisation of power distribution across 42 districts under the Agra and Varanasi power distribution companies (discoms). The move follows the return of Chief Secretary S.P. Goyal from medical leave, who is expected to fast-track pending decisions.

A senior Energy Department official said the process had been delayed for nearly two months due to administrative changes. “Now that the Chief Secretary has resumed office, the process will be expedited. As chairperson of the Energy Task Force (ETF), he plays a key role in decisions concerning the state’s power sector,” the official added.

The Uttar Pradesh Power Corporation Limited (UPPCL) is now preparing its response to the Uttar Pradesh Electricity Regulatory Commission (UPERC), which in June raised more than two dozen queries about the privatisation proposal.

The commission had sought clarifications after UPPCL requested its opinion on the state government’s directive. UPERC flagged issues with the draft proposal, including outdated financial data based on the 2023–24 balance sheet, and directed the corporation to provide updated figures from 2024–25 for both the Agra (Dakshinanchal) and Varanasi (Purvanchal) discoms.

Officials familiar with the matter said the regulator also sought clarity on key operational aspects—such as power allocation for private players, the extension of state subsidies (particularly free power for farmers), the valuation of assets, and the treatment of regulatory liabilities. Certain legal and procedural issues were also raised.

UPPCL Chairman Ashish Kumar Goel confirmed that the corporation would soon file its response.

“We will very soon provide replies to all the queries raised by UPERC in June,” he said, adding that the transaction advisor was continuing work as per schedule.

Once UPPCL submits its reply, the privatisation process is expected to gather pace. Although UPERC’s role is primarily advisory, its opinion is a necessary procedural step before issuing formal tenders.

Following the regulator’s clearance, UPPCL will release a Request for Proposal (RFP) prepared by its consultant, inviting private players to bid for the power distribution operations of the new companies to be formed after the unbundling of the Agra and Varanasi discoms.

The privatisation plan is part of the state’s larger effort to improve efficiency, financial health, and service reliability in the power sector.

After nearly a year of delays and protests lasting over 300 days, the Uttar Pradesh government is preparing to accelerate the privatisation of power distribution across 42 districts under the Agra and Varanasi power distribution companies (discoms). The move follows the return of Chief Secretary S.P. Goyal from medical leave, who is expected to fast-track pending decisions. A senior Energy Department official said the process had been delayed for nearly two months due to administrative changes. “Now that the Chief Secretary has resumed office, the process will be expedited. As chairperson of the Energy Task Force (ETF), he plays a key role in decisions concerning the state’s power sector,” the official added. The Uttar Pradesh Power Corporation Limited (UPPCL) is now preparing its response to the Uttar Pradesh Electricity Regulatory Commission (UPERC), which in June raised more than two dozen queries about the privatisation proposal. The commission had sought clarifications after UPPCL requested its opinion on the state government’s directive. UPERC flagged issues with the draft proposal, including outdated financial data based on the 2023–24 balance sheet, and directed the corporation to provide updated figures from 2024–25 for both the Agra (Dakshinanchal) and Varanasi (Purvanchal) discoms. Officials familiar with the matter said the regulator also sought clarity on key operational aspects—such as power allocation for private players, the extension of state subsidies (particularly free power for farmers), the valuation of assets, and the treatment of regulatory liabilities. Certain legal and procedural issues were also raised. UPPCL Chairman Ashish Kumar Goel confirmed that the corporation would soon file its response. “We will very soon provide replies to all the queries raised by UPERC in June,” he said, adding that the transaction advisor was continuing work as per schedule. Once UPPCL submits its reply, the privatisation process is expected to gather pace. Although UPERC’s role is primarily advisory, its opinion is a necessary procedural step before issuing formal tenders. Following the regulator’s clearance, UPPCL will release a Request for Proposal (RFP) prepared by its consultant, inviting private players to bid for the power distribution operations of the new companies to be formed after the unbundling of the Agra and Varanasi discoms. The privatisation plan is part of the state’s larger effort to improve efficiency, financial health, and service reliability in the power sector.

Next Story
Infrastructure Urban

VECV Sales Rise 7.8 Per Cent In May 2026

VE Commercial Vehicles recorded sales of 7,978 units in May 2026, compared to 7,401 units in May 2025, registering growth of 7.8 per cent. This included 7,789 units from the Eicher brand and 189 units from the Volvo brand.Eicher branded trucks and buses reported sales of 7,789 units during the month, up 7.3 per cent from 7,258 units a year earlier. In the domestic commercial vehicle market, Eicher sales rose 9.1 per cent to 7,375 units from 6,758 units in May 2025.Exports declined 17.2 per cent to 414 units from 500 units in the corresponding month last year. Volvo Trucks and Volvo Buses recor..

Next Story
Infrastructure Urban

Table Space Strengthens DESYN Leadership Team

Table Space has announced strategic leadership appointments within DESYN, its integrated Design and Build business, as it looks to strengthen operations across key enterprise and GCC markets in India. DESYN was launched as a strategic extension of Table Space’s workspace solutions portfolio to meet rising demand for agile, high-quality and rapidly deployable enterprise workspaces.Shruti Ookabhoy has joined DESYN as Executive Director and will lead the Design vertical, focusing on design capability, operational excellence and team development across markets. She brings over 22 years of experi..

Next Story
Infrastructure Transport

Concord Associate Bags Rs 2.79 Bn Kavach Order

Concord Control Systems said its associate company, Progota India, has received a Rs 2.79 bn domestic order from Indian Railways for the supply, installation, testing and commissioning of on-board Kavach 4.0 loco equipment.The order is scheduled for execution within 12 months and strengthens Concord’s role in India’s railway safety and signalling ecosystem. Kavach is India’s indigenous automatic train protection system, designed to improve operational safety by helping prevent signal passing at danger and reducing collision risks.Gaurav Lath, Joint Managing Director, Concord Control Syst..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement