Delhi, 30 March (H.S.): Union Minister of State for Power and New & Renewable Energy Shripad Yesso Naik, chaired the third meeting of the Group of Ministers focused on the viability of electricity distribution utilities. Ministers from several states, including Uttar Pradesh and Maharashtra, attended, along with officials from the Central and State Governments.

Naik emphasized the importance of financial restructuring for distribution utilities, advocating for inflation-indexed, cost-reflective power tariffs and the implementation of AI and digital innovations to enhance financial viability. He also discussed the need for developing energy storage solutions and improving agricultural power supply.

The Uttar Pradesh Energy Minister highlighted the state’s advancements in renewable energy and the necessity for rapid growth in this sector to address future energy demands.

The Joint Secretary (Distribution) from the Ministry of Power, GoI, presented key interventions from the GoM’s initial meetings aimed at enhancing the financial viability of DISCOMs. TATA Power, as a special invitee, shared successful practices for profitability. Member States, including Uttar Pradesh, Madhya Pradesh, Andhra Pradesh, Maharashtra, and Tamil Nadu, actively contributed insights on improving DISCOM finances.

Discussions focused on an action plan to reduce debts and losses, emphasizing the review of regulatory performance in tariff determination. Issues like delays in government dues and subsidies were highlighted, urging the linking of tariffs to inflation to avoid shocks.

The Group of Ministers reaffirmed their commitment to improving DISCOM viability, with plans for a fourth meeting in Andhra Pradesh in April and the inclusion of the All India DISCOM Association (AIDA) for future input.

—————

Hindusthan Samachar / Jun Sarkar