Lucknow — The first meeting of the Group of Ministers (GoM) constituted by the Government of India to suggest measures for the overall improvement of the power distribution sector was held via video conferencing. The seven-member GoM, chaired by Union Minister of State for Power and Renewable Energy Shripad Yesso Naik, aims to address financial and operational challenges facing state distribution companies (DISCOMs).
Uttar Pradesh Energy Minister A.K. Sharma, who serves as the convener of the GoM, participated in the meeting from Prayagraj, where he is overseeing arrangements for the Mahakumbh. The committee also includes energy ministers from Andhra Pradesh, Rajasthan, Tamil Nadu, Madhya Pradesh, and Maharashtra.
The GoM has been tasked with conducting a detailed study and providing recommendations to improve the current and future financial conditions of DISCOMs. Key objectives include enhancing financial viability, reducing debts, and mitigating losses to ensure a stable and sustainable power sector.
During the meeting, A.K. Sharma highlighted the Uttar Pradesh Energy Department’s efforts at the Mahakumbh, particularly the effective use of technology to manage power distribution. He also noted that Uttar Pradesh is the top-performing state under the Revamped Distribution Sector Scheme (RDSS) initiated by the Government of India.
Discussions focused on strategies to achieve present and future financial stability for DISCOMs. The committee reviewed the debt scenarios of major state DISCOMs and explored measures to enhance productivity. Identifying DISCOMs requiring immediate financial assistance and formulating programs to maintain financial discipline were also key agenda items.
The GoM deliberated on investment guidelines in the power sector, emphasizing targeted capital expenditures for reforms, ensuring state government equity investments after thorough technical and financial assessments, and creating mechanisms to attract private sector participation. Strategies to meet the growing demand for electricity, improve service quality, and secure adequate returns on investments were also considered.
Concluding the session, A.K. Sharma stressed the importance of diversifying power generation sources, particularly through solar energy and pumped storage projects. He emphasized that these initiatives are vital for providing affordable, reliable, and sufficient electricity to farmers and economically weaker sections of society.
The GoM will continue its work to develop comprehensive recommendations for strengthening India’s power distribution sector, with a focus on financial sustainability, technological advancement, and inclusive growth.
