After Banks, Insurance & Oil Firms, Govt Will Sell Power Companies To Private Firms
Union power secretary Alok Kumar said that India’s strategy to privatise electricity distribution firms (discoms) in Union territories (UTs) has made headway, and that the award of the Dadar and Nagar Haveli utility will be sought with consent from the Union cabinet.
Privatisation Of UT Discoms
Financial bids for the Chandigarh discom will also be opened next week, with the technical examination nearing completion.
The Chandigarh discom has been bid on by Torrent Power, ReNew Power, Adani Group, NTPC Ltd, Tata Power, and Sterlite Power. There were a lot of Legal issues in the process but the strategy is now on track.
The Progress For Privatisation
Mint previously reported on India’s efforts to privatise discoms in eight UTs, a proposal outlined by Union Finance Minister Nirmala Sitharaman when she launched the fourth tranche of the $20 trillion stimulus package to combat the pandemic’s economic effects.
UT discoms are administered by the Centre, as opposed to state-run discoms.
The sale of the discoms in Chandigarh, Puducherry, and the Andaman and Nicobar Islands is being handled by Deloitte, while Dadar and Nagar Haveli, Daman and Diu, Jammu & Kashmir, and Ladakh are being handled by SBI Capital.