The power ministry on Monday said it has mandated all electricity distribution utilities or discoms to comply with the Energy Conservation (EC) Act, 2001, which would reduce energy losses and bring in more transparency in the sector.
Earlier, only discoms with annual energy losses equal to or above 1,000 MU (million units), notified as designated consumers, used to come under the purview of the EC Act.
The ministry had issued a notification on September 28, 2020 to cover all electricity distribution companies (discoms) under the preview of the EC Act, it said in a statement.
As per the notification, which was formulated in consultation with the Bureau of Energy Efficiency (BEE), “All entities having issued distribution license by State/Joint Electricity Regulatory Commission under the Electricity Act, 2003…” are notified as designated consumers (DCs).
