The financial health of electricity distribution companies (discoms) is deteriorating by the day, and they are finding it increasingly difficult to sustain day-to-day operations and debt service obligations. Realising that distribution sector reforms are urgently needed, a draft of Standard Bidding Document (SBD) on privatisation of discoms has been circulated with a disclaimer that “it does not represent the views of the Ministry and being presented with the aim of initiating discussions…” This draft SBD, while it brings some clarity on the subject, also raises some serious questions on the way forward. At best, it can be described as ‘work in progress of a consultant’.
