For 24/7 power
The Centre on Monday unveiled a set of rules designed to ensure that our electricity supply does not snap off. With some exceptions, distribution companies would risk a penalty for failing to keep all their consumers supplied around the clock. They must put in place mechanisms to monitor and plug power outages. They must also keep tariffs and billing processes transparent, and issue new connections within a specified time frame. Their big challenge, clearly, would be to avoid having to mandatorily compensate users for blackouts that are too long or frequent.
In a country where uninterrupted power is a rare privilege, this reform sounds too good to be true. But India has sufficient generation capacity today and snap-offs only reflect supply failing to meet demand. Blame the creaky legacy of state control over this sector, with pilferage-stricken service providers unable to draw large enough revenue to pay generators. Progressive private participation is fixing this problem. If all goes well, we can look forward to better quality and lower bills, as efficiency rises. This matters. As with internet availability, reliable low-cost electricity is vital to Digital India’s success.
