The Centre’s latest plan to form a national electricity distribution company is likely to be a distribution sector operator (DSO), with overarching responsibilities of sectoral reforms and technical expertise. Officials said the company would be involved in the consultancy business and not exactly intervene in the business of state-owned power distribution companies (discoms).
Last week, India’s two leading public sector utilities — NTPC and Power Grid Corporation of India — formed a joint venture to set up a National Electricity Distribution Company. Senior executives said a committee had been set up that is designing the road map for the company. “It would also need approvals from the NITI Aayog and the Department of Investment and Public Assets Management,” said an executive.