State-owned Haryana distributors challenge private licence in court

State-owned power distributors in Haryana have asked the Haryana Electricity Regulatory Commission to review the parallel distribution licence granted to a private firm, saying it breaches the Electricity Act of 2003 and the 2022 statutory rules. Dakshin Haryana Bijli Vitran Nigam and Uttar Haryana Bijli Vitran Nigam claim the licence violates legal standards and harms consumer interests. They also argue the commission relied on an expert committee report that contains factual errors and does not reflect the state's power infrastructure needs. The Haryana Power Employees' Association and the All India Power Engineers Federation have lodged caveats with the Appellate Tribunal for Electricity, urging that no order be issued without hearing the state government and engineering representatives. The joint front of power employees and engineers has urged the state to defend the commission’s October 28 order before the tribunal and to push for revoking the parallel licence. It has also pressed the cabinet to approve a comprehensive State Power Policy that excludes all forms of privatisation, including parallel licensing, the Agri‑DISCOM model, tariff‑based competitive bidding, stock‑market listings and smart‑metering. Front spokesperson Ravinder Ghanghas warned that any move to impose such privatisation measures could trigger strong protests by electricity staff nationwide. Energy Minister Anil Vij had assured union leaders on August 10 that the application of Eleven Power Limited for the licence would be sent to the cabinet, but the file reportedly lingered in departments and the licence was nonetheless issued on October 19. Mr Vij was not available for comment.

Context

The dispute reflects ongoing tension in Indian states over opening electricity distribution to private players, a move seen by many employee unions as a threat to job security and consumer protection.