The cell, to be headed by a Deputy Commissioner of Police (Enforcement), would keep watch on temporary electricity connections given to organisers of festivals.
Other members of the cell would be senior inspectors of police and chief vigilance officer of Bombay Suburban Electric Supply and Transport Undertaking (BEST).
The court had earlier asked Mumbai police commissioner Rakesh Maria to convene a meeting of power supply companies and police to find out ways to stop power thefts during the festivals.
The High Court is hearing a public interest litigation filed by former journalist Ketan Tirodkar alleging that power is stolen brazenly during festivals by rigging up supply from street side electricity poles.
The police have been directed to share data of Ganesh Mandals with the BEST authorities.
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