Business Standard

Govt plans separate electricity distribution channel for industries

To create manufacturing hubs in each state that will be offered to private firms

power, electricity, IIP, demand, discoms, distribution, companies, firms, transmission, transformer, workers

Power sector in India follows a federal structure wherein power distribution is a state subject, and the Centre has a guiding role

Shreya Jai New Delhi
The ministry of power is looking at creating a separate electricity distribution channel for industries, as part of the Centre’s ‘Make In India’ push and bid to provide incentives to companies.
The department has proposed creation of “industrial hubs” across states, which will have their power supplier. This separate supply to industry, especially manufacturing zones, would be tendered to private companies, said senior government officials.
“The proposal has been made to reduce the cost of electricity for industries, especially manufacturing, which are loaded with high tariff by state-owned power distribution companies (discoms),” said an official.
According to the proposal, manufacturing hubs

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First Published: Nov 16 2020 | 6:05 AM IST

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