Basic issues in discoms must be addressed to root out persistent problems

Discom losses and distorted tariffs threaten India's power reforms; a consensus on cost-reflective pricing and transparent subsidies is crucial for sustainable growth

A key element of rapid economic growth is the availability of reliable power at a reasonable cost. India has done well in generation, including the addition of renewable power over the past several years. According to government data, power shortages dropped from 4.2 per cent in 2013-14 to 0.1 per cent in 2024-25. However, the weak link in the Indian power story has been the distribution companies, or discoms, with no real solution in sight. A group of ministers (GoM) under the leadership of Union Power and Housing Affairs Minister Manohar Lal Khattar, which also includes representatives from states, deliberated