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Centre assures states of full backing for power sector reforms, says Power Minister Manohar Lal

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New Delhi | March 20, 2026 4:51:22 PM IST
The Centre today assured states of full support in carrying out major reforms in the power sector, an official release quoted Power Minister Manohar Lal as saying in a ministerial meeting during the second day of the Bharat Electricity Summit 2026.

"The meeting focuses on ensuring energy security, and the Centre shall provide full support to the States for implementing necessary reforms," Lal said while chairing the National Power Ministerial Meet.

Highlighting the sector's importance for economic growth, Manohar Lal said India's installed power capacity has crossed 520 GW, alongside improvements in DISCOM performance, large-scale smart meter rollout, and a reduction in power shortages.

He called for closer coordination between the Centre and states to ensure efficient and affordable power generation, transmission and distribution, while also stressing the need to increase per capita energy consumption.

Amid global uncertainties, the minister underlined the need to strengthen energy security and accelerate the shift towards cleaner energy sources. He also pointed to nuclear power as a viable clean energy option and described the proposed SHANTI Act as a significant step forward.

Shripad Naik highlighted the role of technology and artificial intelligence in transforming the sector, citing smart metering as a key example. He noted that nearly half of India's installed capacity now comes from non-fossil fuel sources, reflecting progress in the energy transition.

Naik also referred to the draft National Electricity Policy, which outlines strategies to achieve the vision of Viksit Bharat by 2047, focusing on sustainability and efficiency.

The meeting also saw the release of two key reports for FY 2024-25 -- the Consumer Service Ratings of DISCOMs (CSRD) and the Distributing Utilities Ranking (DUR) report.

The CSRD report evaluates DISCOMs on consumer service parameters such as accurate billing, timely grievance redressal and transparent tariff-setting. Based on the assessment, utilities are graded from A+ to D.

Out of 66 DISCOMs evaluated, 6 were rated A+, 21 received A, and 27 were graded B+, indicating an overall improvement in service delivery, with fewer utilities falling in lower categories.

The DUR report provides a broader assessment of 66 utilities, covering financial sustainability, operational efficiency, institutional capability and service delivery, aimed at strengthening the power distribution ecosystem.

Officials stressed the need for coordinated action to meet rising electricity demand, particularly through non-fossil energy sources, while ensuring a reliable and affordable supply across the country.

The summit serves as a key platform for aligning Centre-state efforts as India works towards long-term energy security and development goals.

The meeting was co-chaired by Minister of State for Power and New & Renewable Energy Shripad Naik and attended by senior officials, including Power Secretary Pankaj Agarwal, MNRE Secretary Santosh Kumar Sarangi, and energy ministers and officials from states and Union Territories. (ANI)

 
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