Chief Minister Of Tamil Nadu Asks Prime Minister To Withdraw The Electricity Amendment Bill Of 2021

According to Mr. Stalin, the Bill's changes propose de-licensing the power distribution industry by introducing the idea of a distribution firm and the deemed registration of any such distribution company after 60 days of application.

Mr. Stalin explained that this move will provide private players unrestricted access to deliver power to select consumers and allow them to use the Public Sector Power Companies' already-built distribution network. While state-owned enterprises bear the cost of such networks, private corporations are permitted to use them without making any investment or bearing any responsibility for their upkeep.

He claimed that such new private distribution companies would be able to selectively access all high-value customers in commercially viable areas, effectively granting them the right to cherry pick profitable ventures without any social obligations, while state public sector power utilities would be left with the responsibility of supplying power to subsidised categories of consumers and serving economically disadvantaged and rural areas.

According to the Chief Minister, the proposed amendments to Sections 26, 28, and 32, by giving the National Load Despatch Centre (NLDC) powers such as integrated power system operation, optimal scheduling of electricity across different States and regions, grid operations monitoring, and giving directions to RLDC or SLDC, would amount to indirectly controlling many significant functions of the SLDCs or Discoms of State governments. He also stated that the penalty for violating the Act's provisions, as well as the Commission's directions and orders, would be severe.

Mr. Stalin requested that the Prime Minister personally intervene to have the Electricity Amendment Bill, 2021, withdrawn that the State-owned Distribution Licensees continue to provide excellent power to the people at affordable rates.