Power minister calls for financially strong discoms, links utility health to improved consumer services

Power minister Manohar Lal says strong discoms are key to better consumer services, urges cost-reflective tariffs at EDICON 2026 in Delhi
Alt="Manohar Lal Khattar"
Power minister calls for financially strong discoms, links utility health to improved consumer servicesEnergy Watch
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New Delhi: Power Minister Manohar Lal Khattar on Wednesday said financially strong distribution companies were essential for improving electricity services and making utilities more responsive to consumer needs, as he called for sustained reforms in the distribution segment. “Strong DISCOMs means improved services and greater sensitivity towards needs of consumers,” the minister said, delivering the inaugural address at the Electricity Distribution Industry Conference, EDICON: 2026, in New Delhi.

He said the expanding economy would place far greater demands on the power sector. “The growing economy requires a thriving power sector far more than we can imagine today. In such a scenario, it is crucial for our DISCOMs to be strong, prosperous, and financially empowered,” he said.

Push for cost-reflective tariffs and targeted subsidies

The minister urged State Electricity Regulatory Commissions to move towards cost-reflective tariffs, while protecting vulnerable consumers through targeted support. He called on regulators to “move forward towards cost-reflective tariffs, while also ensuring targeted subsidies for needy consumers in accordance with the provisions of the Electricity Act.”

In a post on X, Khattar said the conference focused on the “central role of DISCOMs as the primary link between the power sector and citizens”, and emphasised the importance of “financially resilient, efficient, and consumer-focused distribution utilities.”

He added that electricity was increasingly becoming a core economic enabler and said that “sustained & methodical reforms are delivering lower AT&C losses and profitability across utilities.”

AIDA annual report and sector initiatives

At the event, the minister unveiled the first edition of the All India Discoms Association’s annual report titled India Discoms: 2025. The report provides an outlook on the distribution sector, including efforts to improve supply reliability and operational efficiency, challenges faced by discoms, and initiatives by the Ministry of Power and the Central Electricity Regulatory Commission.

According to the ministry, the report also covers policy developments such as the Draft Electricity Amendment Bill and the India Energy Stack, and includes articles by senior power sector professionals.

Alt="Manohar Lal Khattar"
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Awards for distribution utilities

The minister also presented gold and silver awards to 12 discoms across six categories, including improvement in rural revenue recovery, use of smart meter data, digital payments, renewable energy integration, agricultural feeder solarisation and change management for consumer services.

Discoms from Gujarat, Odisha, Assam, Bihar, Uttar Pradesh, Maharashtra, Rajasthan, Tamil Nadu and West Bengal were among the award recipients.

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The two-day EDICON 2026 conference is being organised by the Ministry of Power in collaboration with the All India Discoms Association.

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