New Delhi: A CEO roundtable on power distribution held under the draft National Electricity Policy, 2026 (NEP 2026) at the Bharat Electricity Summit 2026 on Friday underscored “the urgency of sustained reforms in the distribution sector to ensure financial viability of DISCOMs and to support India’s broader economic and energy transition goals under the vision of Viksit Bharat @ 2047.”
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The meeting, chaired by Pankaj Agarwal, Secretary, Ministry of Power, brought together CEOs and senior leadership of leading power sector organisations to deliberate on reforms required to strengthen the distribution segment.
Participants welcomed the draft policy and described it as “comprehensive and forward-looking” in addressing emerging challenges in the sector. They said the policy provides “a clear strategic direction for strengthening the power sector in the context of India’s transition towards sustained high economic growth.”
Industry leaders emphasised that the proposed measures, particularly in the distribution segment, would play “a critical role in enhancing financial viability, improving service quality, and enabling the integration of new and evolving technologies.”
Deliberations highlighted that electricity supply must “keep pace with the aspirations of Viksit Bharat @ 2047,” which envisages a USD 30 trillion economy and energy independence. The draft NEP 2026 targets “increasing per capita electricity consumption to 2,000 kWh by 2030 and over 4,000 kWh by 2047.”
These goals align with India’s climate commitments to reduce emissions intensity by 45 percent from 2005 levels by 2030 and achieve net-zero emissions by 2070, requiring “a decisive shift towards low-carbon energy sources.”
A central focus of the policy is improving the financial sustainability of the distribution sector. The proposed measures include “optimisation of power procurement through advance planning, reduction of Aggregate Technical & Commercial (AT&C) losses, and strengthening of corporate governance mechanisms.”
The policy envisages achieving “single-digit AT&C losses through phased rollout of smart meters with prepayment functionality,” starting with government, commercial and industrial consumers, alongside “regular energy audits and improved accounting practices.”
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To enhance efficiency and accountability, the draft policy proposes “shared distribution networks,” aimed at eliminating duplication of infrastructure. It also emphasises “GIS-based asset mapping, consumer indexing, and system automation” to improve operational efficiency and service delivery.
Recognising the growing role of distributed energy, the policy recommends establishing a Distribution System Operator to enable integration of “distributed renewables, energy storage systems, and Vehicle-to-Grid (V2G) technologies,” ensuring “optimal utilisation of resources through local energy markets.”
The draft policy prioritises improving quality and reliability of supply through “optimal network redundancy at specified voltage levels” and stricter enforcement of service standards.
It proposes redundancy at the distribution transformer level for cities with populations exceeding 10 lakh by 2032 and recommends underground cabling in congested urban areas.
Ensuring universal electricity access, particularly in border areas, remains a key objective.
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