Draft National Electricity Policy

The Standing Committee constituted to work on Electricity issues in India made recommendations to create a new Electricity Policy. Based on the recommendations, the Ministry of Power constituted an expert committee under the chairmanship of Gireesh Pradhan to create the policy. The panel submitted the draft policy in October 2021. Now, the ministry has finalized the policy and is circulating it to the states and the CEA (Central Electricity Authority) seeking comments.

About the Draft Policy

  • The policy was framed invoking Electricity Act, 2003
  • Private parties shall be invited for distributing power
  • Quality power supply in rural areas
  • Reduce dependence on coal
  • Increase hydrogen storage and hydro storage
  • Increase investments on mini-grids
  • Make metering completely smart
  • Encourage and increase the use of domestic power equipment


India launched its first National Electricity Policy in 2005. Even after 16 years since the launch, no efforts were initiated to update the policy. Despite of peak energy shortages, no efforts were launched to change the policy. Our distribution infrastructure is showing very slow development. However, there has been a substantial increase in the distribution infrastructure. Today there are more than 6 lakh crores of distribution companies in the country. India is moving towards clean energy and has set a goal of achieving net zero by 2070. The new policy will aid India to achieve its objectives.



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