Need private escoms to introduce competition: Power minister

Union Energy Minister R K Singh said the government's efforts to give power supply licence to private companies will continue in order to introduce competition in the power supply sector.
To a question from journalist, the minister for Power, New and Renewable Energy said there will be no privatisation of escoms.

"The present escoms will remain but they should be asked to compete so that you as a consumer have a choice. If a (company) is not performing and somebody else can give better service, you can switch just like you switch between mobile service providers," he said.

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He said the provision for multiple licencees operating in the same area of supply has been provided in the 2003 law (Electrity Act). "In Mumbai, we already have multiple licencees. But it was not taking place due to one difficulty. However, there was one clause which was not allowing this to take off. It is that difficulty we are seeking to remove through the amendment," he added.