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The Role of DISCOMs in India’s Transition to a Clean Energy Regime

Distribution companies (DISCOMs) should ideally be at the forefront of fulfilling the country’s clean energy commitments. However, DISCOMs have remained the weakest link in India’s power system.The poor financial health of the DISCOMs has overburdened the entire sector with their inability to pay power generators on time, manage their losses, and cleaning up other inefficiencies.Reforming the DISCOMs has been on policymakers’ agenda for a long time, but success has mainly remained elusive. Attempts to privatize the distribution sector are being made, starting with power utilities in the Union Territories.To address the financial challenges faced by DISCOMs, the Finance Minister announced the allocation of � billion (~$12.03 billion).....

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