The State government has initiated steps to enable hassle-free power supply to select categories of consumers, especially farmers who are provided power supply free of cost.
The State government has approved the establishment of an exclusive power distribution company responsible for handling electricity retailing for specific consumer categories supported by it. The development sets stage for the third Discom as announced by Chief Minister A. Revanth Reddy earlier. The new Discom will be in addition to the Northern and Southern power distribution companies catering to 18 and 15 districts at present.
The government said it was committed to providing free and subsidised electricity to specific categories like agriculture. The financial position of the existing Discoms deteriorated over a period of time due to gap between average billing rate and average cost of service.
The precarious financial condition of the Discoms severely limits their ability to secure funding for developmental initiatives. It also restricted their participation in critical infrastructure programmes like revamped distribution sector scheme. Consequently, the Discoms were facing challenges to implement essential system upgrades needed to ensure reliable and quality power supply to consumers across the State.
To address these concerns and improve supply position, the Government had decided to set up a third Discom responsible for handling electricity retailing for specific categories.
Published – December 17, 2025 09:32 pm IST
