RP-Sanjiv Goenka Group takes over power distribution, retail supply in Chandigarh

Chandigarh, Jan 31 (PTI) RP-Sanjiv Goenka Group, through its subsidiary company, on Friday took over the power distribution and retail supply business services in Chandigarh.

The RP-Sanjiv Goenka (RPSG) Group has announced the acquisition of the power distribution and retail supply business of the electricity wing of the Engineering Department, Chandigarh (EWEDC), effective Friday, a company statement said.

This move follows the clearance by the Punjab and Haryana High Court in November 2024 and the Supreme Court's final nod in December 2024 for the privatization of Chandigarh's electricity distribution, it said.

Union Territory of Chandigarh becomes the latest addition to the list of regions where power distribution has been privatized in recent times.

RPSG Group, through its subsidiary Eminent Electricity Distribution Limited (EEDL), has now officially taken over the operations, marking a significant step towards improved power distribution services for over 2.35 lakh consumers in the region, the statement said.

The entire process of selection of the bidder was as per the Standard Bidding Documents (SDB) & guidelines of the Centre. As part of the privatization, the entire power distribution and retail supply business of EWEDC has been transferred to Chandigarh Power Distribution Limited (CPDL). CPDL is now fully owned by EEDL, a subsidiary of CESC Limited, the flagship company of RPSG Group.

EEDL has paid a total consideration of Rs 871 crore, significantly higher than the reserve price of Rs 174 crore, reflecting the value and potential of this venture, the statement said.

The assets, liabilities, power purchase contracts, and personnel from the previous entity have been transferred to CPDL as per the transfer scheme notified by the UT Administration, with guarantees that, employee service terms remain unchanged, including the establishment of a Pension Trust for their benefit.

CPDL will establish an advanced consumer grievance redressal system, including a dedicated helpline and online complaint registration, to ensure prompt resolution of consumer issues.

Significant investments will be made in modernizing the electrical infrastructure to provide 24x7, safe, and reliable power. This will enhance the quality of service, it said.

CPDL is committed to increasing the green energy share in its supply, contributing to Chandigarh's sustainability and environmental goals. The Joint Electricity Regulatory Commission (JERC) will continue to oversee the determination of consumer tariffs, ensuring transparency and fairness in pricing. PTI SUN VSD MR

Source: PTI