Chandigarh, June 20
The All India Power Engineers Federation (AIPEF) has urged the Haryana Electricity Regulatory Commission (HERC) to reject the application of Eleven Power Private Limited for a distribution licence in Gurugram and Nuh, warning that granting a parallel licence in revenue-rich areas would undermine public interest and destabilize the financial viability of DHBVNL.
AIPEF Chairman Shailendra Dubey, in a letter to HERC on Friday, submitted detailed objections against the proposal, pointing out that the applicant has no track record in electricity distribution or operational capability. The federation noted the absence of credible evidence regarding distribution network readiness, consumer service infrastructure, SCADA and control systems, substation development plans, emergency response systems, and disaster management arrangements.
AIPEF media advisor V.K. Gupta highlighted that parallel licensing leads to duplication of infrastructure, metering systems, consumer service mechanisms, increased administrative expenditure, right-of-way disputes, and operational complexities. He stressed that the proposal is designed to attract high-paying industrial, commercial, and premium consumers concentrated in Gurugram and adjoining areas.
The proposed licence area contributes nearly 27.54% of DHBVNL’s total revenue. Gurugram alone supplied 7,794 million units worth ₹6,386 crore. AIPEF warned that migration of high-value consumers would severely erode DHBVNL’s revenue base, leaving stranded costs to be borne by remaining consumers. DHBVNL and Haryana Power Purchase Centre (HPPC) have long-term power purchase agreements based on demand across the licensed area, and consumer migration would render contracted power surplus while capacity charges and transmission commitments remain payable.
The federation further pointed out that the petitioner’s reliance on renewable market purchases and external procurement lacks a comprehensive transmission access plan, proof of network availability, or assessment of grid security and system stability. Critical issues such as security deposits, arrears, metering, supplier-of-last-resort obligations, grievance redressal, insolvency risks, and exit mechanisms remain unresolved.
AIPEF emphasized that experiences from other states show privatization and parallel licensing do not automatically lead to lower tariffs or improved consumer welfare. It has called on HERC to defer consideration of any parallel licence until a comprehensive consumer migration and multi-licensee regulatory framework is notified. The federation also demanded an independent technical and financial impact assessment covering grid security, stranded liabilities, transmission commitments, tariff implications, and employee interests.