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India’s energy and infrastructure sectors are undergoing major transformation, driven by strong economic growth, massive government investments and ambitious clean energy targets. India’s renewabl...
On October 9, 2025, the Ministry of Power released the Draft Electricity (Amendment) Bill, 2025, inviting public comments and suggestions. The Amendment Bill represents the first major overhaul of the Electricity Act, 2003, in almost two decades and seeks to reform the Indian power sector to make it financially resilient, environmentally sustainable, and capable of supporting globally competitive industries. The Amendment Bill marks a significant step towards strengthening India’s power sector. Distribution sector reforms, including the mandate for cost-reflective tariffs, the proposed exemption from USOs vis-à-vis commercial and industrial consumers, and the provision allowing shared use of distribution infrastructure between distribution licensees, are all expected to ease the financial distress of distribution licensees. Strengthening of power markets and streamlining regulatory processes —including the establishment of the Electric Line Authority, setting timelines for proceedings before the Appropriate Commission, and the constitution of the Electricity Council are expected to enhance investor confidence and reflect a proactive commitment to reform India’s electricity sector.
CMS INDUSLAW's Megha Arora and Abhishek Rohatgi set out the changes introduced by the Amendment Bill.
CMS INDUSLAW's Megha Arora and Abhishek Rohatgi set out the changes introduced by the Amendment Bill.
