Revanth Reddy Government May Hand Rural Power Supply to New Rythu Discom

The Revanth Reddy government in Hyderabad is contemplating a major policy shift by giving the responsibility of rural power supply to the newly proposed Telangana Rythu Power Distribution Company Limited (TGRPDCL). The move comes after regulatory authorities raised concerns over the long-term sustainability of the new utility.

The state government initially created TGRPDCL to cater exclusively to agricultural use, rural water supply, and irrigation projects. However, during a public hearing conducted on May 29, the Telangana State Electricity Regulatory Commission (TGERC) and other stakeholders raised doubts regarding the financial and operational viability of the proposed discom.

A key concern highlighted during the hearing was that the new entity is being established with a massive debt burden and a relatively small workforce of only 2,000 employees. To address these challenges, government sources indicated that expanding the discom's mandate to include rural power supply could offer a practical solution.

Since distribution transformers for agricultural connections are located throughout rural areas, the personnel currently managing rural power supply can also be utilized to maintain these agricultural distribution transformers (DTRs). This consolidation of duties is expected to optimize the utility of the limited 2,000-member workforce.

If the proposal is finalized, it will also redefine the jurisdictions of the state's existing power distribution companies. The Telangana State Northern Power Distribution Company Limited (TGNPDCL) and the Telangana State Southern Power Distribution Company Limited (TGSPDCL) will no longer manage rural power supply. Instead, they will focus entirely on supplying power to towns, municipalities, and municipal corporation limits.

TGRPDCL was officially announced by the state government a few months ago, after which it applied for an operating licence from the TGERC. Following the public hearing on May 29, the new discom was scheduled to begin its operations on June 2, subject to regulatory clearances.