In a significant shift for Nagpur’s power sector, the Maharashtra Electricity Regulatory Commission (MERC) has granted approval to Torrent Power to operate as a parallel electricity distributor in the city. The private utility giant will now compete with the state-run Maharashtra State Electricity Distribution Company Limited (MSEDCL), marking the beginning of a dual-distribution model that aims to offer better service, reliability, and competitive tariffs for consumers.
Torrent Power had filed its application with MERC in November 2023, seeking a distribution licence for the Nagpur Municipal Corporation area and its surroundings. After months of regulatory scrutiny, MERC has cleared the application, enabling Torrent Power to begin operations. However, both companies will have to build and maintain their own separate infrastructure, as they cannot share the existing network. This means Torrent Power will have to invest significantly in setting up a parallel system of transformers, distribution lines, substations, and related assets.
To ensure public participation in the process, MERC has scheduled an e-public hearing on July 22, 2025. Citizens, consumer groups, and stakeholders have been invited to submit suggestions, objections, or feedback regarding Torrent Power’s entry. These submissions will be reviewed during the hearing, which aims to address concerns and maintain transparency in the licensing process.
Torrent Power is already a major player in India’s electricity distribution market, with operations in cities such as Ahmedabad, Surat, Bhiwandi, Agra, and the Union Territories of Daman, Diu, Dadra and Nagar Haveli. In regions like Bhiwandi, the company is credited with significantly reducing power theft and improving billing efficiency under the franchise model. Its entry into Nagpur is expected to bring similar improvements, especially in terms of smart metering, faster complaint redressal, and reduced power outages.
While the move has generated optimism among many consumers, experts have pointed out potential risks associated with parallel distribution. Concerns have been raised about duplication of infrastructure, inefficient asset utilization, and the possibility that Torrent Power may focus only on commercially viable areas—leaving low-income or loss-prone regions under-served. To address these issues, regulatory oversight by MERC will be crucial in ensuring that both operators maintain universal service obligations and invest in equitable infrastructure development.
Torrent Power’s entry is being seen as a game-changer for Nagpur’s electricity sector. It introduces competition in a space traditionally dominated by a single operator and is likely to push both companies to improve service standards. For the city’s residents, the coming months will be crucial in shaping this transition. Participation in the public hearing on July 22 offers an important platform to raise questions, express support, or seek safeguards, ensuring that the move ultimately benefits every consumer in Nagpur.
👉 Click here to read the latest Gujarat news on TheLiveAhmedabad.com