Power Ministry’s Chintan Shivir Concludes With Roadmap for Reforms and Clean Energy Transition

In his inaugural address on 22 January, Shri Manohar Lal highlighted the significant achievements of India’s power sector while underscoring the need to confront persistent structural and financial challenges.

The two-day Chintan Shivir of the Ministry of Power, held on 22–23 January 2026 in Parwanoo, Himachal Pradesh, concluded on Thursday with wide-ranging deliberations aimed at shaping the future of India’s power sector in line with the vision of Viksit Bharat @2047.

The Shivir brought together Union Minister of Power and Housing & Urban Affairs Shri Manohar Lal, Minister of State for Power and New & Renewable Energy Shri Shripad Naik, senior officials from the Ministry of Power, Central Electricity Authority (CEA), Central Electricity Regulatory Commission (CERC), central public sector enterprises, State governments, State Electricity Regulatory Commissions (SERCs), and leading industry experts and academicians.

Power Sector Central to India’s Long-Term Growth Vision

In his inaugural address on 22 January, Shri Manohar Lal highlighted the significant achievements of India’s power sector while underscoring the need to confront persistent structural and financial challenges.

He said India’s long-term economic ambition of becoming a developed nation by 2047 requires a robust, financially viable and sustainable electricity sector capable of delivering reliable, affordable and clean power to all consumers.

Key Reform Areas Discussed

Over two days, participants engaged in open and solution-oriented discussions on critical reform priorities, including:

• The Draft Electricity Amendment Bill, 2026, aimed at improving financial viability, competitiveness and enabling the energy transition;

• The Draft National Electricity Policy, 2026, aligned with energy independence and Viksit Bharat 2047;

• Accelerated development of nuclear power capacity;

• Sustainable distribution sector reforms;

• Optimisation of transmission, distributed energy resources and energy storage, including achieving a 300 GWh storage target by 2030;

• An action plan to reduce litigation and promote de-regulation.

The discussions focused on restoring sectoral financial health, promoting ease of doing business, reducing avoidable disputes, strengthening regulatory accountability and placing the consumer at the centre of the power ecosystem.

Day 1: Legal, Policy and Nuclear Energy Reforms

On the first day, detailed discussions were held on the Draft Electricity Amendment Bill, 2026, which seeks to address structural inefficiencies in the distribution sector, enhance the economic competitiveness of Indian industry and modernise the legal framework.

Participants examined provisions aimed at enabling a seamless energy transition, promoting investment, improving regulatory accountability and safeguarding consumer interests.

The Draft National Electricity Policy, 2026 was also deliberated extensively. Key targets under the policy include:

• Per capita electricity consumption of 2,000 kWh by 2030 and over 4,000 kWh by 2047;

• A 45% reduction in emissions intensity from 2005 levels by 2030;

• Achieving net-zero emissions by 2070.

The policy envisages greater competition, enhanced grid resilience to integrate higher shares of variable renewable energy, and consumer-centric services supported by demand-side interventions.

A focused session was also held on fast-tracking nuclear power deployment, recognising its importance for energy security, decarbonisation and long-term baseload capacity.

Day 2: DISCOM Reforms, Storage and Litigation Reduction

On the second day, discussions centred on strategies to ensure the long-term financial sustainability of distribution companies (DISCOMs) through structural reforms encompassing operational, financial and regulatory measures.

Key emphasis was placed on rationalising cross-subsidies, particularly for manufacturing, railways and metro systems, to boost industrial competitiveness and employment generation.

Participants also examined pathways to optimise transmission systems, distributed energy resources and storage, with the goal of reducing transmission costs, encouraging decentralised energy solutions and meeting the 300 GWh storage capacity target by 2030.

In the concluding session, stakeholders addressed the issue of high litigation levels in the power sector. It was noted that disputes often arise from ambiguity, inconsistent interpretation and procedural delays. The participants emphasised the need for standardisation, digitalisation and faster decision-making to reduce disputes, lower costs for utilities and consumers, and improve the investment climate.

Major Reports Released

During the Shivir, Shri Manohar Lal released the CEA report titled “Roadmap to 100 GW of Hydro Pumped Storage Projects (PSPs) by 2035–36.”

The report outlines India’s strategy to meet rising energy storage requirements driven by the expansion of non-fossil fuel capacity to 500 GW by 2030 and 701 GW by 2035. It projects storage needs of:

• 62 GW by 2029–30, and

• 161 GW by 2034–35.

Recognising the growing importance of long-duration storage beyond 2030, the roadmap sets a target of commissioning 100 GW of PSPs by 2035–36. The report highlights PSPs as a proven, clean and large-scale storage solution using largely indigenous technologies, and recommends policy, regulatory and implementation measures, with a focus on off-stream closed-loop projects to strengthen grid resilience.

The 14th Integrated Rating and Ranking Report of Power Distribution Utilities was also released. Of the 65 utilities rated, 31 were graded A+ or A. Torrent Power Ahmedabad and Torrent Power Surat topped the national rankings for FY 2024–25, while Uttar Gujarat Vij Company Limited (UGVCL) emerged as the best-performing state-owned DISCOM.

Call for Coordinated Action

Concluding the Chintan Shivir, Shri Manohar Lal urged all stakeholders to work in close coordination for the time-bound implementation of reforms, stressing that sustained collaboration between the Centre, States, industry, utilities and institutions is essential to position India as a global leader in the power sector.