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Haryana govt blocks parallel power licence for Gurugram, Nuh; HERC puts EPPL plea on hold

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The Haryana Electricity Regulatory Commission (HERC) has decided not to proceed further with the parallel power distribution licence granted to Eleven Power Private Limited (EPPL) for Gurugram and Nuh, after the state government directed that no such licence be operationalised anywhere in Haryana.In an order issued in Panchkula on Wednesday, a bench of officiating chairman Mukesh Garg and member Shiv Kumar said it would not proceed with HERC Petition No. 30 of 2026 as long as the government’s directions remain operative.The commission had on October 19 granted EPPL a 25-year parallel distribution licence for the two revenue districts, a move that would have allowed a second company to supply electricity alongside Dakshin Haryana Bijli Vitran Nigam Limited (DHBVNL). EPPL accepted the licence on October 21 and, on October 23, sought advance notice and a hearing on any matter concerning it.On October 26, Energy Department wrote to HERC under Section 108(1) of the Electricity Act, 2003, directing it not to create, operationalise or effectuate a parallel distribution licence anywhere in the state. The government described the move as a matter of policy, citing revenue implications, consumer interest and public interest. The directions carry the Chief Minister’s approval.The government said it was “gravely concerned” about the impact on consumers and called the grant “in complete deviation of the present policy”. It also cited agitation and apprehension among the public, farmers, consumers and employees of state utilities. However, it said it was not going into the correctness of the commission’s October 19 findings.The state discoms had opposed the licence, citing capital adequacy, creditworthiness, technical capability and universal service obligations. They also warned of selective acquisition of high-revenue consumers, impact on cross-subsidy, stranded costs and duplication of infrastructure.HERC rejected EPPL’s plea for a hearing. It said Section 108(1) requires it to be guided by written government directions on policy matters, and under Section 108(2) the government’s decision on whether a question involves public-interest policy is final. As the directions apply across the state, no “adjudicatory exercise” was left for the commission, it said.Shailendra Dubey, chairman of All India Power Engineers Federation, welcomed the order. “This is a historic victory for the power sector. Determination and an uncompromising struggle have prevailed,” he said.

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