SF Prep Notes

Second meeting of Group of Ministers on viability of power distribution utilities held in Mumbai

The Group of Ministers on the viability of electricity distribution utilities, chaired by Union Minister of State Shripad Yesso Naik, held its second meeting in Mumbai on 27 February 2025 in the presence of Maharashtra Chief Minister Devendra Fadnavis.

Summary

The second meeting of the Group of Ministers (GoM) constituted to address the viability of electricity distribution utilities was held in Mumbai on 27 February 2025, chaired by Union Minister of State for Power and New & Renewable Energy Shripad Yesso Naik, with Maharashtra Chief Minister Devendra Fadnavis present. Energy ministers of Tamil Nadu, Uttar Pradesh, Maharashtra, Andhra Pradesh and Rajasthan took part. Naik listed four parameters of discom viability - AT&C losses, the ACS-ARR gap, accumulated losses and outstanding debt - and said every 1% rise in AT&C loss costs utilities more than ₹10,000 crore.

Key facts

Date and place
27 February 2025, Mumbai
Chair
MoS Power Shripad Yesso Naik
Four parameters
AT&C loss, ACS-ARR gap, accumulated losses, outstanding debt
Cost of 1% AT&C loss
Over ₹10,000 crore

Practice MCQs 1 questions

Q1 Advanced

According to the chairman of the Group of Ministers on discom viability (Mumbai, 27 February 2025), every 1% increase in AT&C loss causes utilities a loss of more than:

Show answer

Correct answer: A — ₹10,000 crore

Union MoS Shripad Yesso Naik, chairing the GoM, said every 1% increase in AT&C loss results in losses of upwards of ₹10,000 crore for utilities.

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