Manohar Lal Reviews Karnataka's Power Sector, Stresses Reforms

In a high-level meeting held today in Bengaluru, the Hon’ble Union Minister of Power, Shri Manohar Lal, led a comprehensive review of Karnataka’s power sector. This crucial gathering brought together significant stakeholders, including Shri Shripad Naik, Hon’ble Union Minister of State for Power and New & Renewable Energy; Shri K. J. George, Hon’ble Minister of Energy, Karnataka; as well as top officials from the Government of India, the State Government, and REC Ltd.

Focused Assessment of Karnataka’s Power Landscape

The review was structured around a detailed presentation by the State Government, which covered the existing status and future challenges across power generation, transmission, and distribution segments. Karnataka, recognized for its proactive stance in energy reforms, particularly in renewable energy integration, showcased its growing reliance on sustainable energy sources. The presentation also highlighted challenges in acquiring the Right of Way (RoW) for transmission projects, outdated distribution systems, and financial concerns impacting utilities.

Shri Manohar Lal commended the State’s increasing share of renewables in its energy mix, noting Karnataka as a national leader in clean energy transitions. He stated that the review was aimed not only at understanding on-ground realities but also at identifying collaborative pathways to enhance energy security and efficiency in the State.

Financial Sustainability and Smart Metering Drive

One of the central themes of the discussion was the financial health of Karnataka’s power utilities. The Union Minister expressed concern over the growing annual losses and urged the State to implement cost-reflective tariffs that align closely with actual power procurement and distribution costs. Such a move, he asserted, is crucial for ensuring long-term sustainability.

Further, Shri Manohar Lal pressed for the timely clearance of subsidies and dues, especially those owed by Government departments. He emphasized the saturation of prepaid smart meters across all government facilities, including local administrative bodies and staff colonies, setting an ambitious deadline of August 2025 for full implementation.

Strengthening Infrastructure and Administrative Reforms

Highlighting the critical role of infrastructure, the Union Minister advised the State to expedite smart metering initiatives for commercial, industrial, and domestic consumers. Smart metering, he said, would enhance billing accuracy, reduce power theft, and empower consumers with real-time usage data.

Additionally, he called for swift resolution of Right of Way constraints, which often delay transmission projects. Shri Manohar Lal advocated for adopting the Government of India’s compensation framework to ease stakeholder concerns and speed up infrastructure rollout.

Central Support and Future Collaboration

Reassuring Karnataka of the Centre’s ongoing support, the Union Minister reiterated the Government of India’s commitment to partnering with States for a resilient and inclusive energy sector. He also invited Karnataka to explore innovative energy solutions and pilot projects under national schemes, especially those focusing on decentralized generation and grid modernization.

The meeting concluded with a shared vision of a robust, financially viable, and technologically advanced power ecosystem for Karnataka. The Union and State ministers expressed mutual commitment to working together for the benefit of the people and the long-term energy needs of the region.