Former Haryana finance minister Sampat Singh has urged the Haryana Electricity Regulatory Commission (HERC) to outrightly reject the petition filed by private company Eleven Power Private Limited for grant of a parallel electricity distribution licence in Gurugram and Nuh revenue districts.
In a statement, the Indian National Lok Dal (INLD) leader accused the BJP government of orchestrating backdoor privatisation of the state’s power distribution network. He alleged that the move to grant a parallel distribution license to a private company in Gurugram and Nuh was a “pre-planned loot of public assets”. He said the INLD would oppose the move.
The former minister said that when state power distribution companies were in red with combined losses crossing ₹27,915 crore, outstanding dues over ₹10,000 crore, and total loans touching ₹30,904 crore, the state government is facilitating a private company incorporated just last year to enter the distribution business. “This company has no history, or track record. Yet it has proposed a ₹4,717 crore project. Who is backing them? The BJP government must answer,” the former minister demanded.
The INLD leader said a “giant financial mirage” was created by the company. “Its authorised share capital is only ₹100 crore and paid-up share capital is just ₹1 crore. But it has proposed to infuse equity of ₹1,415.02 crore. This is not a mere technicality but a fraud waiting to happen. The HERC has rightly questioned this,” he alleged.
{{/usCountry}}The INLD leader said a “giant financial mirage” was created by the company. “Its authorised share capital is only ₹100 crore and paid-up share capital is just ₹1 crore. But it has proposed to infuse equity of ₹1,415.02 crore. This is not a mere technicality but a fraud waiting to happen. The HERC has rightly questioned this,” he alleged.
{{/usCountry}}The INLD leader also asked as to why Gurugram and Nuh were being “cherry picked” by the company. Official data shows 75% of DHBVN’s revenue comes from just three districts, with Gurugram having the lowest losses and highest-paying consumers. The petitioner’s own business plan admits it will initially focus on the most lucrative pockets. “This is textbook cherry-picking. The private company wants the cream – the profitable urban consumers – leaving the public discom to serve only the poor and rural. The cross-subsidy framework will collapse overnight,” Singh warned.
Singh said the company has no power purchase agreements, no land, no substations. “This is a house of cards built on hot air and political patronage,” he said. The HERC itself has recognised the danger, stating that a parallel licensee “may affect DHBVN’s ability to sustain the prevailing cross-subsidy framework.” Singh said that in his capacity as a consumer representative, he was initiating a decisive fight before the HERC to get this petition undone.