The Energy Task Force (ETF) on Thursday approved a proposal to invite bids to select a transaction advisor (consultant) for preparing a roadmap to privatise the Agra and Varanasi distribution companies (discoms) in the state. The decision was taken at the ETF meeting chaired by chief secretary Manoj Kumar Singh here.
The move has, however, sparked fresh discontent among power sector employees, who have vowed to escalate their ongoing agitation.
“Today, discussions were held in the Energy Task Force (ETF) meeting regarding appointing a transaction advisor to prepare a roadmap for reforms in power distribution companies and preparing an RFP (Request for Proposal),” chief secretary Manoj Kumar Singh said in a post in Hindi on X later in the afternoon.
As per the proposal already announced by the UP Power Corporation Ltd UPPCL), the Agra and Varanasi companies will be broken into three and two entities respectively and be handed over to private players under public-private partnership.
In compliance with the Central government’s guidelines, the UPPCL is mandated to select a transaction advisor to prepare the detailed plan for the completion of the privatization process.
“The ETF today approved the Request for Proposal (RFP) for the selection of a transaction advisor. Now, we will soon float the RFP to select the most suitable consultant through a competitive bidding process to help us carry out power sector reforms,” a senior UPPCL official said.
{{/usCountry}}“The ETF today approved the Request for Proposal (RFP) for the selection of a transaction advisor. Now, we will soon float the RFP to select the most suitable consultant through a competitive bidding process to help us carry out power sector reforms,” a senior UPPCL official said.
{{/usCountry}}The transaction advisor will be selected under the Quality and Cost-Based Selection (QCBS) process.
The decision to involve a consultant marks a significant step in the state government’s push towards privatisation. The UP Vidyut Karmchari Sanyukt Sangharsh Samiti has announced a statewide ‘Protest Day’ on January 10 and vowed to continue their struggle until the privatisation decision was withdrawn.
“On January 10, employees, contractual workers, and engineers will hold protest meetings at district and project headquarters during lunch breaks or after office hours. From January 11 to 14, an awareness campaign against privatisation will target consumers statewide,” Sangharsh Samiti convenor Shailendra Dubey said.
The ETF decision, Dubey said, was a violation of written agreements from 2018 and 2020, which mandated employee consultation before any privatization. He also criticised the “wasteful expenditure” on consultants, citing the failure of a similar attempt in 2000.
UP Rajya Vidyut Upbhokta Parishad chairman Awadhesh Kumar Verma alleged, “The QCBS-based consultant selection process lacks transparency and has exposed irregularities from the very beginning.”
Despite their protest, the Samiti leaders assured uninterrupted electricity supply during the Mahakumbh, pledging to maintain high standards of service while opposing privatisation.