Haryana Govt Blocks Private Power Licence in Gurugram and Nuh to Protect Consumers

Haryana’s power regulator has decided not to proceed with allowing a private company to distribute electricity in parallel in Gurugram and Nuh, acting on written directions from the state government. The Haryana Electricity Regulatory Commission (HERC) took the decision on Wednesday, putting on hold the rollout of a 25-year parallel distribution licence granted to Eleven Power Private Limited on October 19. The state government’s Energy Department had issued binding policy directions on October 26 under Section 108 of the Electricity Act, 2003, directing that no parallel distribution licence should be created, operationalised or effectuated anywhere in the state. In its order, the commission noted that with those directions in force, no adjudicatory exercise was left for it to undertake, and it would not proceed as long as the directions remained in force. The government said it was gravely concerned about the impact of a parallel licence on consumers and on public interest. Officials pointed to the risk that a private distributor could draw away high-paying consumers and revenue from the state-run distribution companies, weakening the utilities that serve the wider public, including households and farmers across Haryana. The October 19 approval had triggered a strike by electricity employees, who feared the move could threaten government jobs and lead to higher tariffs for consumers, disrupting power distribution work across the state. Chief Minister Nayab Singh Saini approved the government’s intervention, and the regulator’s latest order brings that chapter to a halt. The commission also noted a large backlog of pending electricity connections in the state. Official records showed that as of October 2025, about 1.29 lakh applications involving a combined load of 2,412.95 megawatts were pending across Haryana, underlining why the government wants the focus to remain on strengthening the existing public distribution system rather than splitting it. For consumers in Gurugram and Nuh, the decision means electricity supply continues through the existing state distribution companies, with the government’s stated priority being protection of consumer interests, stable tariffs and the financial health of the public utilities that carry power to every corner of the state.