Eleven Power commits to invest over Rs 4,700 crore for distribution network

Eleven Power, which recently filed for a distribution licence with the Haryana power regulator, plans to invest over Rs 4,700 crores to build a new renewable-led electricity distribution network in Gurugram and Nuh districts.

The company, on Monday, said the capital for the first phase is fully locked in, with the equity infused and the complete funding mix of equity and debt in place.

The statement from the company comes amid an ongoing resistance from Haryana Electricity Employees & Consumers Struggle Forum on the private company’s foray in the state power distribution network.


The Haryana Electricity Regulatory Commission has constituted a committee to assess the eligibility and examine the petition.

The company said it has applied to the Haryana Electricity Regulatory Commission for a parallel distribution licence for the two districts, and the project is subject to the grant of the licence by the regulator.

Nuh, among Haryana's most underserved districts, is included in the first phase of the rollout, the company said.

Under the parallel license proposal, the existing utility retains its network and its consumers, and only consumers who opt for the new supplier would move to it.

Eleven Power is the Eleven group's electricity distribution venture. The group is chaired by Sunil Sachdeva who is also the co-founder of Medanta.

Under the current norms, a private sector company can enter power distribution operations. However, only a handful of such companies such as Tata Power, Adani Electricity, CESC Ltd and Reliance Infrastructure, are in the business.

To push more competition in the segment with private sector involvement, the government has proposed shared distribution network norms in the draft national electricity policy rolled out for consultation in January.

Sharing network would make it easier for companies to enter with lesser capital expenditure requirements.