GS Paper - 2 (Polity)

The Electricity Amendment Bill 2022 kicked up a ruckus in India after its introduction in the Lok Sabha on 8 August 2022, during the Monsoon session of the Parliament. As many as 27 lakh power engineers raised their voices against the bill in hopes that it will be retracted by the government.

What is the Electricity Amendment Bill 2022?

  1. The Electricity Amendment Bill 2022, which is being highly protested by power engineers, is aimed at allowing the privatization of electricity on the line of communication, which, according to the Centre, can create a steady power supply across the country.
  2. This means that according to the bill, Section 42 of the Electricity Act will be amended, which means that it will grant non-discriminatory open access to the distribution network, allowing private companies to supply electricity, provided they get a license.
  3. Under the new bill, Section 14 of the Electricity Act will also be amended, which means that distribution networks will be facilitated open-access usage, enabling competition and enhancing the efficiency of power supply across the country.
  4. Under the Electricity Amendment Bill 2022, power consumers will be able to choose from multiple electricity providers, essentially choosing telecom providers like Airtel, Vodafone, etc.