HERC halts Gurugram–Nuh parallel distribution licence after state direction
On 19 October HERC granted Eleven Power a 25-year licence to distribute electricity in Gurugram and Nuh alongside the existing discom. On 28 October it said it will not proceed with the petition while a Haryana government direction barring parallel licences anywhere in the state stays in force.
Why it matters. The first state test of supply competition under Section 14 is now frozen by a policy direction, and any challenge will test how far Section 108 lets a state override its regulator.
What changes
- 19 Oct: licence granted for 25 years across five divisions (Gurugram Sub-urban, Gurugram City, Manesar, Sohna, Nuh), with planned capex of ₹4,717 crore over FY27–FY31.
- 26 Oct: the state Energy Department, with the Chief Minister's approval, directed HERC under Section 108 that no parallel licence be created, operationalised or effectuated in Haryana, citing revenue, consumer and public interest.
- 28 Oct: HERC said it is bound by policy directions under Section 108 and will not proceed with Petition No. 30 of 2026 while the direction remains operative.
- HERC rejected Eleven Power's request for a hearing, saying the statewide direction leaves no adjudicatory step for the Commission.
- The licence is reported as on hold, not formally revoked; Eleven Power is reported to be pursuing legal remedies.
Who is affected
Consumers in Gurugram and Nuh · DHBVN · Eleven Power · C&I consumers · Other parallel-licence applicants
Sources
Get the Monday brief. Email hemantmittaljjn@gmail.com with "Subscribe" in the subject. All updates