The Ministry of Power has extended the deadline for submitting feedback on the Draft National Electricity Policy (NEP) 2026, giving stakeholders and the public more time to review the proposed reforms. According to an official notification issued on February 25, the new deadline for sending comments and suggestions is March 19. Earlier, the ministry had set February 19 as the last date for submissions.
The extension was granted after several industry stakeholders requested additional time to study the draft policy in detail. The government said the decision was taken to ensure a broader and more meaningful consultation process before finalizing the policy. By allowing more time, the ministry aims to gather comprehensive feedback from power sector companies, industry associations, experts, and members of the public.
The Draft National Electricity Policy 2026 is an important step toward modernizing India’s power sector. The policy aims to address some of the long-standing structural and financial challenges faced by electricity distribution companies, commonly known as discoms. Many discoms in India continue to face high debt levels and operational losses, which have affected the financial health of the power distribution segment for several years.
One of the key areas of focus in the draft policy is tariff restructuring. The government has highlighted the issue of non-cost-reflective tariffs, where the price charged to consumers is lower than the actual cost of producing and supplying electricity. This gap between cost and revenue has been one of the major reasons behind the financial stress faced by distribution companies.
The draft policy also addresses the issue of cross-subsidization. In the current system, industrial and commercial consumers often pay higher electricity tariffs to subsidize lower tariffs provided to agricultural users and low-income households. The ministry believes that reducing these imbalances can help create a more sustainable and financially stable power sector.
In addition to financial reforms, the draft policy focuses on strengthening India’s power infrastructure. It highlights the need to build a more resilient electricity grid that can support a growing share of renewable energy sources such as solar and wind power. The policy also promotes consumer-centric services and encourages competition in the sector.
The ministry noted that India’s power sector has seen significant progress since the introduction of the earlier policy in 2005. However, it acknowledged that the distribution segment remains a major challenge. Through the extended consultation process, the government hopes to gather valuable inputs that will help shape a balanced and future-ready electricity policy for the country.
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