What is Power Sector Reforms?
Measures aimed at improving the efficiency, financial viability, and operational performance of the electricity sector, encompassing generation, transmission, and distribution, often involving deregulation, privatization, and market-based mechanisms.
Historical Background
Post-independence, the power sector was largely dominated by State Electricity Boards (SEBs), which were vertically integrated monopolies. Reforms began in the 1990s with the unbundling of SEBs, introduction of private participation in generation, and the enactment of the Electricity Act 2003 to create a more competitive and regulated market.