Haryana’s state minister for power, Anil Vij, told reporters on Friday that the government is close to ending the three‑day strike by electricity employees. He said a meeting scheduled for 3 PM in Panchkula with union representatives would likely bring the protest to a halt within a few hours.
Background of the dispute
The strike began on Thursday, October 22, and was planned to run through October 24. Employees of the state’s electricity department, including engineers, walked out to protest the entry of a private power distributor in the Gurugram and Nuh districts. The protest follows a decision by the Haryana Electricity Regulatory Commission (HERC) to grant a 25‑year parallel distribution licence to Eleven Power Private Limited for those two districts.
The commission’s order, dated October 19, permits Eleven Power to operate alongside the incumbent distributor, offering more than 8.3 lakh consumers – households, farmers, shops, offices and industrial units – a choice of electricity supplier as the new network is rolled out. The licence covers Gurugram City, Gurugram Sub‑urban, Manesar, Sohna and Nuh, with the first phase of network development slated to include Nuh.
According to the licence terms, the new network is expected to become operational for consumer supply in the financial year 2027‑28. The project is projected to involve a capital outlay of Rs 4,717 crore between FY 2026‑27 and FY 2030‑31, under HERC’s regulatory oversight. The proposed infrastructure will feature smart meters, digital billing, a distribution management system and other upgrades aimed at improving reliability and grievance redressal. Power procurement is planned to be 80 % from renewable sources and 20 % from thermal generation.
Section 14 of the Electricity Act, 2003, allows more than one distribution licencee to operate in the same area, marking this as the first instance of parallel electricity distribution in Haryana. Existing consumers are not required to take any immediate action; the incumbent distributor will continue supplying power while consumers may switch to the new provider as its network reaches them. The new licencee must submit a detailed implementation plan for the first phase and a protocol for consumer switching within 60 days.
Government response and upcoming meeting
Minister Vij described the strike as “unwarranted” and emphasized that the government is challenging the regulator’s order that permits the private company to supply electricity. He noted that the state had opposed the private company’s application before the regulator, but the decision went against the government’s position. Vij reiterated his opposition to privatisation, arguing that the state has heavily invested in infrastructure and that the employees’ services are at stake.
In an interview with ANI, Vij said he has been urging employee leaders to abandon the strike and assist in preparing the legal case against the regulator’s order. He added that the government is prepared to invoke Section 108 of the relevant law to dismiss the order, a step he indicated could be taken immediately. Vij confirmed that he had discussed the matter with the Chief Minister and posted on Twitter that the Section 108 provision would be invoked.
Vij reported that he had spoken with the employee leaders on the same day and that the union representatives have agreed to meet in Panchkula at 3 PM. He expressed confidence that the dialogue will resolve the dispute and that the strike will end “in just a few hours.” The minister stressed that dialogue, not industrial action, is the appropriate mechanism for settling the issue.
Details of the parallel distribution licence
The HERC order granting Eleven Power a parallel licence is notable for its scale and timeline. The licence authorises a second distribution entity to operate alongside the existing one, offering consumers a choice of supplier once the new network is functional. The network rollout is planned in phases over five years, with the first phase covering Nuh. The capital investment of Rs 4,717 crore is spread across the fiscal years 2026‑27 to 2030‑31.
The regulatory framework requires the new licencee to submit a comprehensive implementation plan for the first phase and a consumer‑switching protocol within 60 days of the licence grant. The plan must detail how smart meters, digital billing, and a distribution management system will be integrated. The power mix is set to be predominantly renewable, with 80 % of electricity sourced from renewable energy and the remaining 20 % from thermal plants.
Under Section 14 of the Electricity Act, 2003, multiple distributors can serve the same geographical area, a provision that the Haryana government is now testing. Existing consumers will continue to receive electricity from the incumbent provider without any immediate action required on their part. As the new network expands, consumers will be able to switch voluntarily to Eleven Power if they prefer the new service.
The government’s legal challenge to the regulator’s decision hinges on the interpretation of the Electricity Act and the applicability of Section 108, which allows the government to set aside an order it deems inappropriate. Vij indicated that the government is ready to invoke this provision, a step that could potentially halt the parallel licence pending a judicial review.
While the strike has caused disruption across the state, the scheduled meeting in Panchkula is expected to provide a platform for both sides to discuss the way forward. Vij’s statements suggest that the administration is prepared to consider alternative solutions if presented by the employee leaders.
As the situation develops, stakeholders—including the private distributor, the incumbent utility, consumer groups and the state’s electricity regulator—will be watching closely to see whether the proposed legal and administrative actions will reshape the electricity distribution landscape in Haryana.
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