homevideos Newsenergy NewsPrivatisation of discoms attractive but only franchise model restrictive, says Tata Power
Privatisation of discoms attractive but only franchise model restrictive, says Tata Power
As the beleaguered power sector expects reforms from the government, Ramesh Subramanyam, CFO, Tata Power, in an interview with CNBC-TV18 on Monday, said that privatisation of distribution companies (discoms) will be attractive for the industry but just implementing franchise model is restrictive and will not solve the problem.
Talking about the impact of separation of carriage and content in the power sector, he said, “In theory and more or less in practice, it is a perfect thing. I think it will take some time before we see the results... states have to get used to this completely new concept and it is going to be another big change management."
“For any private player, who is interested in distribution, if full-fledged privatisation is not there then the next best option is a franchise. From a management perspective and from an interest perspective, privatisation is clearly preferred because you have the whole ecosystem in control. Therefore you can make large scale changes,” he added.
First Published: Sept 16, 2019 12:53 PM IST
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
2024 Lok Sabha Elections | Will Amethi and Rae Bareli see the rise of Priyanka Gandhi as a dominant political figure
May 18, 2024 8:59 AM
Lok Sabha Election 2024: I.N.D.I.A. bloc to hold rally at Mumbai's BKC today
May 17, 2024 5:18 PM
In Ayodhya, voters talk of a promise fulfilled and yearning for development
May 17, 2024 2:10 PM
Fight of heavyweights in Sambalpur where farmers, weavers hold the key
May 17, 2024 12:25 PM