Tuesday, November 25, 2025

Telangana Cabinet approves establishment of third DISCOM

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Hyderabad – 25 Nov ( LatestNewsX ) – The Telangana cabinet has approved setting up a third power distribution company (DISCOM) in addition to the two that are already operating in the state.

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This new DISCOM will cover all agricultural connections, lift irrigation projects, Mission Bhagiratha, safe drinking water schemes, and the Hyderabad Metro Water Supply and Sewerage Board’s power lines.

At present, Telangana operates two DISCOMs: Northern Power Distribution Company Limited (NPDCL) and Southern Power Distribution Company Limited (SPDCL).

During the cabinet briefing, Industry Minister D. Sridhar Babu explained that the cabinet carefully examined the rising demand for electricity, the projected supply needs over the next decade, and the anticipated power generation figures.

The cabinet agreed to boost renewable electricity usage and has decided to open tenders immediately for 3,000 MW of solar power.

These tenders will be framed as time‑bound contracts, each lasting five years.

The cabinet also noted a need for more pumped‑storage capacity and will tender contracts for 2,000 MW of pumped‑storage power.

Permission will be granted to companies and investors to build pumped‑storage plants, and existing MoUs with DISCOMs will be reviewed.

Ultimately, the cabinet has authorized the development of 10,000 MW of pumped‑storage generation sites across the state.

The government will allocate land and provide water to interested firms, and any electricity produced will be sold first to state DISCOMs under a formal agreement.

In line with the Clean and Green Energy Policy, newly set‑up industries can now generate their own power. New businesses applying for captive power plants will receive immediate approval, with no ceiling on generation capacity.

The cabinet also directed the construction of an 800 MW plant at Ramagundam Thermal Power Station under NTPC. Officials were asked to assess the feasibility of additional NTPC plants at Palvancha and Maktal.

An underground cabling system is being planned for Hyderabad, modeled after Bangalore’s network, with an estimated cost of about ₹14,725 crore for the GHMC area.

Finally, Hyderabad will be divided into three electrical zones, and all T‑Fibre and cable network wires, as well as power lines, will be buried underground.



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