The Indian government is introducing a reform to allow multiple electricity suppliers to use the same distribution network, aiming to improve service quality, reduce infrastructure duplication, and give consumers choice.The draft National Electricity Policy-2026, under consultation, seeks to phase out monopolies in power distribution.Officials highlight that the current system leads to redundant infrastructure, higher costs, and inefficient resource use.Mumbai is cited as a successful example where consumers have chosen suppliers for years.

Union Power Minister Manohar Lal emphasized that competition will drive better service, reliability, and innovation while optimizing existing infrastructure.The proposal lets new licensees use existing networks by paying regulated charges, while existing providers retain their networks.This move is expected to attract fresh investment and ensure fairer pricing for consumers.The policy reflects a shift towards a consumer-centric approach, mirroring choices in telecom and aviation sectors.