(ET)
The Centre plans to take a major initiative in the power sector with an ordinance to ensure sanctity of contracts, restrict cross-subsidisation of consumers and force utilities to pay their bills on time, a move that can go a long way in making electricity generation and distribution attractive for investors.
The planned ordinance would also deal with crucial issues of independence of electricity regulators and quick finalisation of tariffs based on costs – measures that were originally planned as amendments to the Electricity Act of 2003. States have been opposing these amendments for the past 3-4 years.
