Operational Performance of Power sector in Punjab: An Analysis of Pre and Post Corporatisation

The power sector is one of the most critical growth drivers for any country. The power sector in India is highly regulated by the government and is dependent on the policies framed regarding bidding for power projects, regulations regarding transmission of power between states and pricing of power supply to consumer is also decided by the government. As in the case of power sector in Punjab, the unbundling of this sector was initiated under the Electricity Act 2003. After the restructuring in power sector of Punjab, it was divided in to two corporations named Punjab State power Corporation Limited (PSPCL) and Punjab State Transmission Corporation Limited (PSTCL) from erstwhile Punjab State Electricity Board (PSEB).The main aim of this reform was to enhance the operational and financial performance of power sector in Punjab.