A ₹4,717 crore proposal could make Gurugram only the second major Indian city with competing electricity distribution networks.
GURUGRAM: Eleven Power Private Limited, part of the diversified Eleven Group led by Medanta co-founder Sunil Sachdeva, has petitioned the Haryana Electricity Regulatory Commission for a 25-year licence to build a competing, renewable-focused electricity distribution network across Gurugram and Nuh. The proposed ₹4,717 crore investment would mark the largest private power distribution project ever pitched in the state, introducing the possibility of consumer choice in a market currently served exclusively by the state utility, DHBVN.
If approved, this would be only the second large-scale example of parallel electricity distribution in India, following Mumbai’s model where Tata Power has operated alongside incumbent utilities since 2014. For a rapidly growing commercial hub like Gurugram, the prospect of a modern, smart-grid alternative is an encouraging signal of how India’s power sector could evolve.
The Consortium
Recognising that it lacks an independent track record in distribution, Eleven Power has assembled a consortium of experienced partners to strengthen its technical credibility. Vision India Services brings direct retail billing experience from prior work with Haryana’s own state discoms and Tata Power’s joint ventures in Odisha. HEC Infra Projects contributes high-voltage grid construction expertise, including South Asia’s largest battery energy storage deployment. Advait Energy Transitions adds over fifteen years of transmission experience under the government’s own distribution modernisation scheme. Together this partnership structure reflects a thoughtful approach to compensating for the parent company’s newness in the sector by bringing in proven operational capability.
On funding, the company has submitted solvency certificates worth ₹2,000 crore from IndusInd Bank and 360 One Prime, alongside a proposed debt-equity structure common to utility-scale infrastructure projects. This gives the regulator concrete financial instruments to evaluate rather than relying purely on projections.
Regulatory Scrutiny
The Haryana Electricity Regulatory Commission has responded to the application with exactly the kind of rigorous, methodical review that a project of this scale warrants. In its interim orders through May and July this year, HERC raised pointed questions about capital adequacy, infrastructure readiness and the need to ensure all consumer categories are served fairly, not just high-yield commercial pockets. Rather than a roadblock, this is a healthy sign of regulatory diligence working as intended, ensuring that any new entrant into a sensitive public utility space meets a high bar before receiving approval.
To strengthen this process further, HERC has constituted an independent three-member expert committee comprising veteran power sector professionals with deep experience across state utilities in Haryana, Himachal Pradesh, Uttar Pradesh and Odisha. Their mandate to deliver a comprehensive recommendatory report reflects a considered, evidence-based approach to a decision with long-term implications for the region’s power infrastructure. While questions have been raised about one committee member’s past administrative role, the broader committee’s collective expertise positions it well to deliver a balanced technical assessment.
The Legal Pathway
Parallel distribution licensing has existed under the Electricity Act since 2003, specifically to allow competition to emerge in India’s power sector over time. Mumbai remains the clearest proof that this model can work at scale and while replicating it elsewhere has taken time, that is a natural feature of any market opening up to competition in a capital-intensive, safety-critical sector.
Encouragingly, policymakers are already working to smooth this path further. The draft Electricity (Amendment) Bill of 2025 proposes allowing new licensees to use shared distribution infrastructure rather than requiring entirely duplicate networks, a change that would meaningfully reduce the capital burden of future parallel licensing bids and make competitive entry more viable across Indian cities.
What This Means for Gurugram
For a fast-growing region like Gurugram, where industrial and commercial power demand continues to rise sharply, the prospect of an additional well-capitalised, renewable-led distribution player is a genuinely constructive development. Increased competition in utility services has historically driven improvements in reliability, customer service and technology adoption, benefits that could extend well beyond the immediate consumers who choose to switch providers.
The presence of an experienced infrastructure consortium, credible financial backing and a regulator conducting careful due diligence together suggest that whatever the final outcome, this process is strengthening the broader framework for how private participation in India’s power distribution sector can be evaluated going forward. With the expert committee’s report expected soon, the coming weeks will offer important clarity on how India’s power markets continue to open up to competition and innovation.
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