RERC orders separation of SLDC from STU

The Rajasthan Electricity Regulatory Commission (RERC) has ordered that the Rajasthan SLDC be separated from the state transmission utility as mandated in the Electricity Act, 2003. The commission has advised the state government to form a new government company (or any other suitable arrangement) and grant it functional autonomy. The state government should, therefore, in compliance with the Rajasthan State Electricity Distribution Management Responsibility Act, 2016, immediately form a separate company to operate the Rajasthan SLDC. The RERC has also directed Rajasthan RajyaVidyutPrasaran Nigam Limited that until the SLDC is separated from it, the latter should be given financial and functional autonomy, which should be ensured through an independent governance structure, separate accounting, adequate infrastructure for performing all the functions (system operations as well as market operations), and adequate skilled manpower.