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Rewiring power reforms
Business Standard
|January 28, 2026
Discom profitability is an encouraging start
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State power distribution companies’ (discoms’) return to profitability after a decade of being in the red offers hope that reform, which has eluded this sector, is finally paying off.
In 2024-25, discoms collectively recorded profits of 2,701 crore, a major turnaround from the losses of %25,553 crore in 2023-24. Chronic loss-making discoms in states such as Punjab, Bihar, Kerala, Himachal Pradesh, and Madhya Pradesh all turned in profits for FY25. Behind this encouraging performance are a host of little-noticed but significant decisions that forced a degree of much-needed financial discipline among discoms.
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