Major corporate players are preparing to make their mark on the Himachal Electricity Board, as the central government’s ambitious Rs 3,700 crore Restructured Distribution System Strengthening (RDSS) project paves the way for their entry into the state. With a primary focus on installing smart meters and ensuring efficient maintenance, the tender process for the project has attracted considerable attention, with multiple firms, including industry leaders, vying for the opportunity to take part in this transformative endeavour.
The Himachal Electricity Board has invited tenders for the northern, southern, and central zones of the state, seeking a firm to oversee the installation of smart meters across Himachal. Each smart meter is projected to cost around Rs 10,000, with the central government providing a subsidy of Rs 1,350 per meter to the electricity board. The RDSS project has allocated a total of Rs 3,700 crore.
Out of this budget, approximately Rs 1,900 crore will be utilized for the procurement and installation of smart meters, while Rs 1,800 crore will be allocated for necessary maintenance work. The central government has agreed to cover 90% of the maintenance costs. However, the financial responsibility for the smart meters, amounting to Rs 1,500 crore, will lie with the State Electricity Board.
The Electricity Board Employees Union has expressed opposition to the ongoing tender process, calling for its suspension. Although the tender process faced a temporary halt previously, it has since resumed and is now nearing completion. Harikesh Meena, the Acting Managing Director of the Electricity Board, has assured a prompt conclusion to the tender process.
