BEST has opposed Adani Electricity’s application for a power distribution licence in Dharavi, warning that the move could lead to the migration of nearly 87,000 existing consumers and weaken the civic utility’s position in the area as redevelopment progresses.
BEST general manager Sonia Sethi announced the formation of a dedicated task force at a committee meeting on Monday. The task force is expected to submit an action plan within a month to improve the utility’s competitiveness and retain consumers within its existing jurisdiction.
“We have two objectives: prevent consumer migration from our existing jurisdiction such as Dharavi and also how to extend our scope of electricity distribution in other areas such as suburbs,” Sethi said.
The undertaking has submitted objections to the Maharashtra Electricity Regulatory Commission against Adani Electricity’s application and plans to defend its position at the upcoming hearing. The commission’s proceedings will determine whether Adani can secure a distribution licence for Dharavi, which currently falls within BEST’s island-city service area.
BEST officials said the utility already operates an established network in Dharavi, including receiving stations, substations and an extensive cable system. Deputy general manager S P Makwana said BEST currently serves nearly 87,000 consumers in the area and expects that number to rise substantially after the redevelopment project is completed.
“If this area is given to Adani Electricity, it will be a huge loss to BEST. We have nearly 87,000 consumers in Dharavi today and the number is expected to increase substantially after the redevelopment project is completed,” Makwana said.
A senior BEST official said creating a parallel distribution system would not be necessary because the civic utility had already invested in infrastructure in Dharavi. BEST has also objected to plans that could result in the removal or displacement of its existing power and cable installations during redevelopment.
The Dharavi redevelopment project is being executed by Adani Navbharat Developers Private Ltd, a special purpose vehicle in which the Adani Group holds an 80% equity stake through the Slum Rehabilitation Authority. The project is being undertaken by the Maharashtra government.
Adani Electricity has more than 31 lakh consumers in Mumbai’s suburbs and has applied to enter Dharavi, which is located in the island city. Adani officials were unavailable for comment on BEST’s objections.
BEST is also examining ways to expand its electricity distribution network into Mumbai’s eastern and western suburbs, including new housing societies. The utility is preparing a feasibility report and considering incentives for consumers as part of its broader response.
BEST currently serves around 10.8 lakh consumers and added nearly 5,500 new consumers in the past year, according to officials. The next MERC hearing is expected to determine the immediate direction of the licence dispute and the future distribution arrangement for redeveloped Dharavi.
