Delhi residents have the right to know how regulatory assets grew and who benefited, said Power Minister Ashish Sood.
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The Delhi government has asked the Comptroller and Auditor General of India (CAG) to undertake a “strict and intensive audit” of the circumstances in which three electricity distribution companies or discoms — BSES Rajdhani Power Limited (BRPL), BSES Yamuna Power Limited (BYPL) and Tata Power Delhi Distribution Limited (TPDDL) — have continued operating despite the non-recovery of regulatory assets. “The audit shall extend to all matters incidental or ancillary to, or necessary for, conducting the aforesaid audit in accordance with law,” read the order issued by the Delhi government’s Power Department.It seeks the completion of the audit within three months unless CAG seeks an extension considering the “scope and complexity” of the exercise.The order, dated July 1 and made public on Thursday, comes at a time when ₹38,500 crore in accumulated regulatory assets is set to be recovered from consumers.Regulatory assets are costs incurred by discoms that are not recovered in the current bills but are recognised as recoverable from consumers through future tariffs.As per officials, power tariffs in Delhi have not been revised since 2014-15, leading to the accumulation of costs over the years.Apex court orderIn August last year, the Supreme Court had directed a “strict and intensive audit of the circumstances in which the Distribution Companies have continued without recovery of Regulatory Assets”.Speaking to the media on Thursday, Power Minister Ashish Sood said the direction for the CAG audit marked a “historic moment” for transparency, accountability and governance reforms in Delhi’s power sector and hailed the “victory of electricity consumers and honest taxpayers”.“For years after the power sector’s privatisation, many financial decisions, special arrangements and growing liabilities escaped proper public scrutiny. The previous AAP (Aam Aadmi Party) government chose to protect the system instead of examining it. What they failed to do in 10 years, our government has initiated within a few months,” said the Minister.He added that the people of Delhi have every right to know how regulatory assets worth nearly ₹38,000 crore kept growing and who benefited while this burden continued to mount on citizens.“This is not just about looking into the past. This audit is the foundation for governance reforms in Delhi’s power sector. Its real success will be measured by the corrective actions, stronger regulation and greater accountability that follow. The audit will bring out the facts,” he said.‘Transparent system’Mr. Sood added that the government expects full cooperation from all discoms and a commitment to cleaning up the power sector and building a system that is transparent, accountable and works only in the public interest.Responding to the development, a BSES spokesperson said the issue of the Delhi government-ordered CAG audit is currently sub judice. “As the matter is under judicial consideration, it would not be appropriate to comment further,” said the spokesperson. Published - July 03, 2026 12:55 am IST
