Adani, Tata Power Target ₹50K Cr UP Discom Deal

Nandini Gupta
3 Min Read
Highlights
  • Adani, Tata Power, ReNew, Greenko, and others in race for UP discoms.
  • Target discoms generate over ₹50,000 crore annually.
  • Privatization aims to cut losses and boost efficiency.
  • Deal process could conclude by Diwali 2025.

In a major shake-up of India’s power distribution landscape, eight prominent private energy players, including Adani Group and Tata Power, are competing to acquire a 51% stake in two state-run electricity distribution companies (discoms) in Uttar Pradesh:

  • Purvanchal Vidyut Vitran Nigam Ltd (PUVVNL)
  • Dakshinanchal Vidyut Vitran Nigam Ltd (DVVNL)

These two discoms collectively account for over ₹50,000 crore in annual revenue, making this one of India’s biggest privatization opportunities in the power sector to date.

The Bidders’ Lineup

Joining the Adani–Tata Power duo in this high-stakes race are six more heavyweights:

  • CESC (RP-Sanjiv Goenka Group)
  • ReNew Energy Global
  • Torrent Power
  • Serentica Renewables (backed by Sterlite Power)
  • Greenko Group
  • GMR–EDF consortium

All eight have submitted their expressions of interest (EoIs) and are expected to receive the Request for Proposal (RFP) by July 2025.

What Makes This Deal Significant?

This isn’t just another acquisition—it’s a strategic land grab in India’s most populous and politically crucial state.

  1. Expansion Play: For private players, the deal offers an unprecedented opportunity to expand electricity distribution networks in northern India.
  2. Privatization Drive: The move aligns with India’s broader push to privatize discoms, reduce technical and financial losses, and improve operational efficiency.
  3. Scale of Operation: With ₹50,000+ crore in revenues, the scale and potential of these discoms make this a transformational deal—not just for UP, but for India’s entire power distribution sector.

Tata Power’s Official Confirmation

Tata Power has publicly confirmed its participation. Already active in Delhi, Mumbai, Odisha, and Ajmer, the company sees Uttar Pradesh as a key market to consolidate its national distribution footprint.

Advisory & Timeline

Grant Thornton Bharat LLP has been appointed as the transaction advisor. According to early estimates, the bidding and evaluation process could conclude by Diwali 2025, making this a closely watched deal across the corporate and policy spectrum.

Bottom Line

As India continues to overhaul its power sector, the privatization of UP’s discoms could become a model for future state-level reforms. With top-tier players battling for control, this deal could reshape electricity access, pricing, and reliability for millions across Uttar Pradesh.

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