Press Release of All India Power Engineers’ Federation (AIPEF)
ALL INDIA POWER ENGINEERS FEDERATION
Press Release, August 27, 2025
UP Power Corporation and DISCOMs Paid ₹1.30 Crore to DISCOM Association: Under What Pretext Are Payments Being Made to DISCOM Association While Citing Losses for Privatization? – AIPEF
The All India Power Engineers Federation (AIPEF) revealed today that on June 3, 2025, the Uttar Pradesh Power Corporation (UPPCL) and the five electricity distribution companies (DISCOMs) of Uttar Pradesh paid ₹1 crore 30 lakh 80 thousand to the All India DISCOM Association. AIPEF Chairman Shailendra Dubey has questioned how, on the one hand, the Power Corporation management justifies the privatization of DISCOMs by citing financial losses, while on the other hand, it donates crores of rupees to a private entity like the All India DISCOM Association, raising serious concerns.
The AIPEF has demanded that Chief Minister Yogi Adityanath order a high-level investigation into the formation of the All India DISCOM Association and the payments made to it by UPPCL and the DISCOMs. Additionally, considering the conflict of interest, AIPEF has demanded that UPPCL Chairman Dr. Ashish Goyal be directed to either resign from his position as General Secretary of the All India DISCOM Association or be removed from his post as UPPCL Chairman.
The AIPEF stated that the formation of the All India DISCOM Association and the visible amount of donations is merely the “tip of the iceberg.”
They alleged that there is a massive scam behind the privatization of Purvanchal Vidyut Vitran Nigam and Dakshinanchal Vidyut Vitran Nigam. To protect Uttar Pradesh’s energy corporations from a major scam, they demanded the immediate cancellation of the privatization decision for these two DISCOMs.
AIPEF reiterated its allegation that the All India DISCOM Association is operating a parallel administrative system within the DISCOMs and is fully facilitating their privatization.
AIPEF claimed that the formation of the All India DISCOM Association is backed by major corporate houses in the country and was established specifically to promote the privatization of DISCOMs. The appointment of a private sector representative as the treasurer of the Association further supports this claim. Several private electricity distribution companies are part of this Association and play a significant role in preparing documents for privatization in Uttar Pradesh and other states.
The AIPEF disclosed that UPPCL paid ₹10 lakh for membership in the All India DISCOM Association, along with ₹1.80 lakh as GST, totaling ₹11.80 lakh. Additionally, an initial contribution of ₹10 lakh was made separately. Thus, UPPCL paid a total of ₹21.80 lakh to the All India DISCOM Association on June 3, 2025. Similarly, on the instructions of UPPCL, Purvanchal Vidyut Vitran Nigam, Dakshinanchal Vidyut Vitran Nigam, Paschimanchal Vidyut Vitran Nigam, Madhyanchal Vidyut Vitran Nigam, and KESCO each paid ₹21.80 lakh to the All India DISCOM Association on the same date.
In total, UPPCL and the Uttar Pradesh DISCOMs collectively paid ₹1 crore 30 lakh 80 thousand to the All India DISCOM Association.
AIPEF demanded that UPPCL clarify whether prior approval was obtained from the Uttar Pradesh Electricity Regulatory Commission for this payment of ₹1.30 crore. If no approval was sought, what is the basis for including this donation in expenses and passing the burden onto consumers? They questioned the morality of donating crores of rupees to a private entity under the pretext of losses and then burdening ordinary consumers with the cost.
The AIPEF further noted that a letter dated August 1 from the Director General of the All India DISCOM Association, retired IAS officer Alok Kumar, confirms that 39 DISCOMs across the country have already taken membership in the Association. If each DISCOM has paid a minimum of ₹21.80 lakh, the All India DISCOM Association has collected approximately ₹8 crore 50 lakh 20 thousand in donations so far.
The AIPEF alleged that crores of rupees are being collected in the name of privatization, leading to rampant corruption.
Shailendra Dubey
Chairman
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