Press Note of Maharashtra State Electricity Workers Federation
Date: 30.12.2026
Press Note, Mumbai
Maharashtra State Electricity Workers Federation strongly opposes the decision to appoint franchisees in 13 circles of Mahavitaran company, leading to privatization.
The management of Mahavitaran company has decided on December 15, 2025, to appoint private capitalist companies on a franchise basis in 13 electricity distribution circles, thus extensively privatizing the distribution sector. These 13 circles include the cities of Jalna, Chhatrapati Sambhaji Nagar city and rural, Nanded, Parbhani, Hingoli, Washim, Akola, Buldhana, Yavatmal, Solapur, Dharashiv, and Beed. The Workers Federation has strongly opposed Mahavitaran management’s privatization decision.
No Privatization – Hon. Chief Minister and Energy Minister
The Workers Federation has also reminded the Mahavitaran management that on January 4, 2023, in the backdrop of the strike called by 27 trade unions in the power sector on the issue of privatization, after negotiations held at Sahyadri Guest House with the trade unions in the presence of the power companies’ management, Hon. Devendra Fadnavis, the then Deputy Chief Minister/Energy Minister and current Chief Minister, had announced in a joint press conference that there would be no privatization of any kind in the distribution, transmission, and generation companies, and that the government would provide financial assistance of Rs. 50,000 crore to the power companies. During the statewide 24-hour strike on October 9, 2025, the Mahavitaran management had given a written assurance on October 6 that ‘there will be no privatization of any kind’. The Workers Federation alleges that the management broke its promise by taking the franchise decision, despite giving assurances to the employee and engineers’ unions.
Franchise Model a Failure Across India and Maharashtra
The Federation states that despite the reality of the franchise model being a complete failure in Maharashtra’s power distribution sector, the insistence on repeatedly experimenting with privatization through franchise companies is being done for the benefit of private capitalists and corporate companies. The failure of the franchise model across the country and in Maharashtra is evidenced by the fact that franchise companies in Aurangabad, Nagpur, and Jalgaon previously fled before the completion of their contract terms. Even at the national level, franchise companies in Odisha and Uttar Pradesh faced similar difficulties.
MSEDCL (Maharashtra State Electricity Distribution Company Limited) supplies electricity at subsidized rates to farmers, tribals, those below the poverty line, power loom operators, and other electricity consumers, fulfilling its social responsibility. Despite political interference in recovering outstanding dues from various consumers and granting subsidized electricity waivers to select industries, MSEDCL is in profit by Rs. 478 crore, MahaTransco (Maharashtra State Electricity Transmission Company Limited) by Rs. 1500 crore, and MahaGenco (Maharashtra State Power Generation Company Limited) by Rs. 100 crore. Comrade Mohan Sharma, President, and Comrade Krishna Bhoyar, General Secretary of the Maharashtra State Electricity Workers Federation, have levelled a serious accusation, asking for whose benefit the management is pursuing the privatization process in these profitable companies.
The Workers Federation has appealed to the MSEDCL management to revoke the decision of privatization through franchising.
– Mohan Sharma (President) Krishna Bhoyar (General Secretary)
Maharashtra State Electricity Workers Federation