ML Khattar appointed as power minister in Modi’s third term, replaces RK Singh

New Union power minister Manohar Lal Khattar

Mohan Lal Khattar, who took oath as the cabinet minister on June 9, has been appointed as the Union minister of power in Prime Minister Narendra Modi-led national democratic alliance's third term. Khattar, a candidate from BJP, had won the Karnal constituency in the Lok Sabha elections.

Khattar has also been appointed as the minister of housing and urban affairs.

On June 9, Modi took oath as the Prime Minister of India for the third consecutive term. Besides Modi, 71 council of ministers also took oaths including 30 cabinet ministers, five ministers of state with independent charge and 36 minister of state.

Meet the Minister

Former Haryana chief minister and BJP candidate Manohar Lal Khattar won from the Karnal constituency in the Lok Sabha elections.

Khattar had resigned from the post of Haryana CM in March and later as an MLA from Karnal assembly constituency amid speculation of split between the BJP and JJP in the state.

Status check

With the rising power demand in the country amid soaring temperatures, the sector has been in the limelight over the past few months. Moreover, India’s power demand has essentially been on the rise year-on-year as well due to which the government plans to increase capacity in the country to meet demand.

To meet net-zero emissions target of India, the government aims to achieve 50 percent cumulative installed power generation capacity from non-fossil fuel sources by 2030. India will have to add about 50 GW of renewable energy capacity annually over the next five years, beginning 2024, to meet the target.

Meanwhile, the ministry also spearheads the green hydrogen initiative and rooftop solar programme relaunched by PM Modi in February. According to the renewed rooftop solar programme, the government aims to install rooftop solar panels on 1 crore houses in India. The government has announced an investment of over Rs 75,000 crore for the scheme, which would provide up to 300 units of free electricity a month to a household.

Setting the agenda for 2024-2029

The third-term of Modi is expected to focus on improving financial condition of the power distribution companies (or discoms), adding renewable capacity and prioritizing renewable sources of energy including solar, wind and green hydrogen.

“…major challenge for the (power) sector has been the implementation of distribution sector reforms. We'll have to see how it plays out because the government of India has been pushing to take up these reforms in terms of reducing the AT&C losses, improving collection efficiency, rationalizing subsidy burden, adopting DBT for subsidy and ensuring that there is timely pass-through of cost variations to the consumers,” said Vikram V, Vice President & Co-Group Head, Corporate Ratings, ICRA.

Additionally, investment in power transmission segment is also expected to be one of the key priorities for the power ministry under the new government.