The Power Foundation of India (PFI), in collaboration with REC Limited, has officially released the “First Report on the Rating of Regulatory Performance of States and Union Territories 2025”, in which Punjab has emerged as top performer.
This assessment, supported by the Ministry of Power, evaluates the effectiveness, transparency, and financial discipline of power regulators across 35 states and Union territories.
The information utilised in preparation of this report is sourced directly from the regulations, tariff and true-up orders and other relevant orders issued by states/UTs till March 31, 2025.
The report evaluates performance across five core pillars: resource adequacy (assessing long-term power supply reliability), financial viability of DISCOMs, ease of living/doing business, energy transition and regulatory governance
The national landscape shows a high level of regulatory compliance in some regions, while others lag significantly. Fourteen states/UTs achieved the top distinction (Grade A -80-100 marks) and 10 fall into Grade B (60-80 marks).
Punjab (97 marks) ranked at the top followed by Karnataka (96 marks), Haryana (88.5 marks) and Himachal Pradesh (88 marks)
Due to the tariff reduction, Punjab achieved a revenue surplus of ₹312 crore, leading to a 0.65% reduction in electricity tariffs for FY 2025-26—one of the few states to provide direct relief to consumers. This generates maximum points for Punjab as it highlighted overall performance as efficiency.