New Delhi, July 24 -- The consultative committee of the power ministry discussed a proposed framework to allow multiple power distribution companies (discoms) to supply power through existing distribution networks across states, an official statement said on Friday.

The current legal framework permits more than one distribution licensee in the same area, but it requires each licensee to establish its own distribution network.

The statement noted that this results in duplication of poles, lines and substations, increases capital expenditure, and discourages fresh investment, ultimately leading to inefficient utilisation of resources.

"The proposed framework seeking to enable competition in electricity supply without requiring duplicatio...