Kalyan: The Workers’ Federation has strongly opposed the Maharashtra government’s proposal to list the state-run Mahavitaran Power Company on the stock market, alleging that the move is a “backdoor step towards privatisation”.

Mahavitaran, under the Maharashtra government, supplies subsidised and uninterrupted electricity to 3.17 crore consumers and around 44 lakh farmers across the state. The federation said the company has developed a 3 lakh km distribution network and achieved 99 per cent coverage, while employees, engineers and officers have collectively built assets worth nearly Rs 3 lakh crore.

The union also recalled assurances made during a statewide strike against privatisation, stating that Deputy Chief Minister and Energy Minister Devendra Fadnavis had confirmed that no privatisation of power utilities would take place.

On April 7, the Maharashtra government approved the bifurcation of Mahavitaran into two entities—one serving industrial, commercial and residential consumers, and another focused on agriculture under M.S.E.B. Solar Agro Power Limited. The government has said it will assume responsibility for arrears of 44 lakh farmers and agricultural pump owners, thereby easing the financial burden on the distribution company.

However, the federation argued that listing Mahavitaran through an Initial Public Offering (IPO) would reduce government ownership and gradually open the door for private participation. It claimed that even if initial dilution is limited, further stake sales through Follow-on Public Offers (FPOs) could increase private control over time, as seen in other public sector undertakings.

The workers’ body warned that such a move would shift Mahavitaran from a public service utility to a profit-driven entity, weakening its social responsibility and public accountability. It has demanded that the government withdraw the IPO proposal and maintain full public ownership of the power distribution company.