Proposed Electricity (Amendment) Bill 2020 violates constitutional mandate and undermines the federal structure of electricity, said Maharashtra Energy Minister Nitin Raut on Wednesday.

"With proposed amendments, it is obvious that the Federal Structure of Electricity wherein the Centre and State Governments are responsible is being interfered. By centralizing the powers, the basic intent of the Constitution is being violated and centralization of power is not desired. The intent should be towards decentralization of power for transparency and efficiency," Raut quoted as saying in an official statement.

"The Centre intends to override State Governments' responsibility in the administration of power generation, transmission and distribution. The intent should be towards decentralization of power for transparency and efficiency," he added.

"The Constitution of India under Seventh Schedule provides the powers to both the Central as well as State Governments to make appropriate laws on the matters related to electricity. However, with proposed amendments the Central government with an intention to centralise the power in its hand. Proposed the amendment which makes states weaker in the matters related to the power sector as the subject is now in the concurrent list and provides equal opportunities to both Centre and State," he added.

This comes in the backdrop of the centre asking the states to express their opinion on the proposed Draft Electricity Bill Amendment Act 2020.

He alleged that by effecting the amendment the Centre was trying to privatise distribution, transmission and generation as it was now taking various measures and policy decisions to privatise the Public Sector Units(PSUs) under various pretexts. However, its objectives were to benefit some business houses at the cost of common people on whose money the PSUs were created.

Raut has requested the Central government to withdraw draft Electricity (Amendment) Bill 2020 proposed by the Ministry of Power.