State government rules out franchisee system in power sector Updated: Updated: Penalty to be imposed on State govts. if targets are not met Share Article Penalty to be imposed on State govts. if targets are not met The Telangana government has ruled out implementing franchisee system in power sector proposed as part of a larger privatisation move in distribution companies (DISCOMS) in the The Electricity Act 2003 (Amendment) Bill The government informed a video conference organised by Union Minister for Power Raj Kumar Singh with chairmen and managing directors of DISCOMS on Wednesday that the State Assembly had already adopted a resolution opposing the Bill and, therefore, the government is committed to it.