KERC Mandates Aadhaar e-KYC for New Electricity Connections in Bescom Jurisdiction

The Karnataka Electricity Regulatory Commission (KERC) has issued an order making Aadhaar-based electronic Know Your Customer (e-KYC) authentication mandatory for all new electricity connections within the Bangalore Electricity Supply Company Limited (Bescom) area. The move follows a request from Bescom aimed at streamlining identity and address verification for applicants, including domestic, commercial, and agricultural consumers.

As per the order, every individual seeking a new electricity connection must furnish their Aadhaar number and complete e-KYC authentication, in addition to submitting other prescribed documents for identity and address proof. The process involves the applicant providing their Aadhaar number, after which a One-Time Password (OTP) is sent to the mobile number linked with the Aadhaar database. Upon entering the OTP, the applicant's identity is electronically verified.

The new regulation applies uniformly to all categories of applicants—households, businesses, and farmers—and is intended to enhance the efficiency and reliability of the verification process. KERC’s order states that the requirement is in accordance with the applicable provisions of law and notifications issued by the Central Government and the Government of Karnataka from time to time, referencing the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016.

While Aadhaar e-KYC becomes a pivotal requirement, applicants will still need to provide additional documentation such as property ownership records, rental agreements, or other official identity proofs as per Bescom’s existing guidelines. The electricity utility has clarified that the e-KYC step is designed to reduce paperwork and manual verification delays, not to replace the conventional document submission entirely.

Legal experts note that the mandate operates within the framework of the Aadhaar Act, which permits the use of Aadhaar for purposes established by law or notified by the government. However, the Act also provides that individuals who do not yet possess an Aadhaar number may offer alternative identity documents until they are assigned one. The current order from KERC does not explicitly outline such exceptions, leaving room for interpretation on how authorities will handle cases where an applicant lacks an Aadhaar number.

Bescom officials have emphasized that the e-KYC process is secure and respects data privacy, as it relies on the Unique Identification Authority of India’s (UIDAI) authentication systems that do not share biometric details with the service provider. The OTP-based verification is a one-time step conducted at the time of application.

The decision impacts a wide consumer base across Bangalore and surrounding districts served by Bescom, which is one of the largest electricity distribution companies in Karnataka. Industry observers see this as part of a broader push towards digitization of utility services, with similar Aadhaar-based verifications already in place for LPG connections, banking services, and government subsidies.

Consumers seeking new connections should ensure their Aadhaar details are updated with a current mobile number to facilitate the OTP verification. Bescom is expected to issue detailed procedural guidelines to its field offices and online application portals shortly.

While the move promises greater efficiency, it has reignited discussions about the balance between convenience and the right to privacy. Civil society groups have previously raised concerns over making Aadhaar mandatory for services not directly linked to government subsidies, citing the Supreme Court’s 2018 judgment that struck down the mandatory linking of Aadhaar to certain services. The KERC order, however, is grounded in statutory notifications, and its implementation will likely be watched closely for any legal challenges.