PRIVATISATION OF PUBLIC SECTOR UNDERTAKINGS: A CRITICAL ANALYSIS OF EMPLOYMENT, SOCIAL EQUITY, AND PUBLIC ACCOUNTABILITY – A CASE STUDY OF TATA POWER'S PROPOSED ENTRY INTO KARNATAKA'S ELECTRICITY DISTRIBUTION SECTOR

Privatization of Public Sector Undertakings (PSUs) is the most debated aspects of economic reform in India. Since the liberalization policies of 1991 the Government of India has continuously encouraged to increase the private sector participation in sectors traditionally dominated by state-owned enterprises. The electricity sector represents a significant area of such reform, particularly following the enforcement of the Electricity Act, 2003. A recent development is Tata Power's proposal to obtain an electricity distribution license in Karnataka and compete directly with the Bangalore Electricity Supply Company (BESCOM), HESCOM, CESCOM, MESCOM a Government owned electricity distribution companies. It generated significant debate regarding the upcoming of public utility governance. This paper critically analyses the consequences of PSU privatization from the perspectives of employment, social equity, and public accountability. Using Tata Power's proposed entry into Karnataka's electricity distribution market as a contemporary case study, the research evaluates the potential benefits and High risks can be brought to a country or an industry when increased private ownership or private debt is seen. Participation in essential public services. The current study discusses that while privatization may enhance efficiency, innovation, and service quality, it may also generates various challenges relating to labor welfare, equitable access to services, affordability, transparency, and democratic accountability. The paper concludes that successful privatization requires robust regulatory frameworks capable of balancing market efficiency with public welfare objectives. KeywordsPrivatisation, Public Sector Undertakings, Tata Power, BESCOM, Electricity Act 2003, Employment, Social Equity, Public Accountability, Regulatory Governance.