Urban local bodies struggle to maintain LED streetlights as EESL contracts end
After the expiry of the EESL contract in April, the streetlights are being managed under stop-gap arrangements by the respective ULBs.
Published Date - 14 June 2025, 08:27 PM
Hyderabad: Faced with financial constraints and inadequate support from the government, several Urban Local Bodies (ULBs) across Telangana are struggling to maintain LED streetlights in their respective jurisdictions.
Municipalities and Municipal Corporations, including the Greater Hyderabad Municipal Corporation (GHMC), had partnered with Energy Efficiency Services Limited (EESL) for the installation and maintenance of LED streetlights. Under this initiative, around 17 lakh LED streetlights were installed in 140 ULBs across the State.
The LED streetlight project which led to an annual peak power saving of approximately 193 MW has helped reduce carbon emissions by 0.81 million tonnes. GHMC alone saved nearly Rs.80 crore annually on electricity bills. The EESL contract, valid for seven years, also included free maintenance of the installed streetlights in addition to assured energy savings.
However, the contract with GHMC expired in April this year. The corporation has since decided to engage other agencies for maintaining the 5.5 lakh LED streetlights within its limits.
Similarly, EESL contracts with about 70 other ULBs also ended in April. Since then, maintenance has been managed under stop-gap arrangements by the respective ULBs. But with limited funds, insufficient manpower and lack of adequate government backing, maintaining the LED infrastructure has become a growing concern.
Interestingly, sources in the Municipal Administration department said that neighbouring Andhra Pradesh was likely to extend its contract with EESL, while Telangana is yet to take a clear decision on the matter.
A report on the issue was submitted to the government last month, and the matter is currently under consideration. A senior official said the government must decide whether to ask ULBs to engage private agencies, like GHMC, or take up maintenance on their own. Alternate mechanisms, including financial viability, are also being explored, the official added.