The Department of Energy was created on 24th April, 1990 consequent upon bifurcation of the erstwhile Irrigation and Power Department. Orissa is the first State in the Country to take up Power Sector Reform to ensure stable and quality power at a reasonable cost. The Energy Department has Public Sector Undertakings viz: Grid Corporation of Orissa Limited (GRIDCO), Orissa Power Transmission Corporation Ltd (OPTCL), Orissa Hydro Power Corporation Limited (OHPC) and Orissa Power Generation Corporation Limited (OPGC) under its Administrative control. The Orissa Electricity Regulatory Commission(OERC), which is a quasi-judicial independent body, ensures a transparent regulatory regime in the power sector of the State.

To govern various aspects of the power sector coordinating with all central and state-level power utilities in a manner that the resources and activities are judiciously targeted towards the betterment of the society.

• Formulates plans, policies, acts, rules and undertakes developmental activities.
• Inspects and certifies all electrical installations in the state for adherence/compliance to acts, rules and safety standards. Collects electricity duty against energy sold.
• Investigates for expansion of generation, transmission and utilization of electricity