The history of power development in Rajasthan goes back to the year 1949, when 19 princely states merged to form Rajasthan. At that time, electric power, was confined to very few towns, and electricity was considered a luxury. The total number of towns and villages electrified at that time,did not exceed 42 and the installed generating capacity was only 13.27 MW. However, with the formation of Rajasthan State Electricity Board on 1st july 1957, power sector in Rajasthan received priority and power projects began to mushroom all over State. Under new Power Reforms Undertaken by State Government, RSEB was unbundled into following five Government Companies in July 2000.