Bowing to demands by unions, the Chhattisgarh government Thursday put off its decision to trifurcate the Chhattisgarh State Electricity Board (CSEB).

Chief Minister Raman Singh held a meeting with representatives of various electricity employees unions late Wednesday and deferred the plan to trifurcate the profit-making CSEB, according to an official.

The government conceded to the demand by the unions to undertake a detailed study of reforms in the power sector in states where the governments had trifurcated the state electricity boards to fulfil a provision of the Electricity Act, 2003.

The decision to put off the division is widely seen as a victory of the unions, which had maintained pressure on the state government and threatened to go on indefinite strike if it pushed ahead with the trifurcation.

The government has decided to drop the division till a consensus is not achieved, said an energy department official.

The Electricity Act, 2003, promises to usher in sweeping changes by providing a legal framework for enabling reforms and restructuring of the power sector. It is based on the principles of promoting competition, protecting consumers' interests and providing power to all.