The concept of dividing the country in to regions by clubbing few states, emerged in seventies to envisage pit head super thermal power stations nearer to coal mines and to supply the generated power to far flung areas by high voltage transmission lines. In last forty years, electricity sector in India has grown many folds and the present power consumption in many big states has exceeded the regional level power consumption at that time. Moreover, the electricity generation from other sources such as natural gas, hydro, nuclear, wind, solar, imported coal, etc. has increased substantially and country has achieved decentralisation and diversification with respect to electricity generation and its consumption. The concept of regions is no more useful by treating the states in a region at par and outside the region differently. Many states forming boundary of a region are unable to draw/export cheaper power from adjoining regions/states due to regional bias / differentiation. Also, the electricity grid has transformed into one national grid and the emergence of single grid operation has made practically regional grids obsolete. Each state should be considered as one administrative entity/region/area for power transmission and its losses accounting and its commercial settlement as a part of national grid. Section 25 (provision to create regions) and other related sections of the Electricity Act 2003 & proposed Electricity Bill 2014 are unconstitutional in the absence of its ratification by each state.