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Power distribution reforms in Delhi April 2010

Power distribution reforms in Delhi, April 2010 ... - · PDF filePower distribution reforms in Delhi the New Delhi Municipal Corporation Introduction ... from 8 AM- 8 PM. Initiatives

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Page 1: Power distribution reforms in Delhi, April 2010 ... - · PDF filePower distribution reforms in Delhi the New Delhi Municipal Corporation Introduction ... from 8 AM- 8 PM. Initiatives

[Type text]

Power distribution reforms in Delhi

April 2010

Page 2: Power distribution reforms in Delhi, April 2010 ... - · PDF filePower distribution reforms in Delhi the New Delhi Municipal Corporation Introduction ... from 8 AM- 8 PM. Initiatives

Power distribution reforms in Delhi

Introduction

The electricity distribution business has

been privatized in only two states in the

country – Orissa and Delhi. The

privatization in Delhi has been

successful as far as the efficiency

improvements are concerned.

Irrespective of such efficiency

improvement, divergent views exist on

the success of privatization. Many

believe that the privatization of

distribution in Delhi has not been

effective. In this backdrop, this study

attempts to assess the privatization of the

distribution business in Delhi with the

objective of evaluating the outcome of

privatization.

Imperative for reforms in the state

Traditionally, power supply in Delhi was

the responsibility of the Delhi Electricity

Supply Undertaking (DESU), which was

an integrated utility with generation,

transmission and distribution functions

serving the entire State of Delhi except

the New Delhi Municipal Corporation

(NDMC) and Military Engineering

Services (MES) (Cantonment) areas ( to

which DESU supplied power in bulk).

Poor performance of DESU led to it

being succeeded by the Delhi Vidyut

Board (DVB) in 1997, which was

established as a State Electricity Board

under the Electricity (Supply) Act, 1948.

The creation of DVB proved to be

merely a change in the legal status of the

organisation without any structural

changes. The change did not affect the

functioning and the work culture of the

organization. Its performance continued

to deteriorate.

The power sector suffered from

problems of high technical losses due to

poor maintenance of existing

infrastructure and very little

augmentation, high commercial losses

attributable to theft, high receivables for

DVB. During FY 1995-96 to FY 1999-

2000, operating losses of DESU/DVB

rose from Rs. 578 crore to Rs. 1100

crore1. T&D losses during the same

period were around 50%. This poor

commercial performance of the DVB Figure 1: T&D losses and Commercial losses pre-reforms

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Power distribution reforms in Delhi

due to high T&D losses made it

incapable of raising the resources

required to improve its services and a

drain on the public exchequer.

The state also suffered from a severe

demand supply imbalance. Generating

stations in Delhi had an installed

capacity of 694 MW but availability was

lower at 300-350 MW. Capacity

addition remained relatively stagnant,

leading to over-dependence on

purchased power.

Not surprisingly, public discontent

continued to rise. All these factors

required that the Government of NCT of

Delhi (GNCTD) formulate a strategy to

bring about a structural change in the

Delhi Power sector. It was perceived that

the present vertically integrated structure

had failed to deliver the desired

outcomes and the time was ripe to

restructure the sector.

The reform strategy

In view of the above background, the

GNCTD brought out a Strategy Paper on

Power Sector Reforms in February 1999

for reforming the power sector in the

state. A fast track reform process was

followed that ultimately resulted in the

unbundling of DVB into seven

Companies, one Holding Company

called the Delhi Power Company

Limited, two Generation Companies,

i.e., Indraprastha Power Generation

Company Limited (IPGCL) and Pragati

Power Company Limited (PPCL), one

Transmission Company, i.e., Delhi

Transco Limited (TRANSCO) and three

Distribution Companies (DISCOMs).

Subsequently, the GNCTD issued Policy

Directions indicating its intent to

disinvest majority shareholding in the

DISCOMs to private investors with the

balance 49% remaining with the

GNCTD.

GNCTD believed that a long-term

definitive loss reduction or efficiency

gain programme was to be settled at the

very start of the privatization process to

provide certainty to private sector

investors. It further believed that to

attract the private sector investor, it

would be appropriate that reduction in

losses/efficiency gains be determined

through market forces rather than being

pre-determined unilaterally in the

bidding documents. Therefore, loss

reduction or efficiency gain to be

achieved by the distribution companies

in the first five years viz. 2002-03 to

2006-07 became the basis of

privatization or the bidding criteria for

the selection of the private entity.

GNCTD was of the view that losses of

any kind, technical, non-technical or

non-realisation of payments, ultimately,

amount to loss in revenues. Efficiency

gains must embrace all these aspects.

Therefore, losses should be measured as

the difference between the units input

and the units realised (units billed and

collected), wherein the units realised will

be equal to the product of units billed

and the collection efficiency, where,

collection efficiency is defined as the

ratio of actual amount collected to

amount billed. The difference between

the units input and the units realized are

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Power distribution reforms in Delhi

referred to as Aggregate Technical and

Commercial (AT&C) losses.

The GNCTD, as a matter of policy,

decided that the AT&C Loss shall be the

basis for determination of tariffs and also

for computation of incentives for better

performance. It asked the Delhi

Electricity Regulatory Commission

(DERC) vide Policy Directions, to

determine the opening level of AT&C

losses and the bulk supply tariff (BST)

for each DISCOM.

Privatization of Discoms

GNCTD initiated the bidding process for

selection of the private investors for each

of the three DISCOMs. Upon opening

of bids, it emerged that the loss level

trajectory as submitted by the bidders

was not in the range acceptable of the

GNCTD. Consequently, the bidders

were called for negotiations. After a

number of discussions, the bidders and

the GNCTD came to an agreement on

the accepted year-wise AT&C loss

reduction trajectory over the five year

period.

These discussions also resulted in other

changes to the terms and conditions of

privatization. Prime amongst these was

the method of computation and

treatment of over-achievement and

underachievement for the years 2002-03

to 2006-07 (see Box 1).

After the negotiations and the

incorporation of resulting changes,

revised bids were submitted by the

bidders. Consequent to this round of

bidding GNCTD appointed TATA

Power as the distribution utility for the

North & North-West circle and BSES

Box 1: Computation and treatment of over/under achievement of target AT&C loss levels

i) In the event the actual AT&C loss of a distribution licensee in any year is better (lower) than the

level based on the minimum AT&C loss reduction levels stipulated by the Government for that

year the distribution licensee shall be allowed to retain 50% of the additional revenue resulting

from such better performance. The balance 50% of additional revenue from such better

performance shall be counted for the purpose of tariff fixation.

ii) In the event the actual AT &C loss of a distribution licensee in any year is worse (higher) than

the level based on the AT&C loss reduction levels indicated in the Accepted Bid for that year,

the entire shortfall in revenue on account of the same shall be borne by the distribution licensee.

iii) In the event the actual AT&C loss of a distribution licensee in any year is worse (higher) than

the level based on the minimum AT&C loss reduction levels stipulated by the Government for

that year but better (lower) than the level based on AT&C loss reduction levels indicated in the

Accepted Bid for that year, the entire additional revenue from such better performance shall be

counted for the purpose of tariff fixation.

Provided further that for paras (i), (ii) and (iii) above, for every year, while determining such

additional revenue or shortfall in revenue the cumulative net effect of revenue till the end of the

relevant year shall be taken, in regard to over-achievement/underachievement and appropriate

adjustments shall be made for the net effect.

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Power distribution reforms in Delhi

for two circles – Central & East and

South & West. The opening loss levels

as well as the loss reduction trajectory

that were accepted by the investors for

each DISCOM and the minimum AT&C

loss reduction level as indicated in the

accepted bids are as shown in Table-1.

The three Distribution Companies were

privatized with effect from July 1, 2002.

Initiatives taken post-reforms

The Discoms undertook a number of

initiatives to bring about changes in the

distribution business and achieve the

reduced loss level targets set for

privatisation.

Initiatives taken by NDPL

Automation Initiatives & GIS

NDPL embarked on automating all its 66

kV & 33 kV Grids and in line with the

same has already automated 34 grids

with a view to operate all equipments

from Central command center. This has

expedited the resolution time for faults.

The entire electrical network has been

mapped through GIS for enabling

quicker fault location, speedy redressal

and the Outage Management System is

being upgraded to be automated on GIS

platform.

Complaint Management System

NDPL has a unique SMS based Fault

Management system using GSM which

ensures that the „No supply‟ complaints

lodged by a consumer gets addressed

quickly and consumer feedback is also

institutionalized as part of the process.

NDPL had a very rudimentary consumer

care facilities in July 2002. Each of the

12 districts now has an online consumer

care center each handled by Customer

Care Executives under the supervision of

Customer Relation Officers and

Customer Service Officers.

Online connection management by

consumer

NDPL uploaded the Billing details of all

its consumers on its website

www.ndpl.com. Consumers can view

their Bill, know the consumption pattern

and can even print Duplicate Bill and

make online bill payments.

Door Step delivery of new

connections

To ensure that the consumer is provided

with a new connection with absolutely

no hassles, an NDPL representative

Source: Power sector reforms in Delhi: The experience so far by Jagdish Sagar

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Power distribution reforms in Delhi

visits the consumers’ premises and

completes all formalities required for

provision of a new connection there

itself.

Privileged Consumer Scheme

To acknowledge and encourage its

regular paying consumers, NDPL has

institutionalized a privileged consumer

scheme through which discounts are

offered to its consumers.

NDPL has also institutionalized a

structured approach towards Consumer

Relationship Management as it organizes

regular meetings with consumer

representative groups such as RWAs,

IWAs etc on 1st Saturday of every

month in each district.

Automated Bill Payment Kiosks for

consumer convenience

NDPL has introduced Automated Bill

Payment Kiosks, a first in Delhi and

NCR region. These unique ATM like

kiosks accept both cash and cheque

payment towards electricity bills and

even issue a receipt to the consumer.

They are operational 365 days a year

from 8 AM- 8 PM.

Initiatives taken by BSES

Consumer Related

Setting up Customer Help Desks

(CHD‟s) in all the 33 divisions for

online registration of consumer

complaints. Commercial Call Centre to

address Consumer Complaints

In-house developed CRM software

(CAS) which provides the facility of

Single Window resolution of

complaints

Setting up of a 24 Hour Control Room

at the C.M.‟s office to provide

immediate information on

faults/breakdowns

Bifurcation of the existing 21 districts

into 33 Divisions

Centralised Helpline Numbers for the

following have been created for all

queries related to Power Supply/

Meter/ Billing/ Anti-corruption/

Vigilance/ Anti Power Theft/

Enforcement

Starting of “BAM: Bill Amendment

Module”: a billing software module

through which customers‟ complaints

are rectified on the spot

Facility of raising one composite bill

for bulk consumers like MCD, DJB,

etc for convenient payments

Meter Reading is now being conducted

by Meter Reading Instruments (MRIs)

Location of a BSES office in 3 KM

radius from each point. Consumers can

frequent any of the 143 BSES‟ offices

The following facilities for Key

Consumers have been created:

o Creation of a Special Cell for

customers having a load of over 45

KW

o Single Window ease and preparation

of Composite Bill for Bulk

Consumers like DJB, MCD, etc, for

convenient payments

o Bill Dispatch by e-mails and special

couriers

Supply & Street Lighting Related

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Power distribution reforms in Delhi

Figure 2: AT&C losses (%)

Approx. 100 Breakdown vans & cable

restoration on a 24X7 basis.

Online Connectivity between

Technical Call Centre, System and

Circle Control.

25 Genset vans & Mobile

Transformers made available all round

the clock.

A special drive “Roshini” was

undertaken in which uninterrupted

illumination was provided during the

entire festive season

Metering Related

Mass Meter Replacement drive was

undertaken for all Large Industrial

Power (LIP) consumers. Electronic

Meters have also been introduced for

Domestic Consumers

Faulty Meters are being replaced on a

priority basis with tamper-proof

electronic meters. A “Special Meter

Testing Drive” was undertaken in

accordance. Only 0.01% of electronic

meters were found beyond limits

A month long Voluntary Disclosure

Scheme (VDS) was undertaken

Payment Related

Point-of-Sales (POS) machines are

installed at the cash collection counters

with bar code scanners for speedy

service. Tie-ups with collection

agencies like Easy Bill and Skypak for

cheque payments and with Bill Desk

and Bill Junction for online payments

120 cash collection centres, 150

skypak drop boxes and 1050 Easy bill

outlets across BSES. 150 Drop boxes

installed at RWA premises

Outcome of privatization and reforms

The overall impact of reforms and

initiatives taken has started producing

favorable results. Various parameters

indicating the overall health of power

distribution sector in the state are

discussed below:

Aggregate technical and Commercial

Losses (AT&C): AT&C loss reduction

was the parameter used for

privatisation of distribution companies

in Delhi. Opening levels of AT&C

levels were given for the three

distribution companies and annual

targets for reduction were set. Post

privatisation a number of initiatives

were taken by distribution companies

to reduce AT&C losses. The AT&C

losses for Delhi have reduced from

56% in 2002-03 to 38% in 2007-082.

The AT&C losses reported by various

Discoms are as shown in Figure 2.

NDPL has reported lowest AT&C

losses for the year 2008-09.

Source: Forum of regulators (FOR)3

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Power distribution reforms in Delhi

Source: PFC Report2

Source: PFC Report2

Source: http://www.cea.nic.in

Financial viability:

a. Profitability: Financial position of

Discoms has improved post-

privatisation. All the Discoms started

reporting profits from 2004-05.

While NDPL has shown a consistent

improvement in profits generated,

BSES slipped into losses in 2007-08.

Both NDPL and BSES registered a

significant increase in the power

purchase cost in 2007-08 over 2006-

07. The power purchase cost per unit

of energy input was higher for BSES

as compared to NDPL. BSES

Discoms also reported increase in

their interest costs for FY07 and

FY08.2

b. Average cost of supply (ACS) and

Average revenue realized (ARR):

NDPL has seen an increasing

difference between ARR and ACS

from 10 paise/KWh in 2002-03 to 50

paise/KWh in 2007-082.

BSES Discoms registered better

revenue realized than cost of supply

for FY05 and FY06. However in

FY07 and FY08 their cost of supply

was higher than revenue realized.

This deterioration reflected in their

financials as they slipped into losses

for FY08.

Quality of Supply (QoS): Quality of

supply in Delhi has improved post

reforms. NDPL registered best figures

for quality of supply parameters in

FY07 (namely outage duration, no. of

Table 2: Profits (in Rs Crores)

Figure 3: ARR & ACS (Rs per Unit)

Table 3: QoS Parameters

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Power distribution reforms in Delhi

Source: http://www.cea.nic.in

outages and average duration of

outage). Data is available from FY05

to FY07 and BSES had much worse

conditions than NDPL at the start of

this period.

Deficit Situation: Deficit situation in

Delhi has improved in terms of both

peak and energy deficit. Peak deficit

has reduced from 9.2% in 2002-03 to

0.0% in 2008-09. Energy deficit has

reduced from 1.9% in 2002-03 to 0.6%

in 2008-09.

Conclusion

Distribution reforms in Delhi and

privatization of Discoms has led to

positive results. This is being reflected in

reduced AT&C losses, low deficit

situation, improving quality of supply

parameters and no subsidy to Discoms.

Only subsidization done for Discoms

post privatization was loan of Rs. 3450

crore from GNCTD to TRANSCO

during five year period (Table 5). This

loan was given to bridge gap between

their revenue requirement and revenue

received from Discoms through bulk

supply tariff. However compared to

annual losses of the order of Rs 1000 cr

that existed before reforms, the financial

burden has reduced significantly.

NDPL has reported minimum losses and

best figures for quality of supply

parameters amongst the Discoms in

Delhi. NDPL has also been the only

Discom to register profits for all the

years from FY2003 to FY2008. All the

Discoms have made capital investments

to achieve the target reduction in loss

levels (Annexure II). Capital

expenditure per unit of energy input is

higher for NDPL. Actual AT&C loss

reduction by Discoms along with

Government specified minimum bid and

accepted bid is shown in Annexure III.

For the period FY03 to FY07 total loss

reduction by NDPL was more than

BSES Discoms. Also the total reduction

was more than Government specified

minimum bid.

While the distribution reforms have

given positive results in Delhi, there are

a few areas of concern. For the first 5

years (FY 03 to FY07), loss level targets

and bulk power purchase tariffs were

specified. Going forward Discoms will

be vulnerable to fluctuations in bulk

purchase tariffs. Further AT&C loss

reduction will be harder to achieve as

they have already reduced considerably

and collection efficiencies will not

remain more than 100% for long period.

In 2007-08 both the BSES Discoms

registered financial losses driven by high

Table 4: Peak & Energy Deficit (%)

Table 5: Loan to TRANSCO (in Rs Cr)

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power purchase cost and interest cost

(Annexure I). Only NDPL registered

profits after tax of Rs 282 cr that too on

the back of Rs 225 cr recoverable by

truing up of earlier year revenues. This

income resulted from NDPL winning an

appeal to use 6.69% depreciation for

FY03, FY04 and FY05 as compared to

3.75% rate specified by DERC. Hence

financial viability of Discoms needs to

be examined under high power purchase

cost scenarios.

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Power distribution reforms in Delhi

Source: Report on the Performance of The State Power Utilities for the Years 2004-05 to 2007-08, Power Finance Corporation Limited

Expenses Breakup (in Rs crore)

BSES Rajdhani

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Power Purchased 846 1,244 1,654 1,877 2,103 2,899

Employees 97 119 113 122 147 164

O&M 76 80 92 69 88 70

Interest 1 2 6 32 153 205

Depreciation 82 115 125 116 139 155

Admin & General 11 32 41 60 63 67

Other 0 133 0 -23 77 92

Total 1113 1,724 2,031 2,253 2,770 3,652

BSES Yamuna

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Power Purchased 479 638 798 922 993 1,973

Employees 80 100 92 94 111 129

O&M 43 47 65 52 47 49

Interest 2 8 13 29 76 132

Depreciation 20 32 42 49 57 72

Admin & General 7 21 27 35 39 45

Other 0 95 0 -31 63 77

Total 632 941 1,037 1,150 1,386 2,476

NDPL

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Power Purchased 599 868 1,105 1,204 1,309 1,882

Employees 82 103 131 146 155 152

O&M 20 91 59 53 51 57

Interest 0 4 20 23 57 75

Depreciation 66 87 113 110 129 155

Admin & General 13 19 24 29 30 33

Other 45 40 27 2 -3 -202

Total 824 1,213 1,478 1,566 1,727 2,152

ANNEXURE – I: Expenses Breakup of Discoms

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Power distribution reforms in Delhi

Source: Report on the Performance of The State Power Utilities for the Years 2004-05 to 2007-08, Power Finance Corporation Limited

Expenses Breakup (as % of total expenses)

BSES Rajdhani

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Power Purchased 76.0% 72.2% 81.4% 83.3% 75.9% 79.4% Employees 8.7% 6.9% 5.6% 5.4% 5.3% 4.5% O&M 6.8% 4.6% 4.5% 3.1% 3.2% 1.9% Interest 0.1% 0.1% 0.3% 1.4% 5.5% 5.6% Depreciation 7.4% 6.7% 6.2% 5.1% 5.0% 4.2% Admin & General 1.0% 1.9% 2.0% 2.7% 2.3% 1.8% Other 0.0% 7.7% 0.0% -1.0% 2.8% 2.5% Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

BSES Yamuna

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Power Purchased 75.8% 67.8% 77.0% 80.2% 71.6% 79.7% Employees 12.7% 10.6% 8.9% 8.2% 8.0% 5.2% O&M 6.8% 5.0% 6.3% 4.5% 3.4% 2.0% Interest 0.3% 0.9% 1.3% 2.5% 5.5% 5.3% Depreciation 3.2% 3.4% 4.1% 4.3% 4.1% 2.9% Admin & General 1.1% 2.2% 2.6% 3.0% 2.8% 1.8% Other 0.0% 10.1% 0.0% -2.7% 4.5% 3.1% Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

NDPL

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Power Purchased 72.7% 71.6% 74.8% 76.9% 75.8% 87.5% Employees 10.0% 8.5% 8.9% 9.3% 9.0% 7.1% O&M 2.4% 7.5% 4.0% 3.4% 3.0% 2.6% Interest 0.0% 0.3% 1.4% 1.5% 3.3% 3.5% Depreciation 8.0% 7.2% 7.6% 7.0% 7.5% 7.2% Admin & General 1.6% 1.6% 1.6% 1.9% 1.7% 1.5% Other 5.5% 3.3% 1.8% 0.1% -0.2% -9.4% Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

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Source: Report on the Performance of The State Power Utilities for the Years 2004-05 to 2007-08, Power Finance Corporation Limited

Expenses Breakup (in Rs/Unit of Energy Input)

BSES Rajdhani

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Power Purchased 1.51 1.54 1.97 2.17 2.31 3.13

Employees 0.17 0.15 0.13 0.14 0.16 0.18

O&M 0.14 0.10 0.11 0.08 0.10 0.08

Interest 0.00 0.00 0.01 0.04 0.17 0.22

Depreciation 0.15 0.14 0.15 0.13 0.15 0.17

Admin & General 0.02 0.04 0.05 0.07 0.07 0.07

Other 0.00 0.16 0.00 -0.03 0.08 0.10

Total 1.99 2.13 2.42 2.61 3.04 3.94

BSES Yamuna

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Power Purchased 1.32 1.23 1.49 1.71 1.87 3.66

Employees 0.22 0.19 0.17 0.17 0.21 0.24

O&M 0.12 0.09 0.12 0.10 0.09 0.09

Interest 0.01 0.02 0.02 0.05 0.14 0.25

Depreciation 0.06 0.06 0.08 0.09 0.11 0.13

Admin & General 0.02 0.04 0.05 0.06 0.07 0.08

Other 0.00 0.18 0.00 -0.06 0.12 0.14

Total 1.74 1.82 1.94 2.13 2.62 4.60

NDPL

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

Power Purchased 1.52 1.56 2.00 2.11 2.19 3.00

Employees 0.21 0.19 0.24 0.26 0.26 0.24

O&M 0.05 0.16 0.11 0.09 0.09 0.09

Interest 0.00 0.01 0.04 0.04 0.10 0.12

Depreciation 0.17 0.16 0.20 0.19 0.22 0.25

Admin & General 0.03 0.03 0.04 0.05 0.05 0.05

Other 0.11 0.07 0.05 0.00 -0.01 -0.32

Total 2.10 2.18 2.67 2.75 2.89 3.43

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Source: http://www.derc.gov.in/ordersPetitions/orders/Misc/2009/Order%20on%20Physical%20Verification%20of%20Assets.pdf

ANNEXURE – II: Capital expenditure by Discoms

Capex (in Rs Crore)

2003 2004 2005 2006 2007 2008* Total

BSES Rajdhani 72.00 115.00 538.00 711.00 399.00 239.00 2464.00

BSES Yamuna 58.00 85.00 416.00 357.00 283.00 164.00 1663.00

NDPL 49.00 299.00 338.00 431.00 271.00 248.00 1899.00

*Provisional data

Capex (in Rs/Unit of Energy input)

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 Total

BSES Rajdhani 0.13 0.14 0.64 0.82 0.44 0.26 2.43

BSES Yamuna 0.16 0.16 0.78 0.66 0.53 0.30 2.60

NDPL 0.12 0.54 0.61 0.76 0.45 0.40 2.88

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ANNEXURE – III: AT&C Loss Reduction by Discoms

BSES Rajdhani loss reduction trajectory

2002-03 2003-04 2004-05 2005-06 2006-07 Total

Govt. specified minimum bid 1.50 5.00 5.00 5.00 4.25 20.75

Accepted bid 0.55 1.55 3.30 6.00 5.60 17.00

Actual 0.70 2.35 4.41 5.11 5.62 18.19

BSES Yamuna loss reduction trajectory

2002-03 2003-04 2004-05 2005-06 2006-07 Total

Govt. specified minimum bid 1.25 5.00 4.50 4.50 4.00 19.25

Accepted bid 0.75 1.75 4.00 5.65 5.10 17.25

Actual -4.69 7.60 4.16 6.26 4.84 18.17

NDPL loss reduction trajectory

2002-03 2003-04 2004-05 2005-06 2006-07 Total

Govt. specified minimum bid 1.50 5.00 4.50 4.25 4.00 19.25

Accepted bid 0.50 2.25 4.50 5.50 4.25 17.00

Actual -1.02 4.26 11.05 7.29 2.78 24.36

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Power distribution reforms in Delhi

ANNEXURE – IV: Sales & Revenue Mix

NDPL

Sales Mix: Sale in Mkwh to Total Sales

(%) 2003-04 2004-05 2005-06 2006-07 2007-08

Domestic 47.1% 42.1% 41.5% 41.9% 37.5%

Commercial 20.1% 18.7% 18.7% 19.2% 17.3%

Agricultural 0.9% 0.6% 0.5% 0.2% 0.2%

Industrial 26.8% 32.4% 33.9% 33.0% 32.2%

Others 5.1% 6.1% 5.4% 5.7% 12.8%

Revenue Mix

(%) 2003-04 2004-05 2005-06 2006-07 2007-08

Domestic 31.8% 28.8% 28.4% 27.5% 29.0%

Commercial 29.3% 25.7% 25.6% 27.4% 24.9%

Agricultural 0.3% 0.2% 0.2% 0.1% 0.1%

Industrial 33.4% 40.0% 43.2% 40.3% 39.0%

Others 5.1% 5.3% 2.7% 4.7% 7.1%

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Power distribution reforms in Delhi

REFERENCES

1. Annual Report (2001-02) on The Working of State Electricity Boards & Electricity

Departments: Planning Commission (Power & Energy Division) Government of India

May, 2002

2. Report on the Performance of The State Power Utilities for the Years 2004-05 to

2007-08, Power Finance Corporation Limited

3. http://www.forumofregulators.gov.in/Data/policy_Imp/AT%20&%20C%20LOSS%2

0DATA%20-%20STATE%20&%20UTILITES%20WISE.pdf

4. Power sector reforms in Delhi: The experience so far by Jagdish Sagar

5. http://delhigovt.nic.in/power.asp

6. Power scenario at a glance, Central Electricity Authority, Planning wing July 2009

7. http://www.ndpl.com/DisplayContent.aspx?RefTypes=3&RefIds=149&page=Pioneer

ing Initiatives

8. http://www.bsesdelhi.com/Aboutus/in_undertaken.asp

9. http://www.bsesdelhi.com/Aboutus/bsesataglance.asp

10. http://www.cea.nic.in/god/dpd/RELIABILITY_INDICES_MONTHLY.pdf

11. http://www.cea.nic.in/power_sec_reports/executive_summary/2009_04/25-26.pdf

12. http://www.derc.gov.in/ordersPetitions/orders/Misc/2009/Order%20on%20Physical%

20Verification%20of%20Assets.pdf

13. Tariff orders of Discoms from DERC website (http://www.derc.gov.in)