Essel group’s SND Ltd. (SNDL), the distribution franchisee (DF) of the Maharashtra State Electricity Distribution Company Ltd. (MSEDCL) for three circles in Nagpur, has managed to cut electricity T&D (transmission and distribution) losses by 50 per cent in a record 24 months, top company officials said.
“When we took over in May, 2011, the T&D loss in these three circles was 32 per cent, and we have brought it down to 16 per cent in just 24 months. This makes us one of the best power distribution franchisees in India. Our target is to bring it down to 12 per cent,” said Sonal Khurana, Business Head, SNDL Nagpur, which is a special purpose vehicle (SPV) of Essel Utilities Distribution Company Ltd. (EUDCL), a member of Subhash Chandra-led Essal group.
He said in the last three and half years, the company, which was appointed DF to bring efficiency in power distribution and cut down losses, has accomplished the task by ensuring round the clock power supply and in fact adding 22 per cent more customers in these years.
Tighter control on operations, investment to upgrade the infrastructure, superior customer service and vigilance drives to prevent electricity thefts have helped the company achieve its objectives.
By the end of this financial year, the company will have a total capital expenditure of Rs.264 crore in the circles to upgrade infrastructure and in laying anti-theft power cables as well as in installing digital metres. It plans to invest another Rs.100 crore in the coming financial year, the company said.
The T&D losses were controlled and collections improved through deployment of a well planned strategy, officials said, adding that these included energy audit, identification of losses, planning and proper execution. The company’s vigilance department had helped enormously in identification of electricity theft and hooking areas, thereby initiating action to improve billing. The company had also set up a call centre to attend to consumer grievances promptly thereby getting acceptability.
In the past years, the company has added three sub-stations, 300 transformers and laid 300 km of air bunched cables in theft prone areas and these helped in meeting targets.
EUDCL is engaged in improving ageing public utility infrastructure into smart utilities by investing in the assets and deploying global best practices. Apart from Nagpur, EDDCL’s SPVs are managing power distribution in Sagar and Ujjain in Madhya Pradesh as well as Muzaffarpur in Bihar, and will soon start distribution in Gwailor. It is also into water distribution.
(This correspondent was in Nagpur at the invitation of the company)
