New power distributor in Mumbra, Malegaon
Burdened with dues, MahaVitaran tasks CESC and Torrent with drastically cutting distribution losses in five years
Maharashtra government has revived the franchisee model in the power distribution sector in a bid to contain distribution losses, recover mounting arrears, and ensure quality and uninterrupted supply. State power distribution company — MahaVitaran — has awarded contract of power distribution to Torrent Power for Mumbra-Shil-Kalwa region while CESC has bagged contract for Malegaon.
The mandate given to Torrent Power is to bring down distribution losses to 15 per cent in five years from the present level of 44.2 per cent in Mumbra-Shil-Kalwa region and to further lower it to 7 per cent in 20 years.
In Malegaon, CESC will have to reduce distribution losses to 15 per cent in five years from 44.8 per cent and further cut to 7 per cent in 20 years. MahaVitaran has a total consumer base of 2.14 lakh in Mumbra-Shil-Kalwa region and 99,597 in Malegaon. The franchisee will operate the distribution network, collect electricity bills, and crack down on defaulters.
Further, as per the contract, Torrent will have to reduce the aggregate technical and commercial (AT&C) losses to 15 per cent from a record 46.73 per cent in five years in Mumbra-Shil-Kalwa region. CESC will have to bring down AT&C losses to 15 per cent from 45.30 per cent. Both these companies are expected to procure power from MahaVitaran and distribute. The more they distribute, the more they would earn from MahaVitaran.
A MahaVitaran official told DNA, “The arrears from the permanently disconnected consumers in Mumbai-Shil-Kalwa region stand at Rs 374 crore as on date, while the current dues are worth Rs 67 crore yet to be recovered from the consumers. In case of Malegaon, the permanently disconnected consumers owe Rs 62 crore, while the current arrears are Rs 30 crore.” He informed that Torrent Power and CESC are expected to upgrade the distribution system to improve power supply.
The official added, MahaVitaran had first appointed Torrent Power as distribution franchisee in Bhiwandi back in 2007 and its contract was renewed in 2017. “Torrent Power has brought down distribution losses to 17.3 per cent from 39 per cent, while it brought down AT&C losses to the same level from 54 per cent during the same time,” he said.
Subsequently, MahaVitaran had appointed Hyderabad-based IT company SNDL in 2011 as distribution franchisee in Nagpur. Additionally, it appointed GTL as the franchisee for Aurangabad in May 2011, but the contract was terminated in November 2014 after dues to MahaVitaran mounted to Rs 150 crore. Furthermore, Crompton Greaves was appointed as Jalgaon franchisee in May 2011, but was ousted in August 2015, when dues increased to Rs 100 crore.
Burdened with dues, MahaVitaran tasks CESC and Torrent with drastically cutting distribution losses in five years
Maharashtra government has revived the franchisee model in the power distribution sector in a bid to contain distribution losses, recover mounting arrears, and ensure quality and uninterrupted supply. State power distribution company — MahaVitaran — has awarded contract of power distribution to Torrent Power for Mumbra-Shil-Kalwa region while CESC has bagged contract for Malegaon.
The mandate given to Torrent Power is to bring down distribution losses to 15 per cent in five years from the present level of 44.2 per cent in Mumbra-Shil-Kalwa region and to further lower it to 7 per cent in 20 years.
In Malegaon, CESC will have to reduce distribution losses to 15 per cent in five years from 44.8 per cent and further cut to 7 per cent in 20 years. MahaVitaran has a total consumer base of 2.14 lakh in Mumbra-Shil-Kalwa region and 99,597 in Malegaon. The franchisee will operate the distribution network, collect electricity bills, and crack down on defaulters.
Further, as per the contract, Torrent will have to reduce the aggregate technical and commercial (AT&C) losses to 15 per cent from a record 46.73 per cent in five years in Mumbra-Shil-Kalwa region. CESC will have to bring down AT&C losses to 15 per cent from 45.30 per cent. Both these companies are expected to procure power from MahaVitaran and distribute. The more they distribute, the more they would earn from MahaVitaran.
A MahaVitaran official told DNA, “The arrears from the permanently disconnected consumers in Mumbai-Shil-Kalwa region stand at Rs 374 crore as on date, while the current dues are worth Rs 67 crore yet to be recovered from the consumers. In case of Malegaon, the permanently disconnected consumers owe Rs 62 crore, while the current arrears are Rs 30 crore.” He informed that Torrent Power and CESC are expected to upgrade the distribution system to improve power supply.
The official added, MahaVitaran had first appointed Torrent Power as distribution franchisee in Bhiwandi back in 2007 and its contract was renewed in 2017. “Torrent Power has brought down distribution losses to 17.3 per cent from 39 per cent, while it brought down AT&C losses to the same level from 54 per cent during the same time,” he said.
Subsequently, MahaVitaran had appointed Hyderabad-based IT company SNDL in 2011 as distribution franchisee in Nagpur. Additionally, it appointed GTL as the franchisee for Aurangabad in May 2011, but the contract was terminated in November 2014 after dues to MahaVitaran mounted to Rs 150 crore. Furthermore, Crompton Greaves was appointed as Jalgaon franchisee in May 2011, but was ousted in August 2015, when dues increased to Rs 100 crore.
No comments:
Post a Comment