Report of Indian Institute of Public Administration ... - Ministry of Power

Karnataka
and government directors to 50 per cent of the total strength of the boards, and
to fill the rest with professionals and experts drawn from a panel of experts in
management, technology, finance and related professions. This will go a long
way to transform the restructured companies to function more professionally,
and with more autonomy.
Traditionally, the Chief Minister acts as the chairman of KPCL; Minister in
charge of Energy becomes the vice-chairman. The management is of the view
that this arrangement helps the company in decision-making; but the demerits
of a political executive acting as the chairman of a public corporation are
apparent. This needs consideration at the highest level.
(H) PROVIDING AUTONOMY TO DISCOMS
The practice of appointing the CEO of KPTCL as the chairperson of DISCOMs
must be discontinued. Until competent CEOs, who could function as CMDs,
are available for appointment internally in DISCOMs, suitable outside
personnel could be appointed to those posts. Meanwhile, the Government of
Karnataka must define the extent of powers that needs to be granted to
DISCOMs through a corporate analysis and delegate them. Further, the
management of the DISCOMs must be strengthened by inducting competent
and experienced middle and top level functionaries who will be able to work
more independently and professionally.
(I) DEVELOPING A COMPETENT CADRE OF MANAGERS
It would be a tough assignment; but efforts should be in place to develop a
competent cadre of professionals to man the senior positions in the power
companies, including those of CMDs. Since CEOs require multi-disciplinary
skills, it is necessary to train the senior personnel of KPTCL and DISCOMs as
part of capacity development. This might take a long time; but must be initiated
early. Meanwhile, the availability of competent executives with the necessary
expertise to function as CEOs, from CPSUs like NTPC, NHPC, etc., could be
explored. It may also be necessary to provide adequate and attractive
compensation packages to such candidates, without being hamstrung by the
State civil service pay structures.
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