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

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State <strong>Report</strong>s (Vol.-III)<br />

Study on `Impact <strong>of</strong> Restructuring <strong>of</strong> SEBs’<br />

(g) Funding from international institutions like World Bank, ADB, etc., can<br />

assist the State utilities in meeting the needed investments in the areas <strong>of</strong><br />

transmission and distribution. The rigorous examination and laying down<br />

the series <strong>of</strong> steps to be taken would also bind the utilities in concrete<br />

terms to the targets to be achieved;<br />

(h) The number <strong>of</strong> consumers in Assam is about one million and there are<br />

over 17,000 employees. Employees consumers ratio is very high at 1:57.<br />

The number <strong>of</strong> DISCOMs and other restructured entities is five against<br />

the single integrated SEB in pre-reform period. There is a shortage <strong>of</strong><br />

technical and qualified staff for many new positions to be manned<br />

particularly in finance, commercial and HR functions. The justification for<br />

creating three DISCOMs may be reviewed and these may be combined<br />

into one or two DISCOMs. This will reduce the administrative difficulties<br />

in manning the new companies;<br />

(i) Loss estimation and loss reduction is a key area for the DISCOMs. As a<br />

pilot study is being conducted by the consultants M/s<br />

PricewaterhouseCoopers, the staff <strong>of</strong> the DISCOMs could be extensively<br />

involved in the above exercise and imparted training in segregating<br />

technical and commercial losses as well as investigating causes for<br />

commercial losses;<br />

(j) The top personnel in the Government as well as at the utilities level<br />

should not be shifted too frequently. They must be retained for a<br />

reasonable period so that there is stability in the process. The<br />

independence in their functioning is to be respected. Also, mechanisms<br />

need to be designed to hold the hands <strong>of</strong> those who are venturing on the<br />

new path <strong>of</strong> accountability and result-oriented performance.<br />

(k) The experience <strong>of</strong> Assam has shown that the schemes <strong>of</strong> franchisees in<br />

rural electrification can take <strong>of</strong>f creating more revenues and employment<br />

opportunities.<br />

8.20

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