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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 />

For improving the financial position <strong>of</strong> the distribution sector, the single most<br />

important and known area that has remained to be adequately attended to, is reduction<br />

<strong>of</strong> commercial losses. A strong and sustained effort is needed for reducing commercial<br />

losses. In Maharashtra, the level <strong>of</strong> total T&D losses stood at 39.4 per cent in the year<br />

2002 as mentioned in the White Paper. Targets <strong>of</strong> reducing commercial losses in<br />

urban areas by 3 per cent and rural areas by 2 per cent every year, as well as fixing<br />

energy meters on all feeders as proposed in the White Paper, have not been achieved<br />

(during the period <strong>of</strong> Internal Reforms) before restructuring or probably even after<br />

restructuring. This suggests a necessity <strong>of</strong> adopting a revised strategy aimed at<br />

ensuring a much more strong and pointed effort in quickly reducing commercial<br />

losses.<br />

POSITIVE IMPACT OF CONSUMERS’ PARTICIPATION<br />

Through active participation <strong>of</strong> consumers in rural areas, Maharashtra State Electricity<br />

Distribution Company Limited (MSEDCL) has successfully implemented a scheme<br />

named ‘Akshay Prakash Yojana’ wherein a village opts to voluntarily participate in<br />

the scheme and ensures that no motive power would be used in the period between 5<br />

p.m. to 5 a.m. and the load on the feeder will be restricted to 20 per cent <strong>of</strong> the<br />

previous level. The villagers also take action to remove all unauthorised high<br />

consumption equipments such as heaters, hot plates and agree that meters be installed<br />

on all service connections. The villagers form a ‘Village Dakshata Committee’ and<br />

ensure that there is no theft <strong>of</strong> electricity from the transformers serving their areas. On<br />

its part, MSEDCL ensures that there is no load shedding in these villages and supply<br />

is given for 23 hours a day.<br />

Presently over 3,400 villages have voluntarily participated in this scheme and<br />

MSEDCL has achieved a load relief <strong>of</strong> over 770 MW. More important than the load<br />

relief however, is the participative spirit <strong>of</strong> people from rural areas to ensure that this<br />

important service <strong>of</strong> electricity supply caters to their needs and is controlled by them.<br />

The dialogue between villagers and concerned staff <strong>of</strong> MSEDCL at the field level,<br />

leading to understanding <strong>of</strong> each other’s concerns and the will to address these jointly,<br />

are the major gains achieved. This participative spirit <strong>of</strong> rural consumers is a treasure<br />

and no effort should be spared in future in protecting the same against all odds.<br />

With success <strong>of</strong> this scheme due to its win-win nature, MSEDCL can confidently<br />

devise more and more new schemes and use active participation <strong>of</strong> consumers as an<br />

additional powerful resource to supplement its own efforts in improving its<br />

performance.<br />

10.4

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