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

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GENERAL COMMENTS<br />

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

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

IMPACT OF RESTRUCTURING<br />

Restructuring <strong>of</strong> MSEB into four companies took place in June 2005. It would be<br />

premature to look for any impact <strong>of</strong> restructuring on immediate improvement in<br />

performance <strong>of</strong> the individual entities in such a short period. Certain improvements in<br />

the performance parameters noted in respect <strong>of</strong> individual companies as well as new<br />

initiatives taken by the restructured companies are given in the corresponding chapters<br />

dealing with each sector.<br />

POSITIVE AND SLUGGISH INDICATORS<br />

Due to short period after restructuring, the impact <strong>of</strong> restructuring with focus on new<br />

initiatives undertaken in certain areas, rather than on improvements in performance<br />

parameters are identified. These are summed up as given below:<br />

Positive Indicators<br />

1. Planning for capacity additions<br />

• Business plans <strong>of</strong> generation, transmission and distribution companies for<br />

future were prepared and are under approval;<br />

• Equity funding <strong>of</strong> Rs 1,720 crore for new generating schemes <strong>of</strong> 2,000 MW<br />

committed by Government <strong>of</strong> Maharashtra;<br />

• Transmission schemes to remove bottlenecks in the system and achieve more<br />

than 99 per cent availability from 2006-07 onwards; and<br />

• Distribution schemes to improve reliability and quality <strong>of</strong> supply and reduce<br />

distribution loss to 18 per cent by 2010-11.<br />

2. Demand Management<br />

• Successful implementation <strong>of</strong> ‘Akshay Prakash Yojana’ by the DISCOM with<br />

voluntary participation <strong>of</strong> consumers in rural areas, achieving relief <strong>of</strong> 770 MW<br />

in peak demand.<br />

3. Services to Consumers<br />

• Setting up <strong>of</strong> consumer grievance redressal forums at 11 locations for quick<br />

settlements <strong>of</strong> consumers’ grievances;<br />

• Creation <strong>of</strong> five-consumer facilitation centres in 2005-06. More consumer<br />

facilitation centres have been planned for the future; and<br />

10.22

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