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

State Reports (Vol.-III)
Study on `Impact of Restructuring of SEBs’
CHRONOLOGY OF REFORMS AND RESTRUCTURING
The Government of Uttar Pradesh (Government of UP), vide its Notification dated 14
January 2000, brought into effect the Uttar Pradesh Electricity Reforms Act, 1999 and
the Uttar Pradesh Electricity Reforms Transfer Scheme, 2000.
The Uttar Pradesh Electricity Regulatory Commission (UPERC) was established in
September 1998 under the Electricity Regulatory Commissions Act, 1998 of the
Government of India. The prime objectives of UPERC are:
• To create a regulatory environment to promote transparency, efficiency and
economy in the operations and management of the power utilities; and
• To encourage competition and help the State to attract private capital for the power
sector development while appropriately safeguarding the interests of the consumers.
In the first phase of restructuring, following the notification of the First Transfer Scheme
on 14 January, 2000, the generation, transmission and distribution functions of UPSEB
were transferred to the following three corporate entities (corporations registered under
the Companies Act, 1956) based on functional specialisation, namely:
(a) UPRVUNL, which owns and operates the existing thermal power stations of
UPSEB;
(b) UPJVNL which, in addition to its own small hydro power houses, owns and
operates the existing and under construction hydro power stations of UPSEB; and
(c) UPPCL, which is responsible for transmission and distribution of electricity in
Uttar Pradesh.
Another Transfer Scheme for restructuring of distribution undertaking of Kanpur
Electricity Supply Authority (KESA) of UPPCL and transfer of its assets, liabilities and
personnel to KESCO, a company registered under the Companies Act, 1956 was made
effective on 15 January 2000.
The State of Uttaranchal came into existence on 9 November 2000 in accordance with
the provisions of the Uttar Pradesh Reorganisation Act, 2000 (Act 29 of 2000). All assets
of UPPCL, pertaining to generation, transmission and distribution located within the
State of Uttaranchal, were transferred to the newly carved out State.
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