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

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Item Amount Remarks<br />

A total Revenue support Rs 9,498 crore<br />

A total Capital support Rs 5,854 crore<br />

Total Rs 15,352 crore<br />

Synopsis <strong>of</strong> State <strong>Report</strong>s (Vol.-IV)<br />

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

101<br />

An average <strong>of</strong> Rs 2,558<br />

crore per year.<br />

The restructured entities have to improve their efficiency parameters like<br />

reduction in power purchase costs, fuel costs, general purchase costs, interest<br />

costs, aggressive reduction in T&D losses, and improvement in generation<br />

efficiency, etc. It is proposed to bring down T&D losses from 29.79 to 18.5 per<br />

cent and improve overall generation efficiency from 72 to 76 per cent. These<br />

measures are expected to lead to savings <strong>of</strong> Rs 10,909 crore for the above<br />

period i.e average Rs 1,818 crore per year.<br />

The FRP was approved by Government <strong>of</strong> Gujarat in December 2005.<br />

Government <strong>of</strong> Gujarat has approved the final opening balance sheets <strong>of</strong> the<br />

restructured companies as on 1 April 2005 and the companies have become<br />

fully operational from this date. The companies have prepared their Long-<br />

Term Business Plans and have started showing reductions in their operational<br />

and other costs besides improvement in performance parameters. All the<br />

companies have submitted their respective ARRs. These have been approved<br />

by the GERC for the year 2006-07. Reputed pr<strong>of</strong>essionals from outside have<br />

been appointed as independent directors on GSECL and GETCL. Similar<br />

action in respect <strong>of</strong> other Companies is under way.<br />

9.9 Initiatives in Information Technology<br />

e-Urja Project<br />

e-urja, an end-to-end ERP based IT solution, is one <strong>of</strong> the major IT initiatives<br />

in the power sector being pursued by the State Government. This project<br />

envisages substantial reduction in paper work through online documentation<br />

and approval process. Initially the project has been taken up as a pilot project,<br />

and later on the same is to be extended to other locations.<br />

The benefits likely to accrue are:<br />

• Integrated system covering major areas <strong>of</strong> each <strong>of</strong> the companies;<br />

• Streamlined and improved business processes;<br />

• On-time accurate MIS;

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