Sanjiv Goenka Group company CESC has been able to significantly reduce distribution losses in its three Rajasthan franchises– Kota, Bharatpur and Bikaner — during FY20.
Kota Electricity Distribution Ltd (KEDL), a wholly-owned subsidiary of CESC, took over DF operations in Kota on September 1, 2016, following an agreement with state power discom Jaipur Vidyut Vitaran Nigam (JVVNL) Ltd.
During FY20, according to CESC’s latest annual report, around 600 new distribution transformers were installed apart from three CT (current transformer) banks for power factor compensation in Kota. Open cables were also replaced, in many places, by armoured cables. Replacement of JVVNL energy meters and gland-sealing of meter boxes was also effected during the year. Thanks to these measures, coupled with stringent surveillance practices, the distribution losses of Kota came down from 32 per cent at the time of taking over of operations to 20.4 per cent in FY20. During the year, around 15,700 consumers were added taking the cumulative total to 2.59 lakh.
In the Bharatpur circle, where CESC has around 70,000 consumers, distribution losses came down to just 12.3 per cent in FY20, from 32 per cent at the time of takeover in 2016. It may be recalled that Bharatpur Electricity Services Ltd (BESL) took over operations of the Bharatpur circle after signing the DF agreement with JVVNL on December 1, 2016.
Apart from distribution franchisees (DF) in three circles in Rajasthan and one in Maharashtra (Malegaon), CESC is the distribution licensee in Greater Noida, Uttar Pradesh. In Kolkata, where CESC has been an integrated power utility for over a hundred years, the operations include coal mining, power generation and distribution.
CESC could cut distribution losses in the Bikaner circle to half. According to information available in the company’s annual report, losses during FY20 were restricted to 14.4 per cent in FY20, from their high of 28 per cent at the time of the takeover. The focus area during the year was replacement of erstwhile energy meters and switching over to armoured cables from open cables. Besides, dedicated vigilance teams were set up and put in operation during the year. CESC took over operations at Bikaner in May 2017 after its wholly-owned subsidiary Bikaner Electricity Supply Ltd signed the DF agreement with Jodhpur Vidyut Vitaran Nigam Ltd.
| Power Distribution business of CESC Ltd | ||||
| Location | Kolkata | Greater Noida | Rajasthan* | Maleagon |
| Contract | Licensee | Licensee | Franchisee | Franchisee |
| Area (sqkm) | 567 | 335 | 381 | 25 |
| Consumer Base (lakh) | 32 | 0.82 | 4 | 1 |
| Peak Load (MW) | 2150+ | 350+ | 400+ | 150 |
| *Includes Kota, Bharatpur and Bikaner | ||||
Malegaon operations begin
Malegaon Power Supply Ltd (MPSL), a wholly-owned subsidiary of CESC, took over operations in the Malegaon circle in Maharashtra on March 1, 2020. However, due to the COVID-19 pandemic and the resulting lockdown, not much immediate progress was achieved. Further, since Maharashtra was among the worst-affected states by COVID-19, both revenue and collection were seriously affected. In FY20, MPSL could record sales of 570 million kwh with distribution losses standing at an alarming 50.6 per cent.
Malegaon is the latest addition to CESC’s power distribution activity. In January 2019, CESC had won the bid floated by state utility Maharashtra State Electricity Distribution Company Ltd (MSEDCL) for a 20-year DF agreement for the “Malegaon Corporation Area” under the Malegaon circle of MSEDCL. The consumer base is around 1 lakh wih almost 75 per cent of electricity demand coming from the powerloom sector.
Featured photograph (source: http://www.ihcn.in) shows a heritage site at Bikaner in Rajasthan. Photograph is for representation only.
