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Infrastructure Development Action Plan for Chhattisgarh – Final Report

Annexure III.1 STATUS OF POWER REFORM IN DIFFERENT STATES

ANDHRA PRADESH has held series of meetings. It has


been decided that a consultant
• State Reforms Act came into force would be appointed for assisting in
w.e.f. 1.2.1999. APSEB unbundled the implementation of privatisation
into Andhra Pradesh Generation process, including preparation of bid
Company Ltd. (APGENCO) and documents, legal documentation,
Andhra Pradesh Transmission bid evaluation, negotiation with
Company Ltd. (APTRANSCO for bidders etc. PFC would provide
transmission and distribution) technical and financial assistance
• Andhra Pradesh Electricity for selection and appointment of the
Regulatory Commission has been consultant
operational w.e.f. 3.4.1999
• World Bank loan of US $ 210 million DELHI
under the Adaptable Programme
Loan (APL)-1 w.e.f. 22.3.1999 for • The State Government has come
reforms & restructuring out with a strategy paper on reforms
• DFID's 28 million UK Pound as and restructuring for a diagnostic
technical co-operation grant study of the problems afflicting the
• CIDA is giving technical assistance Delhi power sector and containing
of Canadian dollar 4 million remedial measures
• A single member SERC has been
ARUNACHAL PRADESH appointed w.e.f. 10.12.1999
• Delhi Electricity Reforms Bill has
• Decision has been taken for been approved by Ministry of Power
undertaking reforms with SERC
constituted GOA

ASSAM • The State Government is proceeding


with the restructuring process for
• A tariff rationalisation study report which PFC has sanctioned a grant of
has been submitted by the Rs. 1 crore and a concessional loan
consultants. The study was of Rs. 4.5 crore for the consultant's
sponsored by PFC services
• Notification for setting up of SERC
BIHAR has been issued

• The State Government has GUJARAT


commissioned reforms studies
• State Reforms Bill being finalised
CHANDIGARH • Restructuring programme has
emphasised on metering of all
• Task Force constituted under the categories of consumers and
chairmanship of Special Secretary, imposing a cap on agricultural
Union Ministry of Power for subsidy
privatisation of distribution in the UT

Annexure III.1 1
Infrastructure Development Action Plan for Chhattisgarh – Final Report

• SERC has been functional since • Inputs for award of consultancy


10.3.1999. It has conducted public assignment have been provided by
hearings and invited consultants for PFC
making the preliminary presentations
and discussions for undertaking tariff JAMMU AND KASHMIR
and reform related studies
• Negotiations are going on with ADB • The State Government has
for loan appointed ASCI as consultants for
conducting the reforms studies and
HARYANA to formulate long term perspective
plan for 20 years under a grant
• State Reforms Act came into force provided by PFC
w.e.f. 14.8.1998
• SERC became operational w.e.f. KARNATAKA
17.8.1998
• SEB unbundled into Haryana Vidyut • State Electricity Reforms Act has
Prasaran Nigam Ltd., a Trans Co. ( come into effect from 1.6.1999
HVPNL) and Haryana Power • Two new companies namely
Corporation Ltd. on 14.8.1998 Karnataka Power Transmission
• Two Government owned distribution Corporation Ltd. (KPTCL) and
companies viz. Uttar Haryana Bijli Visvesvaraya Vidyut Nigam Ltd., a
Vitaran Nigam Ltd. (UHBVNL) and GENCO, (VVNL) have been
Dakshin Haryana Bijli Vitaran Nigam incorporated and come into
Ltd. (DHBVNL) have been existence from 1.8.1999
established. Till these two • KPTCL has carved out five
companies become independent Regional Business Centres (RBC)
licensees, they will operate as for five identified zones
subsidiaries of HVPNL • SERC has been functional since
• World Bank loan of US $ 600 million 15.11.1999
is available under succeeding APLs. • State Government has signed a
The works under the first APL of US Memorandum of Agreement (MOA)
$ 60 million has been completed on 12.2.2000 with the Ministry of
• DFID's technical co-operation grant Power, Government of India
of UK Pound 15 million is available charting out the actions to be taken
for reforms works towards power sector reforms in a
structured and time bound manner
HIMACHAL PRADESH • Completion of privatisation of
distribution by December 2001 is
• State Government has committed to one of the main points of MOA.
take up reforms with technical and Steps have been taken for this
financial assistance of PFC • As per the MOA, GOI has
committed support among other
things for reduction in T&D losses,
strengthening and improving the
transmission network and enabling

Annexure III.1 2
Infrastructure Development Action Plan for Chhattisgarh – Final Report

supply of additional power to Power, Govt. of India charting out


Karnataka, Rural Electrification the action to be taken towards
Programme, Structural Adjustment, power sector reforms in a structured
new generating capacity etc and time bound manner
• 100% electrification of villages and
KERALA hamlets, metering of all supplies by
December,2001 and at least 75% of
• State Government's plans for the cost of supply of electricity to be
reforms do not envisage unbundling charged from all categories of
of SEB but reorganising the Board consumers (subject to SERC's
into three profit centres for decision) are some of the more
generation, transmission and important provisions of MoA
distribution • As per the MoA, GoI has committed
• Distribution would be further split support among other things for
into three profit centres reduction in T&D losses,
• CIDA assistance is available under strengthening and improving the
Energy Infrastructure Services transmission network and enabling
Project (EISP) supply of additional power to the
• Works under EISP have almost State, Rural Electrification
been completed Programme, Structural Adjustment,
• SERC is likely to be in place by hydro power development etc
July, 2000, according to EISP/CIDA
MAHARASHTRA
MADHYA PRADESH
• State Government is committed to
• Ministry of Power has conveyed its reforms with technical and financial
no objection on State Reforms Bill assistance of PFC
• SERC has been operational since • Actions initiated for appointment of
30.1.1999 consultants for undertaking tariff
• The proposed reform model has and reform related studies
envisaged setting up of 3 Power • SERC has been functional w.e.f.
Generation Companies, 1 Power 6.10.1999
Trading Company, 1 Power • MSEB intends to carry out study for
Transmission Company and 9 formation of a Joint Venture
Power Distribution Companies Company for distribution of
• Measures are proposed for 100% Electricity in Bhiwandi area in the
metering, reduction of T&D losses, district of Thane
realisation of outstanding revenue
etc MANIPUR
• Discussions are going on with ADB
for assistance • State Government has taken
• State Government has signed a decision to undertake reforms and
Memorandum of Agreement (MOA) set up Regulatory Commission
on 16.5.2000 with the Ministry of

Annexure III.1 3
Infrastructure Development Action Plan for Chhattisgarh – Final Report

MEGHALAYA RAJASTHAN

• SEB has commissioned studies for • State Reforms Act has been notified
capital restructuring and asset on 10.1.2000
revaluation towards reforms • SERC has been functional w.e.f.
2.1.2000
MIZORAM • Actions initiated for implementing
reforms programmes by State
• SEB has commissioned studies for Government and RSEB
capital restructuring and asset
revaluation towards reforms TAMIL NADU

ORISSA • Consultants have been appointed


for undertaking the reforms and
• The first state to undertake reforms restructuring study
back in 1996 through State Reforms • Two members of SERC have joined
Act has also been the first state to
privatise distribution w.e.f. 1.4.1999 TRIPURA
• Disinvestment has taken place in
OPGC, a State Government owned • State Government is committed to
company restructure State Power Sector with
• Process started to convert OHPC, a PFC assistance
State Government owned hydro
power generation company into a UTTAR PRADESH
Joint Venture Company with 51%
disinvestment for private partners • State Reforms Act has been notified
• OERC has issued third tariff order in on 15.1.2000
December, 1999. It has issued • SERC is functional
revised tariff order w.e.f. 1.2.2000 • As per the decision of the
Government of Uttar Pradesh
PUNJAB (GoUP), the activities of generation,
transmission and distribution of
• State Government is committed to erstwhile UPSEB have been
undertake reforms with the transferred to:
assistance of PFC/ADB Uttar Pradesh Rajya Vidyut Utpadan
• Consultants have submitted the final Nigam Ltd. (UPRVUNL)
report of the tariff rationalisation Uttar Pradesh Jal Vidyut Nigam Ltd.
study financed by PFC (UPJVNL)
• Constitution of SERC has been Uttar Pradesh Power Corporation
notified on 31.3.1999 Ltd. (UPPCL) - UPPCL took over the
transmission and distribution
functions of erstwhile UPSEB

Annexure III.1 4
Infrastructure Development Action Plan for Chhattisgarh – Final Report

• The activities, assets and staff of • Re-organisation Committee set up to


erstwhile UPSEB have been study the State Power Sector has
transferred to the new companies submitted its recommendations to
• A Memorandum of Understanding State Govt
(MoU) between Government of India • The State Government has set up
and Government of Uttar Pradesh State Rural Energy Development
has been signed on 25.2.2000 Corporation as an independent
charting out the actions to be taken company under the Companies Act
towards reforms in which GOI has to manage distribution for rural and
committed to support the GoUP in agricultural consumer segments with
R&M, transmission works, reforms assistance of Rural Energy Co-
studies, joint venture hydro projects, operatives
rural electrification and by way of • Consultants have submitted the final
additional central power allocation. report of the tariff rationalisation
• GoUP has taken a bold step of study which has been financed by
writing-off of Rs. 19,000 crores of PFC
liabilities of erstwhile UPSEB with a • Four Task Forces have been formed
view to starting the new companies, to initiate the implementation of
created after unbundling, with reform programme. The areas
healthy balance sheets covered are: (a) HR, (b)
• Distribution business of Kanpur has Identification, Valuation and Transfer
been handed over to the Kanpur of Assets, (c) Identification and
Electricity Supply Company segregation of urban and rural
(KESCO) feeders and zones and earmarking
• Uttar Pradesh Electricity Regulatory operational areas of WBREDC and
Commission (UPERC) has WBSEB UD System and (d)
conducted five open house Metering, Billing, Collection,
discussions for formulation of a tariff Electricity Accounting and System
procedure Loss Reduction of WBSEB
• World Bank has sanctioned loan of
US $ 150 million for power sector
reforms
• UPERC is to get an assistance of
US$ 150, 000 from the Public-
Private Infrastructure Advisory
Facility (PPIAF), a facility
established and funded by a number
of bilateral and multilateral agencies
and international agencies

WEST BENGAL

• SERC has been functional w.e.f.


10.3.1999

Annexure III.1 5

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