MOSL: UTILITIES-Seven things we learned at a conference on power distribution

​UTILITIES: Seven things we learned at a conference on power distribution

We attended a conference on the power distribution sector organized by ‘Powerline’ on November 15-16, 2017. Our key takeaways:

1. Dr Arun Kumar Verma, Joint Secretary, Ministry of Power highlighted increasing focus on strengthening distribution infrastructure, metering and improving financial health of DISCOMs.

2. Distribution network is getting strengthened on improved central funding.

3. Madhya Pradesh (MP), Maharashtra, Rajasthan and Andhra Pradesh (AP) have started supplying power round the clock. However, this has not boosted overall demand. Peak load has declined in MP after feeder separation. Metering and feeder-wise monitoring impacts consumption by freeloaders. These states also mentioned that they have sufficient long-term PPAs to meet demand growth over the next 2-3 years.

4. DISCOMs continue to discourage open access. However, they are wooing back industrial customers with lower tariff.

5. Political will has improved to tackle AT&C losses in some states.

6. There was little discussion on privatization of DISCOMs and carriage & content, as states are less enthusiastic about them.

7. The business model of distribution companies and the regulatory framework will have to evolve from content providers to solution providers. Home automation, energy services, load management will be some of the new service areas.