Franchisee Business

7/31/2019 Franchisee Business

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Presented by


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Feedback Ventures Pvt Ltd,

Delhi

We have worked in more than 60areas- urban and rural ,across India.

Assisting in Orissa

Ministry of Power, Government ofIndia


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Franchisee Options

The electricity distribution Franchisee can function on varying

levels of responsibilities under the following options:

Metering, Billing and Collection (MBC)

Total Management of Electricity Distribution

Distributed Generation (DG) based Electricity Distribution

Franchisee


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Total Management of Electricity

Distribution

Franchisee purchases electricity from the Licensee and

distributes to consumers as per the tariff set by the

Commission.

In addition to MBC function, the Franchisee is responsible

for maintaining the electricity distribution system

comprising HT/LT lines, meters, distribution transformers,

breakers etc.

The Franchisee undertakes the up-gradation of the

distribution system, as required, by investing its own funds.


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Distributed Generation (DG) based

Electricity Distribution Franchisee

Franchisee undertakes to generate electricity locally

Aim is to meet the electricity deficit (or peak demand

deficit)

Advantageous in reducing T&D losses prevalent in the

conventional electricity system, where generating

station is located away from load


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Consumer

Means any person who is supplied with electricity for his

own use by a licensee or the Government or by any other

person engaged in the business of supplying electricity to

the public under the Act or any other law for the time

being in force and includes any person whose premises arefor the time being connected for the purpose of receiving

electricity with the works of a licensee, the Government or

such other person, as the case may be.


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Distribution system

Distribution system consists of electric substations,

distribution transformers and distribution lines.

It can be further categorized as primary distributionsystem which connects the transmission system at 33 kV

or 11 KV voltage levels and forms the backbone of the

distribution system.

The other is secondary distribution system which is at a

lower voltage of 415 V (volts) and/or 240 V and connects

to the end consumer.


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Distribution substations

A pole mounted distribution substation mainly consists of

1. Step-down transformer,

2. Gang operated switch,3. Three HT (high-tension) fuses,

4. Three lightning arrestors,

5. LT (low-tension) distribution box containing fuses

corresponding to the number of LT feeders and6. Metering arrangement for each feeder.


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Transmission and Distribution Losses

T&D (transmission and distribution) loss, in terms of

energy, is the difference of energy between the energy

available at the source and the energy supplied to the

consumers over a period of time.

The T&D losses increases with

(i) an increase in the length of the feeder,

(ii) a rise in the current flowing through the feeder, and

(iii) Increase in the resistance of the line/feeder conductor

due to decrease in the cross section of the conductor,.


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Aggregate Technical and Commercial

Losses (ATC Losses) - Shall mean the sum total of technical loss,

commercial losses and shortage due to non-

realisation of total billed amount.

{Total Energy Input (MUs) less Energy Realised (MUs)} /

Total Energy Input (MUs) X 100

Where, Energy Realised is the Sale of Energy (MUs) XCollection Efficiency


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Average Revenue Realisation

Average Revenue Realisation - Shall mean the total

revenue collected per unit energy supplied at Input

Points on annualised basis.

Total Revenue Collected / Total Energy Input


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Collection Efficiency

Shall mean the ratio of revenue actually realized from

consumers and energy billed to Consumers

It is expressed in percentage terms for a particular

period

CE(%) =

(Revenue realized / Revenue Billed) x 100


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LossesGeneration

Distribution

Billing

Payment

NonPaymen

t

NonM

etering

AT&C losses of most State Power Utilities remain high they are financiallysick and unable to invest adequately in generating capacity.


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Effects Losses


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22. Investment for capital expansion through own resources

23. Maintain rolling stock of transformers and other necessaryequipment/ material

24. Renovation of distribution system to meet the standards that ma y beprescribed by Regulatory Commissions

25. Provide new connections -prepare feasibility reports and estimates,as per norms prescribed

13. Carrying out O&M works on 33kv, 11kV, LT network, transformersusing licensees material and investment

14. Attend consumer complaints on repairs, maintenance, any othertechnical aspects

15. Educating community on DSM practices

16. Installation of metering devices, meter reading and monitoring o nlicensees behalf

17. Metering of all un-metered installations

18. Maintain and replace failed distribution transformers as per thedirections of the licensee

19. Take necessary actions for removing unauthorized connections

20. Inform licensee for any other actions related to power supply, eg.,accidents immediately

21. MIS functions-generation of periodic information and monitoringreports in prescribed formats, communication of same to thelicensee

10. Speedier fixing of defective meters and their monitoring

11. Detection of unauthorized consumption

12. Reporting unauthorized consumption to licensee for action ondisconnections

4. Collections from the consumers as per billing/ Interface forfacilitating collections by licensee

5. Depositing collections with licensee

6. Pole scheduling, maintaining consumer database

7. Update billing records, including hitherto unbilled consumers in tobilling database

8. Collection of existing arrears

9. Redress commercial and billing complaints

1. Meter Reading

2. Consumer bill generation

3. Consumer bill distribution

O&M/ SubLicensee

22. Investment for capital expansion through own resources

23. Maintain rolling stock of transformers and other necessaryequipment/ material

24. Renovation of distribution system to meet the standards that ma y beprescribed by Regulatory Commissions

25. Provide new connections -prepare feasibility reports and estimates,as per norms prescribed

13. Carrying out O&M works on 33kv, 11kV, LT network, transformersusing licensees material and investment

14. Attend consumer complaints on repairs, maintenance, any othertechnical aspects

15. Educating community on DSM practices

16. Installation of metering devices, meter reading and monitoring o nlicensees behalf

17. Metering of all un-metered installations

18. Maintain and replace failed distribution transformers as per thedirections of the licensee

19. Take necessary actions for removing unauthorized connections

20. Inform licensee for any other actions related to power supply, eg.,accidents immediately

21. MIS functions-generation of periodic information and monitoringreports in prescribed formats, communication of same to thelicensee

10. Speedier fixing of defective meters and their monitoring

11. Detection of unauthorized consumption

12. Reporting unauthorized consumption to licensee for action ondisconnections

4. Collections from the consumers as per billing/ Interface forfacilitating collections by licensee

5. Depositing collections with licensee

6. Pole scheduling, maintaining consumer database

7. Update billing records, including hitherto unbilled consumers in tobilling database

8. Collection of existing arrears

9. Redress commercial and billing complaints

1. Meter Reading

2. Consumer bill generation

3. Consumer bill distribution

O&M/ SubLicensee

Billing Agent

Collection Franchisee

Input Based Franchisee

Cooperative Society

Billing Agent

Collection

Franchisee

Cooperative


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www.feedbackventures.com

Franchisee Business

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