UTTAR PRADESH POWER CORPORATION LIMITED...

1 | U T T A R P R A D E S H P O W E R C O R P O R A T I O N L I M I T E D

REQUEST FOR PROPOSAL (RFP)

For selection of ‘Consultant to assist UPPCL in implementing end to end business solution for (1)

Analyzing various parameters emanating from R-APDRP system and providing actionable inputs for

different levels of management hierarchy in order to achieve prescribed loss levels and (2) Providing

decision support system for optimizing performance of both R-APDRP and non- R-APDRP areas with

respect to parameters outlined in Financial restructuring plan (FRP) and formulate enabling

technologies.

RFP Identification No: 01/UPPCL/RAPDRP/Power Utility/2013-14

For further details, please visit the website: www.uppcl.org

Purchaser

For

S.

No. Particular Details

1

1 Start date of issuance / sale of RFP document 17th April 2014 at 1200 Hours

2 Pre-Bid Conference 06th May 2014 at 1100 Hours

3 Last date for issuance / sale of RFP Document 21th May 2014 at 1700 Hours

4 Last date and time for Proposal Submission 22th May 2014 at 1400 Hours

5 Date and time of opening 22th May 2014 at 1600 Hours

(This document is meant for the exclusive purpose of RFP and shall not be transferred, reproduced or

otherwise used for purposes other than that for which it is specifically issued.)

1 In case of date is declared holiday assigned date will change to next working day

Madhyanchal Vidyut Vitran Nigam Limited, (MVVNL), Lucknow

Purvanchal Vidyut Vitran Nigam Limited, (PuVVNL), Varanasi

Paschimanchal Vidyut Vitran Nigam Limited, (PVVNL), Meerut

UTTAR PRADESH POWER CORPORATION LIMITED

(UPPCL)

Dakshinanchal Vidyut Vitran Nigam Limited, (DVVNL), Agra

Location :: Lucknow; Uploading Date And Time ::Saturday, April 19, 2014-15:21:13


Table of Content

1. FACT SHEET ............................................................................................................................................. 3

2. BACKGROUND INFORMATION ................................................................................................................. 3

3. OBJECTIVES OF THE CONSULTANCY ......................................................................................................... 7

4. INSTRUCTION TO THE BIDDERS ............................................................................................................. 26

5. PRE-BID MEETING & CLARIFICATIONS ................................................................................................... 27

6. KEY REQUIREMENTS OF THE BID ........................................................................................................... 28

7. AUTHENTICATION OF BIDS .................................................................................................................... 28

8. PREPARATION AND SUBMISSION OF PROPOSAL ................................................................................... 30

9. LANGUAGE ............................................................................................................................................ 30

10. VENUE & DEADLINE FOR SUBMISSION OF PROPOSALS ..................................................................... 31

11. LATE BIDS .......................................................................................................................................... 31

12. DEVIATIONS ...................................................................................................................................... 31

13. EVALUATION PROCESS ...................................................................................................................... 31

14. TENDER OPENING ............................................................................................................................. 32

15. TENDER VALIDITY .............................................................................................................................. 32

16. TENDER EVALUATION ........................................................................................................................ 32

17. QUALIFICATION TO BID ..................................................................................................................... 32

18. PROCEDURE FOR EVALUATION OF BIDS ............................................................................................ 35

19. EVALUATION TABLES ......................................................................................................................... 37

20. DETAILS OF QUALIFICATIONS OF EACH PERSONNEL .......................................................................... 43

21. NEGOTIATION ................................................................................................................................... 49

22. APPOINTMENT OF CONSULTANT ...................................................................................................... 49

23. FRAUD AND CORRUPT PRACTICES ..................................................................................................... 50

24. CONFLICT OF INTEREST ...................................................................................................................... 51

25. PAYMENT SCHEDULE ......................................................................................................................... 52

26. PRICE SCHEDULE................................................................................................................................ 57

27. CHANGE REQUEST ............................................................................................................................. 62

28. RESPONSIBILITIES OF UPPCL .............................................................................................................. 62

29. TERMS AND CONDITIONS .................................................................................................................. 62

30. APPENDIX I: PRE-QUALIFICATION & TECHNICAL BID TEMPLATES ...................................................... 75

31. APPENDIX II : COMMERCIAL PROPOSAL TEMPLATES ......................................................................... 89



1. Fact Sheet Clause

reference Topic

Section Two stage (Technical and Commercial) selection procedure using Quality-Cost

Based Selection Criteria (QCBS)

Tender Cost Rs. 20000/- (Twenty Thousand only including applicable taxes) by

Demand Draft payable to EE ESPC III Uttar Pradesh Power Corporation Ltd

Lucknow Payable at Lucknow. RFP can be downloaded from the website:

www.uppcl.org

Earnest Money Deposit of amount “INR 5000000/- (INR FIFTY LACS ONLY)” in

the form of Bank Guarantee on non judicial stamp of INR 250/-drawn on any

nationalized Scheduled commercial Bank in favour of “EE ESPC III Uttar Pradesh

Power Corporation Ltd Lucknow”

A pre-Bid meeting will be held on 6th May 2014 at 1100 Hours

Venue: 15th Floor Shakti Bhawan Extension 14, Ashok Marg Lucknow (U.P.)

The name, address, and telephone numbers of the Nodal Officer is:

A P SINGH

Executive Engineer

Information Technology Division

Mobile No 9650066788

Fax Nos. 0522-2287503

[email protected]; [email protected]

All the queries should be received on or before 05th May 2014 1500 Hrs, either

through post, fax or email.

Proposals should be submitted in the following language(s): English

Proposals must remain valid 90 days after the submission date, i.e., until: 31

st

August 2014

Bidders must submit

An original (Marked Original) and Four additional (Marked Copy 1,2,3,4)

copies of each proposal along with <Four> copy of non-editable CD for

Prequalification & Technical Proposal

An original (Marked Original) and Four additional (Marked Copy 1,2,3,4)

of the Commercial Proposal

The proposal submission address is:

Chief Engineer RAPDRP PART A

15th Floor Shakti Bhawan Extension

14, Ashok Marg Lucknow (U.P.)

Telefax: 0522 2287503

Proposals must be submitted no later than the following date and time:

22nd

May 2014 at 1400 Hours

2. Background Information Basic Information

a. UPPCL invites responses (“Proposals”) to this Request for Proposals (“RFP”) from Consulting

agencies (“Bidders”) for the provision of the e-Governance consulting services. UPPCL is the

Nodal Agency for this public procurement.

b. Any contract that may result from this public procurement competition will be issued for a term

of Three Years (“the Term”).



c. The UPPCL reserves the right to extend the Term for a period or periods of up to One Year

with a maximum of Two such extension or extensions on the same terms and conditions.

Proposals must be received not later than time, date and venue mentioned in the Fact Sheet.

Proposals that are received after the deadline WILL NOT be considered in this procurement

Project Background

Introduction:

Uttar Pradesh, with 240928 square Kms area and population of 19,95,81,477 (Year 2011), is the

largest state in India. Uttar Pradesh Power Corporation Ltd. (UPPCL), created on January 14, 2000

as a result of power sector reforms and restructuring in the state of Uttar Pradesh, is responsible for

planning and managing distribution and supply of electricity across state. Further following distribution

companies as mentioned below, were created after GoUP notified transfer of distribution companies

undertakings scheme 2003, on 12/08/2003

Pashchimanchal Vidyut Vitaran Nigam Limited (PVVNL),

Poorvanchal Vidyut Vitaran Nigamd Limited (PuVVNL),

Dakshinanchal Vidyut Vitaran Nigam Limited (DVVNL),

Madhyanchal Vidyut Vitaran Nigam Limited (MVVNL)

Kanpur Electric Supply Co (Kesco), a company registered under companies act 1956, was created

w.e.f. 15/01/2000. These distribution companies will be collectively called Discoms here after.

Government of Uttar Pradesh (GoUP) declared energy policy in 2009 and envisaged increase in

power capita consumption (Gross Electrical Energy Availability/Population) from 411 Units to 1000

Units, by the year 2017. New distribution licenses have been issued on 12.01.2010 to distribution

companies established on 12.08.2003 which replaces distribution, retail and bulk supply license 2000

issued to U P Power Corporation Limited.

The details of consumers and connected load of aforesaid distribution companies, ending March

2013, are given here below

S.

No. DISCOM

NUMBER OF

CONSUMERS

CONNECTED

LOAD (KW)

PROGRESSIVE

UNIT SOLD

(MUs)

SINCE APRIL,

2012 to March

2013

1 2 3 4 7

1 Dakshinanchal Vidyut Vitaran

Nigam Ltd (DVVNL) 2426261 7521778 12577

2 Kanpur Electric Supply Co

(Kesco) 596585 1834331 2363

3 Madhyanchal Vidyut Vitaran

Nigam Ltd (MVVNL) 3157661 6484250 9880

4 Paschimanchal Vidyut Vitaran

Nigam Ltd (PVVNL) 3851327 13336900 17332

5 Poorvanchal Vidyut Vitaran

Nigam Ltd (PuVVNL) 3574661 8293900 11919

DISCOM TOTAL 13606495 37471159 54074



U P Power transmission Corporation Limited has been declared “State Transmission Utility” by

Government of Uttar Pradesh from 18/07/2007 and assets and liabilities of UPPCL related to

transmission function have transferred to U P Power Transmission Corporation Limited w.e.f.

01/04/2007.

Restructured Accelerated Power Development and Reforms Programme (R-APDRP)

Substantial progress has been achieved by Discoms in implementation of the Restructured

Accelerated Power Development and Reforms Programme (R-APDRP) which focuses on reduction of

AT&C losses upto 15% level through strengthening & up-gradation of Sub Transmission and

Distribution network and adoption of Information Technology. Programme is divided in two parts. Part-

A includes the projects for establishment of baseline data and IT applications for energy

accounting/auditing & IT based consumer service centres. Part-B includes regular distribution

strengthening projects and will cover system improvement, strengthening and augmentation etc.

A brief description of work under R-APDRP scheme, sanctioned by Ministry of Power, Govt. of India

for 168 towns having population above 30,000 in various districts of Uttar Pradesh (Annexure –III), is

given below,

S.

No. Discom Details Districts

Total

Nos. of

Towns

Nos. of

Towns

full

GoLive

1

Paschimanchal Vidyut Vitaran

Nigam Limited(PVVNL) head

quartered at Meerut distributing

power in the western part of Uttar

Pradesh

Saharanpur, Muzzafarnagar,

Meerut, Baghpat, Ghaziabad,

Rampur, Bijnore,

Gautambudhnagar,

Bulandshahar, Moradabad and

J.P Nagar

56

38

2

Dakshinanchal Vidyut Vitaran

Nigam Limited (DVVNL) head

quartered at

Agra distributing power in the

Southern part of Uttar Pradesh

Aligarh, Hathras, Mathura,

Firozabad, Mainpuri, Etah,

Jhansi, Lalitpur, Jaonpur,

Hamipur, Mohaba, Banda,

Chitrakoot, Farrukhabad,

Kannauj, Etawah, Auraiya and

Kanpur Nagar

39

16

3

Purvanchal Vidyut Vitaran Nigam

Limited (PuVVNL) head

quartered at Varanasi distributing

power in the

Eastern part of Uttar Pradesh

Allahabad, Kaushambi,

Pratapgarh, Mirzapur, Sant

Ravidas Nagar, Gorakhpur,

Deoria, Kushi Nagar, Basti, Sant

Kabir Nagar, Siddharth Nagar,

Azamgarh, Mau, Balia, Varanasi,

Chandauli, Jaunpur and

Ghazipur

29

13

4

Madhyanchal Vidyut Vitaran

Nigam Limited (MVVNL) head

quartered

at Lucknow distributing power in

the Central part of Uttar Pradesh

Bareilly, Badaun, Shahjahanpur,

Pilibhit, Lucknow, Raebareili,

Unnao, Hardoi, Sitapur,

Lakhimpur Kheri, Faizabad,

Ambedkar Nagar, Sultanpur,

Bahraich, Barabanki, Gonda and

Balrampur

44

37



The highlights of the R-APDRP Part A scheme implemented in Uttar Pradesh for the Discoms of Uttar

Pradesh are as follows.

1. Data Center at Lucknow is Operational

2. Following modules are Functional :

a. Meter Data Acquisition

b. Energy Audit

c. New Connection

d. Disconnection & Dismantling

e. GIS based customer Indexing and asset mapping

f. GIS based integrated network analysis module

g. Centralized Customer Care Services

h. Management Information System (MIS)

i. Web Self Service

j. Identity and Access Management system

k. System Security Requirement

l. Development of Commercial Database of Consumers

m. Metering

n. Billing

o. Collections

p. Asset management

q. Maintenance management

3. Disaster Recovery Center at Noida has been established

4. Customer Care Centres at Meerut, Agra, Varanasi and Lucknow are in operation

5. DGPS based GIS survey in the identified towns is at various stages of completion

6. LAN, MPLS VPN and other Networking are in operation

Salient features of functional application modules are given here below:

1. Customer Care & Billing system:

This is one of the core systems that manage the Customer related data, Billing, metering and

Collection business processes. This module keeps track of meter data and contact of every

customer for billing purpose. Meter Reading, billing and payment history are available in

database.

2. GIS (geographic information system):

Geographical information system (GIS) is used to facilitate UPPCL to perform several types of

analysis on its electrical network for calculation of technical and commercial losses and to do

load flow analysis, voltage drop analysis, fault analysis etc.

3. MDAS (Meter Data Acquisition System):

The Meter Data Acquisition System (MDAS) collects energy and events data from various

energy meters installed at feeders, distribution transformers and consumers.

4. Energy Audit and Network Analysis:

The Energy Audit and Network Analysis system provides accountability for energy in each

administrative boundary like zones, circles, divisions & sub divisions as well as Network

assets of power distribution system.



5. Management Information System (MIS)- Reports/Dashboard:

The MIS module covers the consolidation of the information that is generated through various

day to day transactions, and preparation of meaningful reports as required by top

management, middle management, lower management and officer‘s level and presented in

the form of reports.

6. Customer Care Services:

This system is responsible for receipt and resolution of customer requests, queries and

complaints and will subsequently ensure closure of complaints and intimation to the customer.

The system is well equipped to receive and attend complaints, requests and queries received

through telephone, SMS and IVR system.

3. Objectives of the Consultancy To Design, Develop and Implement an end to end solution for:

1. Analyzing various parameters emanating from R-APDRP system and providing actionable

inputs for different levels of management hierarchy in order to achieve prescribed loss levels

2. Providing decision support system for optimizing performance of both R-APDRP and non- R-

APDRP areas with respect to parameters outlined in Financial Restructuring Plan (FRP) and

formulate enabling technologies.

To ensure, that the above objectives are met, project is being divided in 3 parts:

Part A: Providing Consultancy for Loss reduction, efficiency improvement and Advance

Metering Infrastructure

Part B: Providing Implementation and Support on Technology for Load Forecasting and

Project Management

Part C: Establishment of a Power Resource Center

Part A: Providing Consultancy to UPPCL on the following areas:

Part A1. Structural Gap Analysis of RAPDRP system Part A2: Operational gap analysis and establishment of monitoring and support system for A T & C

loss reduction. Part A3. Designing solution for optimizing performance of Distribution Divisions in RAPDRP and Non

RAPDRP areas with respect to parameters outlined in Financial Restructuring Plan (FRP) Part A4. Preparing Strategic Roadmap for creating advance metering infrastructure in suitable areas

Part A1: Structural Gap Analysis of current RAPDRP

Consultant will identify the structural gaps in the system and business processes that exist after

implementation of R-APDRP initiatives and restrict improvement in operational and financial

efficiencies.



The consultant will develop suitable methodology to study performance of current system, identify

gaps beginning with, “see through of log of issues” referred to ITIA by utility officers from time to time.

This will be collated with high level and low level system design documents, subsequent changes and

other information as available, in consultation with IT consultant of utility. Respective IT Domain

experts such as GIS, Meter Data Management, Network Analysis, Asset Management Data base

management, System analysis, Network analysis, data center technologies and cyber security

provided by consultant will study deficiencies and consultant will submit Report on R APDRP Gap

Analysis. The report will necessarily suggest measures required to address observed deficiencies,

improve performance and fulfill projected requirements for next 5 years. The consultant will provide

details of members of team which may be required for a period of 2-5 months. UP PCL, with prior

agreement, will have option to retain this team for a period as deem fit, to carry out modification,

expansion and modernization.

Section A2: Operational gap analysis and establishment of a comprehensive monitoring

system

The consultant will do the following activities in order to identify the operational gaps in the

ongoing system integrated with business processes.

1. Consultant will develop suitable methodology with utility officers to analyze the parameters

relevant in the context of utility business and objectives specified for program, available data,

and operational reports for different levels of management, at regular intervals. A brief

description of requirements and reports is given here below:-

Financial:

• Revenue Sales, Collection and reconciliation of Arrears etc.

• Improvement in Metering and collection efficiency

• Revenue per unit (Rs/Kwh)

• List of top defaulters

• No. of disconnections made

Operational Efficiency:

• AT&C losses and town /Sub division wise

• AT&C Loss at different Sub-station, Feeder and DTs and order of severity

• DT failure rate and analysis

• Reliability indices of power supply, Area wise outages, consumers affected

and restoration time

• Cycle time of M-B-C after IT implementation vis~a~vis past cases

• Maintenance planning and costing

Customer satisfaction:

• No. of faults (area wise) reported and restoration time

• No. of billing errors/complaints (area wise) lodged and resolution time

• No of pending connections

Planning & Investment:

• Status of new connection and time taken for New connection after IT

Implementation vis~a~vis past cases

• Future planning of any new requirement

Vigilance & Theft Detection:

Energy irregularity:

• DT loading vis~a~vis its Consumers’ consumption (theft)



• Sudden changes in Consumers’ consumption profile vis~a~vis past history

(meter tampering/ bypassing)

2. Consultants will also assist UPPCL in developing a sustainable reporting system for different

reporting levels as given below:

a. Reporting Level: Junior Engineer /Assistant Engineer

1) Feeder Wise / DT wise performance report

2) Data Missing Report for System and Consumer Meters

3) GPRS/CDMA Down Time Report

4) System meter Instantaneous Electrical Parameter Report

5) Meter Not Read Report (due to communication link failure: meter to modem &

modem to DC)

6) Supply Hours Availability Report

7) Tamper Summary Report

b. Reporting Level: Executive Engineer /Superintending Engineer

1) Bus-Bar & Transformation Loss Report

2) Consumer complaints redressal Status

3) Consumer Profile Report

4) DT Peak Load Report

5) Executive Summary on Town Performance

6) Feeder Peak Load Report

7) GIS Based Consumer Indexing Updation Report

8) Consumer New Connection Release Status

9) Power Transformer Peak Load Report

c. Reporting Level: Chief Engineer /Managing Director

1) AMR Data Availability Status Report

2) Consumer complaint redressal Status

3) DT with exceptional profile Status Report

4) Feeder & DT with high AT&C losses

5) Consumer New Connection Release Status

6) Less Power Supply Availability Report

7) System overload Report

d. Reporting Level: Nodal Agency, RAPDRP

1) Town wise AT&C loss report

2) New Connection provision time status

3) Customer Grievance redressal status

e. Reporting Level: Ministry of Power

1) Town wise AT&C loss report

2) New Connection provision time status

3) Customer Grievance redressal status

3. Consultant, on the basis of findings of the above study, shall plan suitable interventions, at

management and field level to support operations by deploying filed executives of required

capacity who will hand hold utility engineers in appropriate manner to design and develop

local strategy related to meter reading, bill delivery and collection systems, to improve

revenues.



4. Consultant will analyze inputs that create inconsistencies in aforesaid reports. A few of

expected cases are mentioned here below.

a. Remote meter reading of meters installed at feeders, Distribution transformers and

consumers are not available through GPRS, for reasons attributed to malfunctioning

of Modems, Meters and others

b. Electrical assets are not mapped properly.

c. Consumers, in GIS database, are not linked to assets correctly.

5. Consultant will deploy human resources to identify and rectify the defects as the consultant

deems fit. The consultant’s role is limited to identification of the inconsistencies. The

deployment of these inconsistencies is not in the scope of the consultant.

6. Consultant will recommend suitable application/s, interventions to generate error free reports

and provide actionable inputs to achieve objective of reduction in losses. The appointment of

the agency will be done by UPPCL. As a deliverable give DPR for budgeting purpose.

7. Consultant will deploy 117 number field executives and other executives as given in section

26, rate card, for all 168 (Annexure III) towns at places as decided by UP PCL for an

appropriate period but not less than two years for support, training and capacity Building of

the utility officials during the currency of project to work for energy loss reduction and take

care of other aspects of project. The number of personnel deployed may change as per

UPPCL’s requirements..

Part A3: Preparing strategic roadmap, designing solution for efficiency improvement and

optimizing performance of both R-APDRP and non- R-APDRP areas with respect to parameters

outlined in Financial restructuring plan (FRP)

The Electricity Distribution Division is functional unit in Discoms and primarily responsible for

distribution planning and operations. This unit is assisted by test division for testing of meters and

other electric equipment at sub-stations. Material management is taken care of by store division and

works division looks after construction of sub-stations and lines.

The performance of Discoms is function of sum of performance of distribution divisions, therefore it is

important to consider factors associated with performance of distribution divisions in structured

manner and determine parameters for measurement, control and comparison of relative performance.

The performance of electric distribution division is dependent on consumer mix, quality of assets,

demographic profile, climatic conditions and socio-economic development of geographical area.

The purpose of this exercise is to identify, observe and determine such factors affecting operational

and financial performance of distribution divisions. Efforts shall be made to prepare list of

interventions, scenario analysis and project trajectory of improvement in view of applied corrective

measures. Primary objective will be to prepare the least cost plans at unit level leading to aggregate

plan at Discom level for forecasting of performance on short, medium and long term basis.

Consultant will analyze the existing system of supply and revenue structure including metering, billing

and collection of consumers present in both RAPDRP and areas not covered by R-APDRP, which is

predominantly rural in characteristic. Consultant will outline the scope and structure of the proposal

for improvement and define methodology along with UPPCL.

Consultant will analyze the Financial Restructuring Plan FRP (Annexure IV) and identify the

parameters that are required for performance improvement and FRP reporting. It is expected that the

consultant will deploy a suitable team of experts of relevant domains to perform micro level analysis of



all functional units, (Divisions) and identify related constraints for designing optimal solution in order to

achieve FRP targets.

FRP specifies that Discoms should ensure fiscal discipline and operational performance by the following steps: a) Tight control of finances, computerization of financial control by implementing an ERP system is recommended. b) Optimal power procurement by proper planning. c) Periodic update of power procurement plan. The power procurement plan should be reviewed at updated periodically. If any of the planned capacities are expected to be delayed, the Discoms should take necessary action to identify alternate capacities. For example, if any of the State’s own generation projects are getting delayed due to reasons such as environmental clearances; long term procurement bids may be initiated. d) Assess baseline level of losses based on a scientific study as directed by GoI framework and by UPERC. e) Establish an effective energy audit mechanism f) Develop loss reduction strategy focusing on high loss areas identified by energy audit mechanism

Consultant is expected to perform due diligence on Financial Restructuring Plan of Discoms to

contrive the optimal solution. Some of the parameters are mentioned here below:

a. Actual performance of Divisions vs targets fixed on the bass of FRP assumptions

i. Average Tariff Increases

ii. Power Purchase Cost

iii. Revenue Subsidy

b. Operation review reports

i. Demand Supply Position in State

ii. Transmission, Distribution and Commercial losses

iii. Installed Capacities and Generation Portfolio

c. Financial review reports

i. Power Purchase Cost

ii. Growth in Expenses

iii. Subsidy support over the years

iv. Trends in average tariff and average cost of supply

v. Accumulated Loss

d. Energy Sales Forecast Report

e. Energy Availability and Power Procurement Plan

f. Energy Balance

g. Investment Plan and its financing

h. Regulatory Measures and Tariff Increases

i. Collection Efficiency

j. Loan Restructuring reports

k. Financing and Loan Recast Report

l. Summary of Projections

On the basis of the analysis, consultant will suggest strategic roadmap, appropriate

methodology and interventions required, design appropriate solution on least lifecycle cost

basis and detailed project plan to achieve or outperform FRP targets.



For the recommended specific solution required to execute the plan, through outsourced

implementing agency (including IT Implementation), then consultant will prepare cost

estimates and technical specifications for the recommended system design in the form of a

Detailed Project Report (DPR). The Consultant will also include the preparation of Notice

Inviting Tenders (NIT), bidding documents, bid evaluation reports and finalization of contract

award recommendations for consideration of UPPCL.

The consultant will recommend and finalize a DPR format in consultation with UPPCL. The

DPR will be prepared only after the proposed solution is accepted and decision is taken to

implement the same by the management.

This assignment also involves the supervision of awarded contracts on behalf of UPPCL and

shall include among other contract management activities, review of the vendor drawings

including Quality Assurance Plans, Project Plan, and Methodology for Implementation,

resource deployment schedules, test certificates, inspection plans, site supervision,

inspections etc. The Consultant shall carry out all project monitoring activities such as

finalization of Project Plan and measurement of physical and financial progress against the

Project Plan through regular reviews at various levels and prepare regular progress reports.

The Consultant shall also hand hold during execution of the project.

Part A4: Preparing strategic roadmap, designing solution for efficiency improvement and

assisting in selection of Implementing Agency for creating Advance Metering Infrastructure in

suitable areas

Consultant will conduct extensive survey of meter reading technologies, like automated meter reading

based on RF mesh networks, PLC based or others, their characteristics and main features. This may

require extensive literature survey and study of field reports and comparative studies available with

reputed organizations and joint site visits at places of successful implementation in India or abroad,

subsequently creating an inventory of technologies for UPPCL project area with possibility of scaling

up in other areas. Simultaneously consultant will prepare identify candidate areas for relevant

technologies and prepare techno-economic feasibility reports after having an understanding of the

existing IT systems and business processes of UPPCL in the identified areas.

Subject to acceptance of techno-economic reports consultant shall design a suitable system in

consultation with UPPCL, based on the Diagnostics Report, capable of meeting the overall objective

of setting up efficient service delivery systems and sustainable business processes. The Consultant

shall also prepare cost estimates and technical specifications for the recommended system design

and present the findings in the form of a Detailed Project Report (DPR). The Consultant would assist

in preparation of Notice Inviting Tenders (NIT), bidding documents, bid evaluation reports and

finalization of contract award recommendations for consideration of UPPCL.

This assignment also involves the supervision of awarded contracts on behalf of UPPCL and shall

include among other contract management activities, review of the vendor drawings including Quality

Assurance Plans, Project Plan, and Methodology for Implementation, resource deployment

schedules, test certificates, inspection plans, site supervision, inspections etc. The Consultant shall

carry out all project monitoring activities such as finalization of Project Plan and measurement of

physical and financial progress against the Project Plan through regular reviews at various levels and

prepare regular progress reports. The Consultant shall also hand hold during execution of the project.

Consultant to include best practice sharing trips, one in India and one out of India, to ensure exposure

to the UPPCL to the global best practices of running a utility. The travel and boarding lodging for

UPPCL personnel will be arranged by UPPCL



Part B: Design Implementation and Support of Decision Support System for Load Forecasting,Theft Analysis and Integrated Project Management

Consultant will develop suitable methodology of data analytics using business intelligence tools to

transform data into actionable insights and create a decision support system of data analytics on the

basis of available inputs in the form of periodic reports related to revenue, energy import and others

for designing. This would involve, the following actions-

1. Collecting related data from diverse sources including billing systems and on-going

projects

2. Cleaning, storing and managing data

3. Extracting in appropriate formats and analyzing data

4. Preparing association rules relevant to context

5. Reporting analysis results

6. Making decisions and taking action

7. Taking feedback and identifying gaps.

8. Creating feedback system

Activities can be sub-divided as follows

B1: Implementation of Decision support system for:

a. Load Forecasting

b. Power Portfolio Optimization

c. Theft Analytics

B2: Project Management System: Implementation and Operations

B3: Implementation of Outage Management System

Part B1.a. Load Forecasting:

Scope of Work for Load Forecasting.

In a significant development, Central Electricity Regulatory Commission of India (CERC) has enacted

regulations (Deviation Settlement Mechanism and related matters) Regulations, 2014, vide No.L-

1/132/2013/CERC w.e.f. from 17.2.2014 to maintain grid discipline and grid security as envisaged

under the Grid Code through the commercial mechanism for Deviation Settlement through drawal and

injection of electricity by the users of the grid. This requires Discoms to have an efficient load

forecasting mechanism to abide drawal of power from grid within declared schedule.

Decision support system for load forecasting

Decision support system for load forecasting, is vitally important for the electric utility in

existing regulatory structure of India. Accurate models for electric power load forecasting are

essential to the operation and planning of Discoms. Load forecasting helps Discoms to make

important decisions including decisions on purchasing electric power, load shedding, and

other infrastructure development. At present U P Power Corporation limited does not have a

structured load forecasting model for procurement of power and load shedding.



Consultant will review and submit analysis of statistical and artificial intelligence techniques

that can be used for electric load forecasting for Divisions. Appropriate analysis of factors that

affect the accuracy of the forecasts such as weather data, time factors, consumer categories,

as well as economic and end use factors, will be done. The model developed will be suitable

for forecasting load for different time horizons short, medium and long term and varying

weather conditions to estimate load flows and to make decisions that can prevent

overloading.

The accuracy of load forecasting which depends on load forecasting techniques and on the

accuracy of forecasted weather scenarios should be equal to the best available anywhere in

similar conditions. Following are the functionalities expected from Load forecasting system

i. Load forecasting accuracy measurement across the network hierarchy considering the

system level, feeder level, DT level and meter level.

ii. Various Monthly/Hourly Load profiles across various customer class depicting

forecasted load models

iii. Time of day patterns of load consumptions across customer segments and load

characteristics on transformers with ability to filter data dynamically.

iv. To support operations planning and analysis, half-hourly area loads shall be forecast

for up to eight days in the future. The user shall be able to save forecasts in any of four

save cases, one of which shall contain the active forecast that shall be available for

study functions such as Distribution Power Flow.

v. Distribution Load Forecast shall make adjustments to future half-hourly forecasts

automatically. This shall be based on the amount of mismatch between the forecasted

loads and the actual loads of previous half-hours as they become known.

vi. The user shall be able to enter up to seven user-defined weather conditions for up to

three predefined times of the forecast day. These conditions can include: temperature,

barometric pressure, relative humidity, precipitation level, wind speed, wind direction,

and luminosity.

vii. A similar day forecast shall be used that is based on the normalized half-hourly load

values stored for each of seven-day types. Provision shall be made for storing day

types for the last 25 months. The storage shall be updated each day by replacing the

oldest of the same day type with the most current actual load curve.

viii. The similar day forecast shall search the 25-month file for the same day type whose

weather conditions best match those entered by the user. It shall then present the

user-entered and best-matched conditions, for user comparison, together with the

chosen day's loads as the suggested forecast. The user shall be able to modify any of

the forecast's loads manually. In addition, the user shall be able to scale the entire

forecast by simply specifying an appropriate peak load value.

ix. Multi-day forecasts shall be constructed by permitting the user to define the input data

for each forecast day.

The load forecasting will be deemed to be successful, if it forecasts loads with an accuracy of

95% over a period of 3 months. The 95% accuracy will be calculated as follows:

A: Number of slots in which the forecast is met against the forecasted demanded.



B: Total number of slots in a month. Total slots in a day are 48 (one slot is of 30 mins) x 30

(Days).

Actual achieved forecast: (A/B) x100

The measurement of the accuracy will be based on Mean Absolute Errors in half hourly,

hourly, and weekly load forecasts

Mean Absolute Errors daily Peak, Monthly Peak, and Annual Peak loads

Consultant would be expected to carry out extensive literature survey, seek experts’ opinion if

required from individuals and institutions and formulate a methodology to create an effective analytics

solution with least difference in projected and actual demand. This will be followed by installation and

commissioning of such system including arrangement of hardware, software, reporting and data

collection mechanism.

B1.b. Decision Support system for Power portfolio optimization (Peak Load

Management, Demand Response & ToU Modelling)

Peak demand normalization assists the electric utility in planning for future supply needs and

capital expenditures. The operating efficiency of the electric provider is primarily determined

by capacity to meet the cyclical demands of various customer segments. During periods of

very high electricity demand (peak), capacity becomes limited. In short, the resource problem

of the industry is having enough capacity to meet the annual peak demand which typically

occurs in the summer or winter. Decision support system will recommend a power portfolio

optimization system, at aggregate level, to procure power in the most cost effective manner.

The recommended system should have the capability of doing all of the work given below:

i. Load research produces simple models to be used in applications where only

available data is monthly / bi-monthly energy consumption and customer class from

the billing data. Using the load models the application can estimate the load for one

year on hourly basis.

ii. Build / Configure / Customize the analytics platform to anticipate which part of the day

(hours) the future load may be high in the near future (may range from a few days

ahead / week ahead to month ahead) taking into consideration weather uncertainties

and extreme occurrences. The peak load prediction is expected to be very high and

should be based on advanced mathematical algorithm without the subjective bias.

iii. Establish correlation matrix charts for understanding the relationships of consumption

versus parameters such as temperature, minimum temperature, maximum

temperature and other influence parameters

iv. Build processes to Compare load profiles of different consumers within or across the

same industry segment. It should be able to bring out pattern out of variations in the

load profiles that is not visible in a spreadsheet environment. The analysis should be

capable of executing in multiple levels of distribution chains: like Distribution

Transformer, Feeder etc.



v. Create the hierarchical load profiles for time of day, day of week (weekday,

Saturday/Sunday, holidays, festivals), monthly, annually across consumer meter,

distribution transformer, feeder and system level.

vi. Create baseline multi-variate regression models of the peak profiles taking into

consideration weather parameters such as Temperature, Humidity, Feels Like factors

and time of day, day of week, month and year.

vii. Identify consumers having individual consumption pattern similar to aggregate

Consumption pattern. Prepare the load profiles in a visual and easy to understand

manner and should provide good insight of consumption patterns of consumers.

Configure the analytics engine to identify consumers with -

a. Similar load patterns to the Aggregate load curve

b. Non-similar load pattern to Aggregate load curve.

viii. Configure the time-series hierarchical forecasting load forecasting system to forecast

system level peak loads, daily / weekly / monthly based on hourly consumption data.

It should include configuration of the diagnostic process for baseline forecasting and

adding effects such as Recency Effect, Calendar (Weekend Effect), Holiday/Festival

Effect.

ix. Configure the load forecasting system for scenario modelling for changes in

explanatory variables and studying the impact on peak loads.

x. Configure the error analysis and outlier detection.

xi. Create a repository of load models for customer class, day and time duration with

confidence level

xii. Support the functionality for medium term and long term average load / peak load

forecasting taking into consideration macro-economic data, weather data. SI to

source, collect and build a repository of data from third party service provider if

applicable.


required from individuals and institutions and formulate a methodology to create an effective analytics

solution with sustainable least cost rate. This will be followed by installation and commissioning of

such system including arrangement of hardware, software, reporting and data collection mechanism.

B1.c. Loss/Theft / Leakage metrics system

Non-technical losses are caused by actions external to the power system and consist

primarily of electricity theft, non-payment by customers (or not billed), and errors in

accounting and record-keeping. Identification of sources of non-technical losses requires

ingenuity in analysis and processing large amount of billing data to understand pattern and

find outliers. The activities that cause non-technical loss are the following:

Tampering with meters to ensure the meter recorded a lower consumption

reading

Tapping (hooking) on LT lines



Stealing by bypassing the meter or otherwise making illegal connections

Faulty energy meters or un-metered supply

Errors in technical losses computation

Errors and delay in meter reading

The loss/theft analytics system should be able to undertake the following:

i. Alert potential fraudulent energy use: Build Alerts to identify occurrence of

diverting, by-passing, or tampering with power connections or meters results in

higher rates and potentially unsafe conditions. Such mal-practices are wide

spread that costs an average utility companies and valid customers millions

annually. The need is to access the customer level usage and demographic data

by leveraging data mining to stay one step ahead of the perpetrators by:-

a. Analyzing data to identify new patterns of transmission versus

usage.

b. Set fraud alert engines based on voltage correlation and topology

imbalance using advanced analytics/data mining and operation

research techniques.

c. Manage potential fraud cases efficiently, from detection through

notification of the authorities

ii. Visualization capability: For proactive or early intervention to reduce technical

and commercial losses, the utilities need have capability of generating different

kinds of reports like:

a. Loss analysis for different groups and categories of consumers

b. Given the voltage and energy information for already deployed or

planned deployment of smart meters, the software solution

should be able to identify the meters with stolen energy

c. Given the GIS map of a secondary distribution network, the

solution should overlay the identified meter ids of the accounts

(stealing power). It should also be able to estimate many

indicative figures like: average hourly power stolen etc.

iii. The system use should be able to compare consumption recorded at distribution

transformer (DT) with the billed consumption of customer meters being fed by the

respective distribution transformer using consumer indexing data from GIS. GIS

maps should show calculated loss levels for each DT along with identified high

loss making area being fed by the DT

iv. Perform error management like : Missed reads and Intermittent meter reads

v. Measure off-peak, mid-peak, min-max and average voltage and also use the

advance statistical process control like Shewhart analysis, to identify mechanical

diversion.



vi. Consumption Segmentation and profiling of segments: Build the Clusters for the

customer population into smaller meaningful sub-sets with data mining based

clusters based on past consumption behavior and pattern.

vii. Risk Maps with tile charts on the feeder/DT having higher losses

viii. Implement a proper energy accounting gap analysis framework. It should enable

quantification of losses in different segments of the system and would provide the

means to identify the areas of leakage, wastage or inefficient use.

ix. Build and troubleshoot energy problems and billing errors process by consistently

tracking energy use. It should identify an unexplained increase in consumption,

triggering for an investigation for the cause. For example, a correlation plot

should be revealing the strength of relationship between consumption and other

factors like area, weather, income etc.

x. Configure smart meter data combined with enhanced line sensors enable tighter

tracking of power delivery – from the point of distribution all the way to the home

or business. To detect fraud or collusion, utilities must have a comprehensive

understanding of a customer’s behavior and associated drivers (weather, special

events, seasonal use of property, etc.).

xi. Alert potential fraudulent energy use: Build Alerts to identify occurrence of

diverting, bypassing, or tampering with power connections or meters results in

higher rates and potentially unsafe conditions. Such mal-practices are wide

spread that costs an average utility companies and valid customers millions

annually. The need is to access the customer level usage and demographic data

by leveraging data mining to stay one step ahead of the perpetrators by:-

xii. Analyzing data to identify new patterns of usage, Setting fraud alert / transformer

overload alerts / demand – supply gap alert engines.

xiii. Managing the workflow from detection to alert generation to resolution through

notification of the appropriate authorities and the correction / preventive action

with ability to have an auditable process with facility to capture any

reports/documents/pictures generated/taken during the resolution / investigation

process.


required from individuals and institutions and formulate a methodology to create an effective

analytics solution with high strike rate. This will be followed by installation and commissioning

of such system including arrangement of hardware, software, reporting and data collection

mechanism.

Part B2. Implementation and Operations of Project Management System

Distribution Divisions in Discoms execute several projects related to system improvement,

capacity enhancement, new area development, renovation and modernization and new

initiatives. Supervising officials have to prepare estimates benefit analysis, bill of quantity and

submit progress reports regularly. Discoms take decisions to procure materials and make

schedules on such inputs provided by divisions.

The Consultant will recommend and implement a comprehensive IT based web enabled

project management system that facilitates project development and management on

common platform with hierarchical report generation for different management levels, with the



existing IT infrastructure which is on Oracle. For understanding the project management

systems, the system integrator needs to study the current project management systems

before submitting response to this RFP.

UPPCL has multiple projects going on across the state at the same time. While these projects

are progressing there is minimal real time reporting of the progress of these projects. In order

to have a real time monitoring of these projects, the system integrator is required to

implement an appropriate project management system.

Part B3: Outage Management System:

The objective is to improve availability and reliability, customer satisfaction, proactive

maintenance to avoid failures. Outage Management is extremely important for the Utilities

and the customers they serve. The Utilities will leverage existing OMS (if exists) and utilize

the capabilities of AMI and grid automation to improve grid reliability by self-healing and more

quickly and accurately identifying the location and magnitude of an outage, resulting in faster

restoration.

The automation components provide the network status there by aiding the OMS in resolving

the faulty network section. Subsequently through the process of, isolation of faulty section and

identifying the alternate network path, the appropriate line components are activated to

restore power. This process is completed in the least possible time. Further, condition based

monitoring of critical assets like distribution transformers will help in taking proactive

corrective action based on alarms from remote sensors.

Decision Support System for Outage Information visualization and reporting

The system will include in-memory Visualization / Graphical User Interface for monitoring the

energy and asset health parameters from the master station with complex event stream

processing capability and all Outage Information monitoring capabilities. The system should

be built on single enterprise analytics platform that supports the implementation of complex

event stream processing technologies, in-memory analytics and visualization, application of

neural network and data mining techniques to builder rules for predicting the overload

condition and propensity of failure scores. The system should have natively integrated (direct

plug-ins) with MS Office tools such as MS Excel, MS Word, MS Power-point and MS Outlook.

The system should facilitate data exchange on XML & SOAP framework or native access to

databases/applications. SCADA/OMS Vendors shall provide CIM/XML Adapters for ICCP,

OPC or ODBC for their System and CIM/XML Model repository for data and model

exchange with IT Systems.

i. Create Visualization of changes in outage information available real-time, alarms and

events by integrating AMI data, GIS data, Asset Management Data and Historian Data.

a. Time stamped events / alarms for:

b. Power or communication failure

c. Low oil level

d. Tampering indication

e. Loading level

f. Unbalance

g. GUI for monitoring energy & asset parameters



ii. Create Correlation matrix between different types of transformer (3-phase/1-phase etc)

with parameters such as meter counts, load consumption, circuit load, weather

parameters.

iii. Create and configure the system to give the following additional visualization

a. Time of day segmentation analysis of events & alarms

b. Event Frequency Trend analysis

c. Multi-variate correlation analysis of events/trends with weather,

network, feeder

d. Statistical Process Control charts on events/alarms/outages

iv. Create classification, segmentation and predictive models for the following:-

a. Network / Feeder / Distribution Transformer Mix of Alarms/Events

b. Data Driven Event Correlation Analysis of alarms for alarm suppression and

fault development early warnings and root cause analysis with decision trees.

c. Predictive models for accurate prediction of outages with variables having

significant impact on the outages.

d. GIS integrated output to understand the impact of outages.

e. Distribution analysis of fault restoration.

v. Integrate operational data such as Workforce data, maintenance planning data, real time

fault event/alarms prioritization data, asset location data, spares data, route data for

optimization of the workforce allocation. Build a workforce optimization model using linear

programming, mixed integer linear programming or non-linear programming.

vi. Proactively real time monitoring of the distribution network to assess the load and voltage

condition to identify problem areas and recommend corrective action.

vii. Combine geospatial visualization with predictive analytics, the predictive enterprise utility

can shorten outages from weather events and identify weak points in the electrical

distribution system thus preventing future outages in transformers / cable.

viii. Create transformer segments/clusters across the network based on transformer attributes

such as type, rating, age, failure history, failure type, consumption history, meter’s -

growth history, inspection history.

ix. Create transformer overload models for early warnings using transformer voltage, current,

power factors, number of meters connected, consumption data, transformer attributes,

and surges at the primary and secondary sides of a single-phase / 3-phase distribution

transformer.

x. The transformer overload early warning models should be built on integrated analytics

approach using statistical process controls, statistical analysis, data mining techniques

and advanced visualization techniques.

xi. The data driven predictive models should be applicable to diagnostics of cable failures

Number of failures in the past Size of cable (cross section), Nature of size: Yes and NO ,

Type of the insulation – XLPE, PILC,XLPE+PILC, Nature of section: UG, composite,

Joint of cable: XLPE, PILC, Transition, Differential size etc, Loading: Max, Max-min

difference, average, Duration of the over load, Voltage surges: voltage violation from the

operation, External factors : Damage by agencies (Y or N), Weather: It contributes to

loading (temperature, humidity etc), Fault in the run: insulation wear-off (Y and N),

Vulnerability to water ingress: High, medium, low, None Termination failure: Y& N,

Vulnerability to chemical reaction: High, medium, low, None, Age of cable, Make /

manufacturer of the cable

xii. The summaries should provide the number and scope of outages e.g. XX unconfirmed

outages with potential of XXX customers affected.

xiii. The in-memory visualization should be deliver the asset reliability metrics across the

network and changing trend on rolling basis for last 3 months, 6 months, 12 months, 18



months:

a. System Average Interruption Frequency Index (SAIFI)

b. System Average Interruption Duration Index (SAIDI)

c. Customer Average Interruption Duration Index (CAIDI)

xiv. The system should provide an incident summary screen which displays current outages

and associated information including Outage number, Outage Status, Device(s), number

of outage calls per outage, number of affected customers per outage scenario, start time,

assigned crew(s) and operating area.

xv. The user shall be able to sort his list of outage events associated with his area of control

by any combination of the displayed sets of fields such as outage type, planned or

unplanned etc.

xvi. The system should allow for the ability to update outage related information including

outage cause, restoration steps and restoration time and type of equipment affected. The

system should enforce the entry of certain fields such as restoration time, outage cause

code prior to allowing a user to close an outage.

xvii. The user shall be able to select any outage event and see the detailed customer called-in

comments entered by the customer service representative associated with the predicted

or confirmed event.

xviii. The user shall be able to manually enter the start time for an outage event. The system

shall save all outage events that had their start times manually overridden in a table,

identifying the user, time of override, current and overridden values.

xix. The user shall be able to create an event anywhere along a circuit segment or advice for

a hazardous / emergency call

xx. The user shall be able to generate a tabular list of all devices that are currently operating

in their abnormal state.

xxi. The system shall be able to track all the outages (planned and unplanned) associated

with a given consumer.

xxii. The user shall be able to generate a tabular list of work orders that were created for an

outage event and see their current status information or completion dates.

xxiii. The system shall be able to track all the maintenance activities done on a given network

element like distribution transformer, line segment etc.

xxiv. The ability to search for facilities by multiple search criteria like device type, abnormal

devices, planned outages, unplanned outages, consumers affected by outages etc.

xxv. Create dashboards for assessment of risks of each individual asset, feeders and the

overall system providing a top to bottom understanding of the power system and the

revenue required to optimally manage risk coupled with the transformer survival models.

xxvi. Create the workflow system for corrective and preventive action which would be auditable

and provides the flexibility to route the cases to different stakeholders through an

approval process. Also support the creation a repository of all corrective / preventive

action and investigation reports / videos / comments.

The OMS system will be implemented in two stages. The above work will be done as part of

stage 1. The data in stage one will come manually.


required from individuals and institutions and formulate a methodology to create an effective

analytics solution that result in maximization of revenue to utility and customer satisfaction.

This will be followed by preparation of DPR, selection of System integrator and installation



and commissioning of such systems along with hardware, software, reporting system and

data collection mechanism.



Data sources for analytics initiatives

Data sources, as mentioned below, which are available with UPPCL data sources coupled

with data collected from other reliable sources will help in building an intelligent system which

have descriptive as well as predictive characteristics:

1. Census track data

2. System data such Energy Readings of Feeders, Transformers

3. Outage information

4. Short term load forecasting data from SCADA as and when available in 12 towns of

Uttar Pradesh

5. Transformer load flow data in R-APDRP towns

6. Consumers’ Data in form of energy meter readings and customer feedback

7. MIS reports related to commercial and Technical aspects of Distribution system

performance.

8. Historical demand data

9. Market data (Commodity Markets and other market intelligence inputs)

Any other data that will be required for the decision support system will be made available by

UPPCL.

Consultant will also submit a report regarding requirement of measurement points and

methodology at places where such inputs are not available (what is the RFP required for?)

Part C: Power Resource Centre:

UP PCL has conceptualized creation of Power Resource Centre (PRC) that will be set up under the

UPPCL to serve as an apex body for technical and program management assistance.

Power Resource Centre's mandate will be to assist in policy and strategy development in the

provision and mobilisation of technical assistance to the Government of UP. The goal of this institution

is to assist in reducing distribution loses, adoption of ICT in power sector and improve availability of

power to the citizens by facilitating governance reform, power systems innovations and improved

information sharing among all stake holders at the state, district and sub-district levels through

specific capacity development and convergence models. In the above process, PRC shall build

extensive partnerships and network with all those organizations and individuals who share the

common values of power sector reforms, availability and quality of power to achieve its goals

Consultant will analyse the various models existing in the world for setting up such a technical

assistance resource centre in power sector. Consultant will then draft the Mission, Vision statement of

the PRC and will work with Government of UP to set up such institution. Consultant will define the

scope, structure and its memorandum of articles. Consultant will become part of PRC and work as

Program Management Group to support all the initiatives.

To staff the PRC, the consultant will provide a team of domain experts on a standard rate card, as

part of the schedule of payment.



Any Hardware and Software that is required for the implementation of all systems in Part A, B or C,

will be recommended by Consultant, which needs to be procured by UPPCL, and will remain out of

scope for Consultant unless a proper agreement is in place.

Project Deliverables.

Part A1:

Consultant Deliverable: A document clearly outlining the gaps observed in the R APDRP

implementation, as against the industry best practices and recommended actions to address the

gaps. This document will also address the issues, UPPCL personnel are facing with the system

implemented. These recommendations may or may not be part of the scope of work of RAPDRP.

Part A2:

Consultant’s Deliverable: A document outlining the Data flow, Report format and Responsibility

Matrix, which if executed by UPPCL and its R-APDRP vendor(s) as per the processes recommended

therein, will lead to effective reporting system.

Consultant’s Deliverable: A document outlining the recommended interventions in relating to

metering, billing & collection systems, which if implemented by UPPCL, would lead to improvement in

revenues.

Consultant’s Deliverable: A document outlining the recommended training plan and capacity

building roadmap of key functions and select entities within UPPCL, which are relevant and critical to

the success of the project.

Consultant’s Deliverable: A document outlining the Process flow and Responsibility Matrix, which if

executed by UPPCL and its R-APDRP vendor(s) as per the processes recommended therein, will

lead to generation of the said reports.

Consultant’s Deliverable: The consultant will provide required field support executives with suitable

qualification, skill, aptitude and experience as agreed with UP PCL, to provide support utility

personnel in analysis of available data and MIS reports and to assist in implementation of monitoring

system for energy loss reduction on standard rate card basis.

Part A3:

Consultant’s Deliverable: A document providing 3600

view of Distribution divisions and detailed

analysis of performance parameters along with outlining the recommendations for non-RAPDRP

towns and villages, which if implemented by UPPCL, shall lead to minimization of gap in per unit

revenue and cost of service

Consultant’s Deliverable: For each recommendation accepted by UPPCL, consultant shall prepare

and submit the following documents to UPPCL: 1. DPR, 2. Draft NIT, 3. Draft RFP, 4. Suggested

evaluation of technical bids, 5. Project Plan, 6. Regular status update reports at pre-defined

frequency, 7. Project Completion Certificate. Consultant shall not take the responsibility for the

following aspects: (i) legal terms and conditions anywhere in the above process or documents, (ii)

commercial evaluation of bids or legal compliance of bidders, (iii) invoice verification or payment

approval to bidder/ vendor, (iv) Contract to be executed by and between UPPCL and bidders/vendors.



Part A4:

Consultant Deliverable: A document containing inventory of contemporary and relevant metering

technology along with strategic roadmap and solution for efficiency improvement by creating Advance

metering infrastructure in suitable areas.

Consultant’s Deliverable: For each AMI technology recommendation accepted by UPPCL at

specified site(s), consultant shall prepare and submit the following documents to UPPCL: 1. DPR, 2.

Draft NIT, 3. Draft RFP, 4. Suggested evaluation of technical bids, 5. Project Plan, 6. Regular status

update reports at pre-defined frequency, 7. Project Completion Certificate. Consultant shall not take

the responsibility for the following aspects: (i) legal terms and conditions anywhere in the above

process or documents, (ii) commercial evaluation of bids or legal compliance of bidders, (iii) invoice

verification or payment approval to bidder/ vendor, (iv) Contract to be executed by and between

UPPCL and bidders/vendors.

Part B1.a

Consultant’s Deliverable: A document containing elaborate comments on relevant portfolio

optimization techniques and set of IT-enabled system-generated reports that UPPCL will receive or

be given access to; the exact set of reports will be detailed out after due deliberations on

requirements.

Consultant’s Deliverable: A document containing elaborate comments on relevant load forecasting

techniques and appropriate load forecasting tool implemented and live; and load forecast reports at a

pre-defined frequency for each Discom.

Part B1.b

Consultant’s Deliverable: A document outlining the recommended process for data requirement and

collection methodology, which, if implemented by UPPCL or R-APDRP vendor(s), shall lead to

elimination of any gaps in data.

B1.c. Loss/theft / leakage metrics system

Consultant’s Deliverable: A document outlining contemporary loss detection techniques and

development of identification of Non-technical losses with robust reporting system primarily for

electricity theft.

Consultant’s Deliverable: Implementation and go-live of IT-enabled web-based loss analysis

system.

Part B2:

Consultant’s Deliverable: Implementation and go-live of IT-enabled web-based project management

system.

Part B3:

Consultant’s Deliverable: Implementation and go-live of outage management system based on a

leading industry-standard off-the-shelf software package.



Part C:

Consultant’s Deliverable: A document outlining the objectives, structure and functional aspects of

power resource center, along with recommended verticals and their scope of work. An appropriate

preferably web enabled communication platform containing ubiquitous referral mechanism will be

delivered.

4. Instruction to the Bidders General

a. While every effort has been made to provide comprehensive and accurate background

information and requirements and specifications, Bidders must form their own conclusions

about the consultancy support required. Bidders and recipients of this RFP may wish to

consult their own legal advisers in relation to this RFP.

b. All information supplied by Bidders may be treated as contractually binding on the Bidders, on

successful award of the assignment by the UPPCL on the basis of this RFP

c. No commitment of any kind, contractual or otherwise shall exist unless and until a formal

written contract has been executed by or on behalf of the UPPCL Any notification of preferred

bidder status by the UPPCL shall not give rise to any enforceable rights by the Bidder. The

UPPCL may cancel this public procurement at any time prior to a formal written contract being

executed by or on behalf of the UPPCL.

d. This RFP supersedes and replaces any previous public documentation & communications,

and Bidders should place no reliance on such communications.

Compliant Proposals / Completeness of Response

a. Bidders are advised to study all instructions, forms, requirements, appendices and other

information in the RFP documents carefully. Submission of the bid / proposal shall be deemed

to have been done after careful study and examination of the RFP document with full

understanding of its implications.

b. Failure to comply with the requirements of this paragraph may render the Proposal non-

compliant and the Proposal may be rejected. Bidders must:

i. Comply with all requirements as set out within this RFP.

ii. Submit the forms as specified in this RFP and respond to each element in the order as

set out in this RFP

iii. Include all supporting documentations specified in this RFP



5. Pre-Bid Meeting & Clarifications

Bidders’ Queries

a. UPPCL shall hold a pre-bid meeting with the prospective bidders on 06th MAy 2014 at 1100

Hours at

Venue: Chief Engineer RAPDRP Part A 15th Floor Shakti Bhawan Extension 14, Ashok Marg

Lucknow (U.P.)

The name, address, and telephone numbers of the Nodal Officer is:

A P SINGH

Executive Engineer

Information Technology Division

Mobile No 9650066788

Tele Fax Nos. 0522-2287503

CERAPDRPPARTA@GMAIL>COM; [email protected]

b. The Bidders will have to ensure that their queries for Pre-Bid meeting should reach to Chief

Engineer RAPDRP Part A 15th Floor Shakti Bhawan Extension 14, Ashok Marg Lucknow

(U.P.) by post or email on or before 05th May 2014 1500 Hrs

c. The queries should necessarily be submitted in the following format:

S. No. RFP Document

Reference(s) (Section

& Page Number(s))

Content of RFP

requiring

Clarification(s)

Points of Clarification

1

2

3

d. UPPCL shall not be responsible for ensuring that the bidders’ queries have been received by

them. Any requests for clarifications post the indicated date and time may not be entertained

by the Nodal Agency.

Responses to Pre-Bid Queries and Issue of Corrigendum

a. The Nodal Officer notified by the UPPCL will endeavor to provide timely response to all

queries. However, UPPCL makes no representation or warranty as to the completeness or

accuracy of any response made in good faith, nor does UPPCL undertake to answer all the

queries that have been posed by the bidders.



b. At any time prior to the last date for receipt of bids, UPPCL may, for any reason, whether at

its own initiative or in response to a clarification requested by a prospective Bidder, modify the

RFP Document by a corrigendum.

c. The Corrigendum (if any) & clarifications to the queries from all bidders will be posted on the

www.uppcl.org and emailed to all participants of the pre-bid conference.

d. Any such corrigendum shall be deemed to be incorporated into this RFP.

e. In order to provide prospective Bidders reasonable time for taking the corrigendum into

account, UPPCL may, at its discretion, extend the last date for the receipt of Proposals.

6. Key Requirements of the Bid

Right to Terminate the Process

a. UPPCL may terminate the RFP process at any time and without assigning any reason.

UPPCL makes no commitments, express or implied, that this process will result in a business

transaction with anyone.

b. This RFP does not constitute an offer by UPPCL. The bidder's participation in this process

may result UPPCL selecting the bidder to engage towards execution of the contract.

RFP Document Fees

a. RFP document can be purchased at the address & dates provided in the Fact sheet by

submitting a non-refundable bank demand draft of Rs. 20000/-, drawn in favor of EE ESPC III

UP POWER CORP LTD , payable at LUCKNOW from any scheduled commercial banks

b. The bidder may also download the RFP documents from the website www.uppcl.org. In such

case, the demand draft of RFP document fees should be submitted along with Proposal.

Proposals received without or with inadequate RFP Document fees shall be rejected.

Earnest Money Deposit (EMD)

a. Bidders shall submit, along with their Bids, EMD of INR 5000000/- only in the form of a Bank

Guarantee (in the format specified in Appendix 1: Form 3) issued by any nationalized /

scheduled bank in favor of EE ESPC III UP PCL , payable at Lucknow, and should be valid

for 12 months from the due date of the tender / RFP.

b. EMD of all unsuccessful bidders would be refunded by UPPCL within 03 Months of the bidder

being notified as being unsuccessful. The EMD, for the amount mentioned above, of

successful bidder would be returned upon submission of Performance Bank Guarantee as per

the format provided in Appendix.



c. The EMD amount is interest free and will be refundable to the unsuccessful bidders without

any accrued interest on it.

d. The bid / proposal submitted without EMD, mentioned above, will be summarily rejected.

e. The EMD may be forfeited:

i. If a bidder withdraws its bid during the period of bid validity.

ii. In case of a successful bidder, if the bidder fails to sign the contract in accordance

with this RFP.

Submission of Proposals

a. The bidders should submit their responses as per the format given in this RFP in the following

manner

Response to Pre-Qualification Criterion : (1 Original + 04 Copies +05 CDs) in first

envelope

Technical Proposal - (1 Original + 04 Copies + 05 CDs) in second envelope

Commercial Proposal - (1 Original+ 04 Copies + 05 CDs) in third envelope

The Response to Pre-Qualification criterion, Technical Proposal and Commercial

Proposal (As mentioned in previous paragraph) should be covered in separate sealed

envelopes super-scribing “Pre-Qualification Proposal”, "Technical Proposal" and

“Commercial Proposal” respectively. Each copy of each bid should also be marked as

"Original" OR "Copy" as the case may be.

Please Note that Prices should not be indicated in the Pre-Qualification Proposal or

Technical Proposal but should only be indicated in the Commercial Proposal.

The three envelopes containing copies of Pre-qualification Proposal, Technical Proposal

and Commercial Proposal should be put in another single sealed envelope clearly

marked “Response to RFP for Appointment of Consultant RFP Reference Number

01/UPPCL/RAPDRP/Power Utility/ 2013-14 and the wordings “DO NOT OPEN BEFORE

22nd

May 2014”.

The outer envelope thus prepared should also indicate clearly the name, address,

telephone number, E-mail ID and fax number of the bidder to enable the Bid to be

returned unopened in case it is declared "Late".



All the pages of the proposal must be sequentially numbered and must contain the list of

contents with page numbers. Any deficiency in the documentation may result in the

rejection of the Bid.

The original proposal/bid shall be prepared in indelible ink. It shall contain no

interlineations or overwriting, except as necessary to correct errors made by the bidder

itself. Any such corrections must be initialed by the person (or persons) who sign(s) the

proposals.

All pages of the bid including the duplicate copies, shall be initialed and stamped by the

person or persons who sign the bid.

In case of any discrepancy observed by UPPCL in the contents of the submitted original

paper bid documents with respective copies, the information furnished on original paper

bid document will prevail over others.

Bidder must ensure that the information furnished by him in respective CDs is identical to

that submitted by him in the original paper bid document. In case of any discrepancy

observed by UPPCL in the contents of the CDs and original paper bid documents, the

information furnished on original paper bid document will prevail over the soft copy.

7. Authentication of Bids A Proposal should be accompanied by a power-of-attorney in the name of the signatory of the

Proposal.

8. Preparation and submission of Proposal Proposal Preparation Costs

The bidder shall be responsible for all costs incurred in connection with participation in the RFP

process, including, but not limited to, costs incurred in conduct of informative and other diligence

activities, participation in meetings/discussions/presentations, preparation of proposal, in providing

any additional information required by UPPCL to facilitate the evaluation process, and in negotiating a

definitive contract or all such activities related to the bid process.

UPPCL will in no case be responsible or liable for those costs, regardless of the conduct or outcome

of the bidding process.

9. Language The Proposal should be filled by the bidders in English language only. If any supporting documents

submitted are in any language other than English, translation of the same in English language is to be

duly attested by the Bidders. For purposes of interpretation of the documents, the English translation

shall govern.



10. Venue & Deadline for Submission of proposals Proposals, in its complete form in all respects as specified in the RFP, must be submitted to UPPCL

at the address specified below:

Addressed To Chief Engineer RAPDRP Part A

Address Room No 1511 Shakti Bhawan Ext. 14 Ashok Marg Lucknow

UP PIN 226001

Telephone 0522-2287503

Fax Nos. 0522-2287503

Email IDs [email protected]

Last date and time of submission 22nd

May 2014 before 1400 Hrs

11. Late Bids a. Bids received after the due date and the specified time (including the extended period if any)

for any reason whatsoever, shall not be entertained and shall be returned unopened.

b. The bids submitted by telex/telegram/ fax/e-mail etc. shall not be considered. No

correspondence will be entertained on this matter.

c. UPPCL shall not be responsible for any postal delay or non-receipt/ non-delivery of the

documents. No further correspondence on the subject will be entertained.

d. UPPCL reserves the right to modify and amend any of the above-stipulated condition/criterion

depending upon project priorities vis-à-vis urgent commitments.

12. Deviations The bidder may provide deviation to the contents of the RFP document. It may be noted that once the

deviation are provided, the bidder would not be allowed that to withdraw the deviation submitted.

The Proposal evaluation committee would evaluate and classify them as “material deviation” or “non-

material deviation“. In case of any material deviations, the Committee would be entitled to reject the

bid.

13. Evaluation process a. UPPCL will constitute a Proposal Evaluation Committee to evaluate the responses of the

bidders



b. The Proposal Evaluation Committee constituted by the UPPCL shall evaluate the responses

to the RFP and all supporting documents / documentary evidence. Inability to submit requisite

supporting documents / documentary evidence, may lead to rejection.

c. The decision of the Proposal Evaluation Committee in the evaluation of responses to the RFP

shall be final. No correspondence will be entertained outside the process of evaluation with

the Committee.

d. The Proposal Evaluation Committee may ask for meetings with the Bidders to seek

clarifications on their proposals4

e. The Proposal Evaluation Committee reserves the right to reject any or all proposals on the

basis of any deviations.

f. Each of the responses shall be evaluated as per the criterions and requirements specified in

this RFP.

14. Tender Opening The Proposals submitted up to 22

nd May 2014 at 1400 Hours will be opened at 22

nd May 2014 at

1600 Hours by Nodal officer, or any other officer authorized by UPPCL, in the presence of such of

those Bidders or their representatives who may be present at the time of opening.

The representatives of the bidders should be advised to carry the identity card or a letter of authority

from the tendering firms to identify their bonafide for attending the opening of the proposal.

15. Tender Validity The offer submitted by the Bidders should be valid for minimum period of 90 days from the date of

submission of Tender.

16. Tender Evaluation a. Initial Bid scrutiny will be held and incomplete details as given below will be treated as non-

responsive. If Proposals;

Are not submitted in as specified in the RFP document

Received without the Letter of Authorization (Power of Attorney)

Are found with suppression of details

With incomplete information, subjective, conditional offers and partial offers submitted

Submitted without the documents requested in the checklist

Have non-compliance of any of the clauses stipulated in the RFP

With lesser validity period

b. All responsive Bids will be considered for further processing as below.

UPPCL will prepare a list of responsive bidders, who comply with all the Terms and

Conditions of the Tender. All eligible bids will be considered for further evaluation by a

Committee according to the Evaluation process define in this RFP document. The decision of

the Committee will be final in this regard.

17. Qualification to Bid The bidding process will be open to any Authorized Implementation Partner, who shall be able to

supply, design, install and commission all of the components as described in the Broad Scope of work



at Section- xx and Detail Scope of Work at Appendix-x and be able to provide Post implementation

support services.

The Sole Bidder must be a Software Implementation and System Integrator company with strong

domain experience in utility space and authorized Implementation Partner of the products offered and

authorized by OEM to bid in this tender. The Sole Bidder would be able to supply, design, install and

commission all of the components as described in the Broad Scope of work at Section- x and Detail

Scope of Work at Appendix-x and be able to provide Post implementation support services.

Mandatory Qualification Criteria as mentioned in Table A has to be met by the sole bidder.

Table A

S. No. Performance Variable Minimum Qualifying Requirements Documents to be

Provided

1 General

The Bidder / each of the partners should

be registered under the Companies Act,

1956, should have registered offices in

India and should be in existence for at

least the last 5 years, as on 31st March

2014, in the areas of Consultancy,

Software Development, Implementation,

Training, and Support Services.

Copy of Certificate

of Incorporation

issued by Registrar

of Companies

2 Company Profile

The bidder should have a turnover of at

least INR 500 Crore (in case the bidder is

a subsidiary, then the turnover of the

parent company also can be considered)

for each of the last three financial years,

from 31st March 2011 to 31

st March 2014

and should also have a positive net worth

in each of these 3 years.

Company balance

sheet / Self-

Certification/CA

Certificate

3 OEM Implementation

Partner Status

The Bidder should submit valid certificate

from all service providers / OEMs (whose

products are being quoted as part of the

solution).

Certification (MAF)

from Service

Providers / OEMs

should be provided

4 OEM Technology-

Globally

The proposed technology should be in

the leader’s quadrant for Gartner and

should have been implemented in atleast

5 organization of a similar nature.

Gartner Report

5 SI Implementation

Experience - Globally

The bidder should have implemented at

least three end-to-end implementations

as a System Integrator (including System

Integration Services, Software

Development Services, Hardware supply,

installation, commissioning, and facilities

management services) in any company

Self-certification




Provided

with multi-location operations.

The in-progress projects should have

reached the steady state of operations as

on the date of submission of bids.

Out of the above 3 projects, one project

should be mandatorily from the Power

Segment. The realized value of any one

project out of 3 should be rupees 500

crores (or equivalent in a foreign

currency) or higher in total contract value

and should be completed as on bid

submission date.

The experience for Government / Non-

Government (in India) / International

project will be considered All the project

experience should be demonstrated in

the last 5 years period from the date of

publishing of the RFP.

Note:

1. The work order for the projects should

be signed prior to date of submission of

bid

2. IT Projects relates to projects involving

IT Application including development,

configuration, customization & integration

of IT applications.

6 Resources

The bidder should have at least 5000

resources trained in data management,

business intelligence and predictive

analytics globally.

Self-Certification

from Authorized

Signatory

7

Bidder eligibility to

work in a government

organization

The Bidder/ Partner‟s shall not be

under a declaration of ineligibility /

banned / blacklisted for any

statutory and/or performance

reasons, by any Government entity

in India as on last date of

submission of the Bid

Affidavit by

authorized signatory

of the Bidder / Lead

Bidder on behalf of

all partners

8

Bidder Credentials for

Intellectual Property

Rights

The Bidder in case of should not

have violated/ infringement of any

Indian or Foreign trademark, patent,

registered design or other IPR

Affidavit from

authorized signatory

of the Bidder / Lead

Bidder on behalf of

all partners

9 Quality Certification Should have SEI CMMi Level 5. Copy of valid

certificates at the




Provided

time of bid

submission

10 SI Implementation -

India

The Bidder should have implemented

at least three end-to-end

implementations (including System

Integration Services, Software

Development Services, Hardware

supply, installation, commissioning,

and facilities management services) in

the last three financial years, from 31st

March 2011 to 31st March 2014. Out of

the 3 projects, the value of one project

should be more than 100 crores.

Documentary

evidence to be

provided

Notes: Instructions for filling up the qualification criteria:

1. All financial data should be as per latest financial year unless explicitly mentioned,

accompanied by the Balance Sheet duly certified by a Chartered Accountant practicing in

India. If the specific numbers for any one point are not reflected separately in the balance

sheets, then the system integrator may give a self-certification for that point.

2. All figures should be in currency as per the Balance Sheet. UPPCL shall do the conversion to

Indian Rupees.

3. Documentary evidence to be provided to support the claims.

18. Procedure for Evaluation of Bids

All responsive bids shall be subjected to a three stage detailed technical scrutiny by a Tender

Committee appointed by UPPCL with inter-stage eliminations as described below. Bidders whose

offers are eliminated during the process of evaluation shall not be informed. UPPCL will inform only

the short-listed bidders as considered necessary. The decision of UPPCL shall be final in this respect.

The bidding evaluation will be based on Quality-Cost Based Selection Criteria (QCBS)

Stage 1: Prequalification/Eligibility stage:

All bids found responsive as per bid submission format shall be subjected to detailed scrutiny in

respect of conformance to pre-qualification/eligibility criteria laid down in the Tender Document.

Documents furnished in the offer will form the sole basis of this evaluation. The bidders shall be solely

responsible for any errors of commission or omission which may result in their disqualification.



Any bid which fails to meet the pre-qualification/ eligibility criteria (Section 1.1 Qualification to Bid) will

be summarily rejected and not considered for further scrutiny. The decision of UPPCL shall be final in

this respect.

Stage 2: Technical Examination

Credentials of all such Bidders who were found eligible in stage 1 shall be evaluated as per evaluation

criteria provided in Table 01 and Table 02 - Bidder Credentials (1.3) below. Detailed technical

examination of bids short-listed from Stage (1) will be undertaken to establish conformance to

technical specifications and other terms & conditions in respect of scope of the project. Technical

clarifications, if considered necessary, may be asked from the respective bidders at this stage.

Bids which are not considered to be in conformance to technical specifications and terms & conditions

of the Tender will be rejected at this stage and shall not be invited for the next stage.

Stage 3: Technical Presentation

A notice of one week will be given to the bidders whose bids are found in conformance to Technical

specifications and Terms & Conditions of the tender to make a technical presentation to the tender

committee. Presentation Evaluation will be done as per Table 03 Bidder Credentials (1.3) below. The

duration of the presentation will be around 2 Hours.

Evaluation of the Stage 2 & Stage 3 shall be based on the following parameters and associated

weightage as follows:

Minimum 70 Marks in each part, are required for the bidder to qualify to Stage 4 – Price Bid

Stage 4: Price Bid Evaluation

a) Bidders clearing the Stage 1, 2 & 3 of evaluation will have their Price Bids opened.

b) The Bid having the Lowest value shall be termed as the Lowest Evaluated Bid and will be

awarded 100 marks. Financial score of other bidders will be calculated on the basis of the

following formula:

o Financial score of bidder = Value of lowest bidder x 100 / Value of the bidder

o Total score of the bidding party will be determined based on the following formula:

o Total score = 0.75 * Technical score + 0.25 * Financial score

c) The bid price will include all taxes and levies and shall be in Indian Rupees.

d) Any conditional bid would be rejected

e) Errors & Rectification: Arithmetical errors will be rectified on the following basis: “If there is a

discrepancy between the unit price and the total price that is obtained by multiplying the unit

price and quantity, the unit price shall prevail and the total price shall be corrected. If there is

a discrepancy between words and figures, the amount in words will prevail”.



19. Evaluation Tables Part A: System Integration Experience for Analytics.

Table 01: Bidder Credentials

Table 01 – Bidder Credentials

S.No Parameter Criteria Supporting Documents

Required

Max

Score

Scoring Logic

1. Bidder’s Product Implémentation Expérience 20

1.1 No. of organizations where

bidder has done end to end

software implementation

globally with 500 users or

more in the Government

space

The

experience

should be

that of the

bidder

Self-Certification 5 >10 5

8-10 4

5-7 3

3-4 2

1-2 1

1.2 Number of organization

having 20 or more users

with work done on any of the

following project

management modules

compatible with the existing

IT set up

The

experience

should be

that of

bidder

Self Certification 5 >10 5

8-10 4

5-7 3

3-4 2

1-2 1



Table 02: Technical Presentation

S.No Parameter Criteria Response Supporting Documents Score Evaluation criteria

2. Technical Presentation

The bidder will have to make

a detailed presentation on

the proposed solution

including a Demo on

specified parameters (the

scope of the demo will be

shared with the bidders

later). Verification of claims

of bidders compliance of the

proposed solution, where

feasible, by the evaluation

team would also be

evaluated.

To be

presented

by the

bidder to the

Tender

Committee

of UPPCL

Technical presentation 20

Marks to be

awarded by the

Committee

Break up:

Domain

Expertise -5

Product /

Solution Demo -

15

1.3 No. of Organizations having

10 or more users with work

done on any of the following

modules by the Bidder or

OEM

- Load Forecasting

- Theft Analytics

The

experience

should be

that of

bidder

Self-Certification 10 >10 10

8-10 8

5-7 6

3-4 4

1-2 2



S.No Parameter Criteria Response Supporting Documents Score Evaluation criteria



Table 03: Other Bidder Credentials

S.No Parameter Criteria Supporting

Documents

Required

Max

Score

Scoring Logic

3 Past Track Record of the

bidder

The following aspects to be demonstrated in

any of the 5 projects cited as part of the

requirements for the purpose of pre-

qualification:

1. IT Infrastructure Planning & IT Services

2. Implementation Services and training

3. Business Continuity & SLA eco system

4.Analytics & MIS using the proposed

technology solution

5. Project Management IT system

implementation.

NOTE: Any situation in the preceding three

(3) years where a Government (including

central, state, local or an agency of the

Government) project or contract works has

been abandoned, discontinued, pre-closed or

pre-maturely terminated, resulting from the

bidder’s (including consortium partner) non-

performance, shall attract reduction of 2

marks.

Self Certification 20 4 marks for each

criteria.




Documents

Required

Max

Score

Scoring Logic

4 Approach and Methodology 1. Week-wise work plan clearly indicating

tasks, dependencies and milestones/

deliverables through the completion, with

breakup of effort estimates and mapped to

key personnel.

2. Proposed Team structure, Responsibility

Matrix for operations and Maintenance

phases of the project; along with Resources

allocation as per project plan.

3. Approach and Methodology for each of the

Consulting and Implementation Tracks as

mentioned in the scope

As per technical

proposal submitted

30 Point 1 – 7 marks

Point 2 – 8 marks

Point 3 – 15 marks

5 Experience of Key

Personnel

1. Program Manager – 4 marks

2. Project Manager 4 marks

a. Experience in R APDRP

Project – 2 marks

b. Experience in AMI / Smart

Grid – 2 marks

c. Project Management

certification from PMP or

equivalent. – 1 mark

3. Domain Expert – 4 marks

Please refer to

section 20 for key

details.

10 2 marks for each

person




Documents

Required

Max

Score

Scoring Logic

a. APDRP - Worked as team

member in R APDRP Project

– 2 marks

b. AMI – Should have an SGMM

Navigator certificate – 2

marks

c. Project Management –

Should have a PMP or similar

certification. – 1 mark

4. IT infrastructure operations and

Security Expert – 4 marks

5. Business Analysts – 4 marks



20. Details of Qualifications of each personnel

Sr No Job Requirements and Experience

1 Program Manager

Qualification:

1. 20+ years of overall experience

2. Master’s degree

Job Requirements and Experience:

1. Minimum 12 years of Program / Project Management experience

2. Must have worked with the current company for a minimum period of two years

3. Must have experience in at least three large-scale systems integration projects of

which one of them should be in a similar size and capacity to that of the requirements

under this RFP

4. Experience of full scale integration project having all aspects of end-to-end service

delivery.

5. Experience in successful implementation of at least one IT services project for a

government department or a PSU

6. Experience in interacting with both business and technology teams

7. Have successfully managed timelines, on-budget delivery and quality of large scale

application development

8. Prior experience in Government project would be preferable

2.1 Project Manager – RAPDRP

Qualification:


2. Masters / Post Graduate degree


1. Minimum 8 years of Project Management experience


3. Must have experience in at least two large-scale software development and

implementation projects with multiple phases, multiple locations and multiple versions

of application

4. Experience in full life cycle implementation (SDLC) of at least three projects.



6. Adept in dealing with both business and technology requirements

7. Should have successfully managed timelines, on-budget delivery and quality of

large scale application development

8. Prior experience in power and solution deployed would be mandatory

9. Should have mandatorily managed one APDRP /part of APDRP project as part of a

lead bidder or a sub con.

Certifications:

1. PMP certified or equivalent



Others:

1. Strong written and oral communications skills.

2.2 Project Manager – AMI

Qualification:








of application








9. Should have mandatorily managed one AMI Implementation / Design project.

Certifications:

1. SGMM Certification

Others:


2.3 Project Manager – Project Management

Qualification:








of application








9. Should have been part of a large multi location PMO project.



Certifications:

1. PMP certified or equivalent

Others:


3.1 Domain Expert – RAPDRP

One of the important factors that would determine the success of this SME is the deep

involvement of people with business domain and product expertise (of the proposed

solution). While UPPCL would make available a group of their own experts to support

and facilitate the project implementation, it is required that the lead bidder should also

deploy business domain and product expert(s) who possess invaluable relevant

experience that will enhance the success of this initiative. These would be pivotal

roles that require to be committed over an extended period of time and on a dedicated

basis till the project reaches steady state. While there are no specific criteria being

specified for this purpose and the experts proposed would be evaluated on the merit

of experts proposed, it is mandatory that the personnel proposed have an experience

working in an RAPDRP project in India in the last 3 years from the date of release of

the RFP.

3.2 Domain Expert – AMI and Smart Metering

Qualification:

1. B.Tech / B.E (computer Science / IT) MCA /

2. Minimum 10+ years of experience in designing and implementing large projects.

with a minimum experience of implementing 3 AMI project, out of which one of them

should be as a project / module lead


1. Minimum of 5 years of experience primarily in the technologies recommended.

2. Must have been working with the current company for a minimum period of 2 years

3. Must have experience in at least two large-scale AMI projects, one preferably using

RF based MESH networking.

Certification

Preference will be given to Certified SGMM navigator from SEI Carnegie Mellon USA.

3.3 Domain Expert – GIS and Asset management

Qualification:

1. B.Tech / B.E (computer Science / IT) MCA


with a minimum experience of implementing 3 GIS projects, out of which one of them

should be as a project / module lead




3. Must have experience in at least two large-scale GIS projects on ArcGis Platform.



3.4 Domain Expert – Networking and IT Security

Qualification:



with a minimum experience of implementing 3 Netwroking projects, out of which one

of them should be as a project / module lead




3. Must have experience in at least two large-scale Networking projects involving

private MPLS and GPRS Clouds

4. Experience in designing and maintaining ISO 27001.

3.5 Domain Expert – IT infrastructure and Data Center Management

Qualification:



with a minimum experience of implementing 3 Data Center projects, out of which one

of them should be as a project / module lead




3. Must have experience in at least two large-scale Data Center projects.

3.6 Domain Expert – Metering and Meter Data Acquisition System

Qualification:



with a minimum experience of implementing 3 Metering projects, out of which one of

them should be as a project / module lead




3. Must have experience in at least one large-scale Metering projects involving MDAS.

3.7 Domain Expert – Project Management System

Qualification:

1. B.Tech / B.E (computer Science / IT) MCA / MBA / CA


with a minimum experience of handling 3 projects, out of which two of them should be

as a project / module lead




3. Must have experience in at least two large-scale projects as project manager.

Certification



PMP certified from PMP institute, Philadelphia, USA.

3.8 Domain Expert – Energy Loss Reduction Field Executive

Qualification:

1. 2. B Tech in Electrical Engineering / M.Tech (Power Systems)/ MBA (Power)

2. Minimum 10+ years of experience working in a distribution utility.


1.Should have managed loss reduction projects

2. Should have functional knowledge of CYMDIST

3. Minimum 02 year experience in Network Analysis of electric network in power

distribution utility

3.9 Domain Expert – Database Administrator

Qualification:


2. Minimum 10+ years of experience in designing and implementing large database

projects, related utilities and tools, understanding of the underlying operating system,

physical database design, ability to perform both Oracle and operating system

performance tuning and monitoring, Oracle backup and recovery scenarios, Oracle

security management, Oracle data integrity, implemented CC& B and other

application systems, code migration, database change management and data

management through the various stages of the development cycle


1. Minimum of 03 years of experience primarily in Oracle 11g in an electric utility


3.9 Domain Expert - Applications, Service oriented architecture (SOA) and Cloud

Computing

Qualification:



with a minimum 4 year experience of implementing Oracle Applications, Service

oriented architecture (SOA) and Cloud Computing


1. Minimum of 03 years of experience primarily in RAPDRP recommended.


4 IT infrastructure and Security Expert

Qualification:

1. B.Tech / B.E (computer Science / IT) or MCA

2. Minimum 10+ years of experience in designing and implementing large IT

infrastructure projects with data center and DR center, with atleast 7 years as an

administrator on large / medium sized infrastructure of servers, desktop systems and

communication devices using current and emerging technologies in high availability

environment

3.Interanational certification related to cyber security and experience ISO 27001




3. Must have experience in at least two large-scale IT Infrastructure projects with



multiple phases, multiple locations and multiple versions of application

4. Must have experience in following areas:

a. Hardware and Networking components, configuration and management

b. Defining the form, type and structure of a Hardware and Networking components

for large IT set-up

c. Architecting and implementing a components that supports high demand services

and peak load

d. Design IT infrastructure to manage complex data access and storage needs

e. Design reviews, guiding development staff in the development and implementation

of the IT Infrastructure as per defined architecture

f. Developing and documenting strategies for security, administration, management,

backups, fault tolerance, and recovery of all infrastructure components

5 Business Analyst

Qualification:

1. Master‟s / Bachelor‟s degree in Engineering

2. MBA preferred

3. 10+ years of cumulative experience in software services; at least 4 years as a

Business Analyst


1. Minimum experience of 4 years in the field of business analysis

2. Must have been working with the current company for a minimum period

of one year.

3. Must have experience in at least two large-scale software development projects

with multiple phases, multiple locations and multiple versions of application

4. Must have led business analysis effort for at least one e-Governance project in

Government or a PSU

5. Experience in full life cycle implementation (SDLC) of at least three projects

6. Must have prior experience in leading Business Analysis teams

7. Must be well-versed with and be able to lead efforts in FRS documentation,

preparing process and information flow diagrams and coordinating with several

groups to drive the functionality of the application

8. Must have previous experience in prioritizing and phasing out functionality into

different phases and change request management

9. Previous experience in working closely with technical teams and interviewing of

senior people is necessary

10. Previous technical experience will be an added advantage

Certifications:

1. None

Others:

1. Strong written and oral communications skills

2. Well conversed in client interviews, group discussions and coordinating workshops

3. Be able to make presentations to clients, drive discussions and reviews and

facilitate decisions



21. Negotiation The bidder whose bid has secured the highest “Total Score” as per 1.2.4 above will be considered as

successful bidder.

The successful bidder will be notified in writing by UPPCL inviting him for further Negotiations at the

discretion of UPPCL. Negotiations will be held only at UPPCL’s corporate office.

22. Appointment of Consultant Award Criteria

UPPCL will award the Contract to the successful bidder whose proposal has been determined to be

substantially responsive and has been determined as the most responsive bids as per the process

outlined above.

Right to Accept Any Proposal and To Reject Any or All Proposal(s)

UPPCL reserves the right to accept or reject any proposal, and to annul the tendering process / Public

procurement process and reject all proposals at any time prior to award of contract, without thereby

incurring any liability to the affected bidder or bidders or any obligation to inform the affected bidder or

bidders of the grounds for UPPCL action.

Notification of Award

Prior to the expiration of the validity period, UPPCL will notify the successful bidder in writing or by fax

or email, that its proposal has been accepted. In case the tendering process / public procurement

process has not been completed within the stipulated period, UPPCL, may like to request the bidders

to extend the validity period of the bid.

The notification of award will constitute the formation of the contract. Upon the successful bidder's

furnishing of Performance Bank Guarantee, UPPCL will notify each unsuccessful bidder and return

their EMD.

Performance Guarantee

The UPPCL will require the selected bidder to provide a Performance Bank Guarantee, within <15>

days from the Notification of award, for a value equivalent to <10%> of the total cost of ownership.

The Performance Guarantee should be valid for a period of <months>. The Performance Guarantee

shall be kept valid till completion of the project and Warranty period. The Performance Guarantee

shall contain a claim period of three months from the last date of validity. The selected bidder shall be

responsible for extending the validity date and claim period of the Performance Guarantee as and

when it is due on account of non-completion of the project and Warranty period. In case the selected

bidder fails to submit performance guarantee within the time stipulated, the UPPCL at its discretion

may cancel the order placed on the selected bidder without giving any notice. UPPCL shall invoke the

performance guarantee in case the selected Vendor fails to discharge their contractual obligations

during the period or UPPCL incurs any loss due to Vendor’s negligence in carrying out the project

implementation as per the agreed terms & conditions.

Signing of Contract

Post submission of Performance Guarantee by the successful bidder, UPPCL shall enter into a

contract, incorporating all clauses, pre-bid clarifications and the proposal of the bidder between

UPPCL and the successful bidder. The Draft Legal Agreement is provided as a separate document as

a template.



Failure to Agree with the Terms and Conditions of the RFP

Failure of the successful bidder to agree with the Draft Legal Agreement and Terms & Conditions of

the RFP shall constitute sufficient grounds for the annulment of the award, in which event UPPCL

may award the contract to the next best value bidder or call for new proposals from the interested

bidders.

In such a case, the UPPCL shall invoke the PBG of the most responsive bidder.

23. Fraud and Corrupt Practices a. The Applicants/Bidders and their respective officers, employees, agents and advisers shall

observe the highest standard of ethics during the Selection Process. Notwithstanding

anything to the contrary contained in this RFP, the UPPCL shall reject a Proposal without

being liable in any manner whatsoever to the Applicant, if it determines that the Bidder has,

directly or indirectly or through an agent, engaged in corrupt practice, fraudulent practice,

coercive practice, undesirable practice or restrictive practice (collectively the “Prohibited

Practices”) in the Selection Process. In such an event, the UPPCL shall, without prejudice to

its any other rights or remedies, forfeit and appropriate the EMD or PBG, as the case may be,

as mutually agreed genuine pre-estimated compensation and damages payable to the

UPPCL for, inter alia, time, cost and effort of the UPPCL, in regard to the RFP, including

consideration and evaluation of such Applicant’s Proposal.

b. Without prejudice to the rights of the UPPCL under Clause above and the rights and remedies

which the UPPCL may have under the LOI or the Agreement, if an Applicant or Consultant, as

the case may be, is found by the UPPCL to have directly or indirectly or through an agent,

engaged or indulged in any corrupt practice, fraudulent practice, coercive practice,

undesirable practice or restrictive practice during the Selection Process, or after the issue of

the LOI or the execution of the Agreement, such Applicant or Consultant shall not be eligible

to participate in any tender or RFP issued by the UPPCL during a period of <period> from the

date such Applicant or Consultant, as the case may be, is found by the UPPCL to have

directly or through an agent, engaged or indulged in any corrupt practice, fraudulent practice,

coercive practice, undesirable practice or restrictive practice, as the case may be.

c. For the purposes of this Section, the following terms shall have the meaning hereinafter

respectively assigned to them:

i. “corrupt practice” means (i) the offering, giving, receiving, or soliciting, directly or

indirectly, of anything of value to influence the action of any person connected with the

Selection Process (for avoidance of doubt, offering of employment to or employing or

engaging in any manner whatsoever, directly or indirectly, any official of the UPPCL who

is or has been associated in any manner, directly or indirectly with the Selection Process

or the LOI or has dealt with matters concerning the Agreement or arising there from,

before or after the execution thereof, at any time prior to the expiry of one year from the

date such official resigns or retires from or otherwise ceases to be in the service of the

UPPCL, shall be deemed to constitute influencing the actions of a person connected with

the Selection Process); or (ii) save as provided herein, engaging in any manner

whatsoever, whether during the Selection Process or after the issue of the LOA or after

the execution of the Agreement, as the case may be, any person in respect of any matter

relating to the Project or the Award or the Agreement, who at any time has been or is a

legal, financial or technical consultant/ adviser of the UPPCL in relation to any matter

concerning the Project;

ii. “fraudulent practice” means a misrepresentation or omission of facts or disclosure of

incomplete facts, in order to influence the Selection Process;



iii. “coercive practice” means impairing or harming or threatening to impair or harm, directly

or indirectly, any persons or property to influence any person’s participation or action in

the Selection Process;

iv. “undesirable practice” means (i) establishing contact with any person connected with or

employed or engaged by UPPCL with the objective of canvassing, lobbying or in any

manner influencing or attempting to influence the Selection Process; or (ii) having a

Conflict of Interest; and

v. “restrictive practice” means forming a cartel or arriving at any understanding or

arrangement among Applicants with the objective of restricting or manipulating a full and

fair competition in the Selection Process.

24. Conflict of Interest a. The UPPCL requires that the Consultant provides professional, objective, and impartial

advice and at all times hold the UPPCL’s interests paramount, avoid conflicts with other

assignments or its own interests, and act without any consideration for future work. The

Consultant shall not accept or engage in any assignment that would be in conflict with its prior

or current obligations to other clients, or that may place it in a position of not being able to

carry out the assignment in the best interests of the UPPCL.

b. Without limiting the generality of the above, an Applicant shall be deemed to have a Conflict

of Interest affecting the Selection Process, if:

i. the Bidder, or Associates (or any constituent thereof) and any other Bidder, or

Associate (or any constituent thereof) have common controlling shareholders or other

ownership interest;

ii. such Bidder or its Associate receives or has received any direct or indirect subsidy or

grant from any other Bidder or its Associate; or

iii. such Bidder has a relationship with another Bidder, directly or through common third

parties, that puts them in a position to have access to each other’s’ information about,

or to influence the Proposal of either or each of the other Bidder; or

iv. there is a conflict among this and other consulting assignments of the Bidder

(including its personnel and other members, if any) and any subsidiaries or entities

controlled by such Bidder or having common controlling shareholders. The duties of

the Consultant will depend on the circumstances of each case. While providing

consultancy services to the UPPCL for this particular assignment, the Consultant

shall not take up any assignment that by its nature will result in conflict with the

present assignment; or

c. An Bidder eventually appointed to provide Consultancy for this Project shall be disqualified

from subsequently providing goods or services related to the same Project and any breach of

this obligation shall be construed as Conflict of Interest; provided that the restriction herein

shall not apply after a period of 12 months from the completion of this assignment; provided

further that this restriction shall not apply to consultancy services performed for the UPPCL in

continuation of this Consultancy or to any subsequent consultancy/ advisory services

performed for the UPPCL where the conflict of interest situation does not arise.

d. An Bidder eventually appointed to provide Consultancy for this Project is permitted for

providing goods or services related to the same Project and UPPCL shall undertake full

control in selection and recommendation of the downstream vendor.



25. Payment Schedule At the start of the project, a mobilization advance will be given for 10% of the overall contract value.

The project will be divided in 10 Tracks. The payment schedule for all nine tracks needs to be

independent of each other.

Assumptions for payment acceptance.

1. The UPPCL needs to clearly identify at the start of the project, personnel who need to give

sign offs for each milestone.

2. The deliverables of the milestone will be given only to the designated person.

3. Comments on the deliverables will be taken twice only.

4. In case no response on the submitted deliverable is received for 3 working days, the

deliverable will be deemed accepted.

(i) Track A1: Structural Gap Analysis of RAPDRP system

Sr No Milestone Acceptance Criteria Percentage Payment

1 Identification of gaps in the

Current RAPDRP project

Submission of report with all

gaps on a date decided by

UP PCL

50% of total fees given

in section 26.(i)

2 Recommendation of roadmap to

close the gaps

Submission of

recommendation for gaps

closure


in section 26.(i)

(ii) Track A2 : Operational gap analysis and establishment of monitoring and support

system for A T & C loss reduction


1 Final report of operational gaps

identified analyzed and compiled

in prescribed format


gaps on a date decided by

UP PCL


in section 26.(ii)

2 Recommendation of roadmap to

close the gaps

Submission of

recommendation for gaps

closure

10% of total fees given in section 26.(ii)

3 Finalization of reports and access

levels of each report for each level

Each level to accept the

report for their level


in section 26.(ii)

4 Work plan of recommendation

accepted for implementations

Acceptance of the

recommendations for

suitable interventions


in section 26.(ii)

5 Training plan for capacity building Acceptance of training plan.

The training plan will be

downloaded once and

discussed with UPPCL. The

comments will be

incorporated. The training

plan submitted post that will


in section 26.(ii)



be accepted by the

organization

6 Report of analysis for

inconsistencies in the reports

Submission and acceptance

of report with the analysis

with inconsistencies


in section 26.(ii)

(iii) Part A3: Designing solution for optimizing performance of Distribution Divisions in

RAPDRP and Non-RAPDRP areas with respect to parameters outlined in Financial

Restructuring Plan (FRP).


1 Conduct workshops at all

Discom headquarters to gather

inputs for the revenue structure

including metering, billing and

collection for Non-RAPDRP areas

Completion of workshops 10% of total fees given

in section 26.(iii)

2 Report to suggest strategic

interventions required.

Submission of report post

discussion


in section 26.(iii)

3 Preparation of DPR for the

recommended solution.

Submission of DPR 20% of total fees given

in section 26.(iii)

4 Preparation of Notice Inviting

Tenders (NIT) and bidding

documents.

Submission of Notice

Inviting Tenders (NIT) and

bidding documents


in section 26.(iii)

5 Submission of all bids called for Submission of bids by the

bidders


in section 26.(iii)

6 Preparation of bid evaluation

report

Submission of bid evaluation

reports to UPPCL


in section 26.(iii)

7 Finalization of contract award

recommendations for

consideration of UPPCL

Submission of final report for

finalization of contract award

recommendations for



in section 26.(iii)

Sr No Milestone Amount

1

The consultant needs to give a monthly ongoing rate

for a period of 3 years for the following activities.

Review of the vendor drawings including Quality

Assurance Plans, Project Plan, and Methodology for

Implementation, resource deployment schedules, test

certificates, inspection plans, site supervision,

inspections etc. The Consultant shall carry out all project

monitoring activities such as finalization of Project Plan

and measurement of physical and financial progress

against the Project Plan through regular reviews at

various levels and prepare regular progress reports. The

Consultant shall also hand hold during execution of the

project.

The fixed monthly amount to be

given every month. This amount

will be increased by 7% every

year.

The prices will be given in

section 26



(iv) Part A4: Preparing Strategic Roadmap for creating advance metering infrastructure in

suitable areas


1 Conduct workshops at Discom

headquartrs to gather inputs for

understanding AMI structure

Completion of workshops 10% of total fees given

in section 26.(iv)

2 Report to suggest candidate areas

for the relevant technologies.

Submission of report post

discussion


in section 26.(iv)

3 Report with techno-economic

feasibility reports after having an

understanding of the existing IT

systems and business processes

of UPPCL in the identified areas

Submission of the report 10% of total fees given

in section 26.(iv)

4 Preparation of DPR for the

recommended solution.

Submission of DPR 15% of total fees given

in section 26.(iv)

5 Preparation of Notice Inviting

Tenders (NIT) and bidding

documents.

Submission of Notice

Inviting Tenders (NIT) and

bidding documents


in section 26.(iv)

6 Submission of all bids called for Submission of bids by the

bidders


in section 26.(iv)

7 Preparation of bid evaluation

report

Submission of bid evaluation

reports to UPPCL


in section 26.(iv)

8 Finalization of contract award

recommendations for


Submission of final report for

finalization of contract award

recommendations for



in section 26.(iv)

Sr No Milestone Amount

1 The consultant needs to give a monthly ongoing rate

for a period of 3 years for the following activities.

Supervision of awarded contracts on behalf of UPPCL

which will include among other contract management

activities, review of the vendor drawings including

Quality Assurance Plans, Project Plan, and Methodology

for Implementation, resource deployment schedules, test

certificates, inspection plans, site supervision,

inspections etc. The Consultant shall carry out all project

monitoring activities such as finalization of Project Plan

and measurement of physical and financial progress

against the Project Plan through regular reviews at

various levels and prepare regular progress reports. The

Consultant shall also hand hold during execution of the

project.

The fixed monthly amount to be

given every month. This amount

will be increased by 7% every

year.

The prices are given in section

26.



(v) Track B1.a.: Implementation of Decision support system for load forecasting.


1 Completion of blueprint for the

decision model of load forecasting


of the decision model


in section 26.(v)

2 Collection of all data points for

load forecasting

All data points have been

analysed and finalized


in section 26.(v)

3 Delivery of workflow automation

reports

Final list of reports are

discussed and delivered


in section 26.(v)

4 First month of achieving 95% First month when 95%

accuracy in load forecasting

is achieved


in section 26.(v)

5 Six month of achieving 95% Six month when 95%


is achieved


in section 26.(v)

6 Twelve month of achieving 95% Twelve month when 95%


is achieved


in section 26.(v)

(vi) Track B1.b: Implementation of Decision support system for Power Portfolio

Optimisation.



decision model of power portfolio

optimization


of the decision model


in section 26.(vi)

2 Functional Requirement

Document

Submission of functional

requirement document


in section 26.(vi)

3 Functional Design Document Submission of Functional Design Document

10% of total fees given in section 26.(vi)

4 Technical Design Document Submission of TDD which

covers all the desired

features as asked for in the

RFP


in section 26.(vi)

5 Completion of UAT Completion of User Acceptance Testing demonstrating with acceptance of all features in the RFP

5% of total fees given in section 26.(vi)

6 System Go Live System Gone Live 30% of total fees given

in section 26.(vi)

7 Completion of twelve month of

post go live support

twelve month after system

acceptance as gone live


in section 26.(vi)

(vii) Track B1.c: Implementation of Decision support system for Loss /theft /leakage metrics

system.



decision model of Loss / Theft /

Leakage metrics system


of the model


in section 26.(vii)

2 Functional Requirement Submission of functional 10% of total fees given



Document requirement document in section 26.(vii)


5% of total fees given in section 26.(vii)




RFP


in section 26.(vii)


10% of total fees given in section 26.(vii)


in section 26.(vii)






in section 26.(vii)

(viii) Part B2.Recommendation and Implementation of a comprehensive Project

Management System


1 Completion of blueprint to identify

the requirements of project

management system

Submission of blueprint

document


in section 26.(viii)


Document






5% of total fees given in section 26.(viii)




RFP




10% of total fees given in section 26.(viii)



7 Completion of Twelve month of


Twelve month after system




(ix) Track B3: Implementation of Outage Management System.



Outage Management System.


of OMS blue print


in section 26.(ix)


Document




in section 26.(ix)


5% of total fees given in section 26.(ix)




in section 26.(ix)




RFP


20% of total fees given in section 26.(ix)


in section 26.(ix)






in section 26.(ix)

(x) Track C: Establishment of Power Resource Center.


1 Finalization of requirements of

power resource center


requirements


in section 26.(x)

2 Establish the power resource

center

Submission of

recommendation of the

project management system


in section 26.(x)

(xi) Rate card for PRC. The payment for rate card will be on a monthly basis. A suggested

format is given below.

The format for the rate card is given in section 26

Sr No Role of Consultant Skill area Qualifications Number of years of

experience

1

2

26. Price Schedule

The price bid needs to be submitted in the format given below.


Sr No Particulars Total Fees without taxes

Tax Total Price with taxes

Price in words

1 Total Fees for Track A1, (section 25 (i)) Structural Gap Analysis of RAPDRP system







Price in words

1 Total Fees for Track A2, (section 25 (ii)) doing Operational gap analysis and establishment of monitoring and support system for A T & C loss reduction

Rate card for deployment of Loss Reduction Team and Domain Consultants for a period of 3 years

Sr

No

Role Number of personnel

Rate per month

Total Price

Tax Price with Tax

1 Program Manager 1

2 Project Manager 4

3 Team Leaders to work at zone level

21

4 Circle Field Executives 91

5 Domain Consultant GIS and Asset Management

1

6 Domain Consultant Project Management

1

7 Domain Consultant IT infrastructure and Data Center Management

1

8 Domain Consultant Database Administrator-Oralce

1

9 Domain Consultant Networking and security

1

10 Domain Consultant – Applications, Service oriented architecture (SOA) and Cloud Computing

1

11 Domain Consultant MDAS and AMI

1






Price in words

1 Total Fees for, Track A3, (section 25 (iii)) Designing solution for optimizing performance



of Distribution Divisions in RAPDRP and Non-RAPDRP areas with respect to parameters outlined in Financial Restructuring Plan (FRP)

Sr

No

Milestone Total Fees without taxes


Price in words

1

The consultant needs to give a

monthly ongoing rate for a

period of 3 years for the

following activities.

Review of the vendor drawings

including Quality Assurance

Plans, Project Plan, and

Methodology for

Implementation, resource

deployment schedules, test

certificates, inspection plans,

site supervision, inspections

etc. The Consultant shall carry

out all project monitoring

activities such as finalization of

Project Plan and measurement

of physical and financial

progress against the Project

Plan through regular reviews at

various levels and prepare

regular progress reports. The

Consultant shall also hand hold

during execution of the project.


suitable areas



Price in words

1 Total Fees for Track A4, (section 25(iv)) Preparing Strategic Roadmap for creating advance metering infrastructure in suitable areas



Sr

No



Price in words

1 The consultant needs to give a

monthly ongoing rate for a period

of 3 years for the following activities.

Supervision of awarded contracts

on behalf of UPPCL which will

include among other contract

management activities, review of

the vendor drawings including

Quality Assurance Plans, Project

Plan, and Methodology for



certificates, inspection plans, site

supervision, inspections etc. The

Consultant shall carry out all project

monitoring activities such as

finalization of Project Plan and

measurement of physical and

financial progress against the

Project Plan through regular

reviews at various levels and

prepare regular progress reports.

The Consultant shall also hand hold





Price in words

1 Total Fees for Track B1.a (Section 25 (v)) Implementation of Decision support system for load forecasting


Optimisation.



Price in words

1 Total Fees for Track B1.b, (section 25 (vi)) Implementation of Decision support system for Power Portfolio Optimisation




system.



Price in words

1 Total Fees for Track B1.c, (section 25 (vii)) Implementation of Decision support system for Loss /theft /leakage metrics system.


Management System



Price in words

1 Total Fees for Track B1.c, (section 25 (viii)) Recommendation of a comprehensive Project Management System..




Price in words

1 Total Fees for Track B1.c, (section 25 (ix)) Implementation of Outage Management System.




Price in words

1 Total Fees for Track B1.c, (section 25 (x))

Establishment of Power Resource Center

(xi) Rate card for PRC. The payment for rate card will be on a monthly basis for a period of 3

years. A suggested format is given below.

Sr

No

Role of Consultant Total Fees without taxes


Price in words

1

2



27. Change Request The following would constitute a Change request

a. Any work which has not been specifically mentioned in the scope of work

b. Any changes in the deliverables post approval by the UPPCL

c. Bid Process Management in case of re-tendering is to be done for reasons for which the

consultants are not responsible

d. Any delay in the project timelines beyond the calendar time mentioned in the tender

document for which Bidder is not directly responsible

28. Responsibilities of UPPCL

a. UPPCL will provide a project manager for the overall project and provide project

dedicated core team for the entire duration of the project.

b. UPPCL will provide office space, internet access, telephone, fax and other basic

amenities including transport for official visits, to the SI and consultant’s personnel.

29. Terms and Conditions

The Contract/ Agreement between UPPLC and the Consulting Agency are subject to the terms and

conditions set forth below:

1. CONTRACT DOCUMENTS

The Proposer shall not, without prior written consent from UPPLC, disclose the Contract or any

provision thereof or any specification, plan, drawing, pattern, sample or information furnished by or

on behalf of UPPLC in connection therewith, to any person other than a person employed by the

Proposer in the performance of the Contract. Disclosure to any such employed person shall be

made in confidence and shall extend only so far, as may be necessary for purposes of such

performance.

The Proposer shall not, without prior written consent of UPPLC, make use of any document or

information made available for the project, except for purposes of performing the Contract.

All project related documents issued by UPPLC, other than the Contract itself, shall remain the

property of UPPLC and shall be returned (in all copies) to UPPLC, on completion of the Proposer’s

performance under the Contract if so required by UPPLC.

2. INTERPRETATION

In case of any ambiguity in the interpretation of any of the clauses in the tender document, the

interpretation of the clauses by Authorized Representative of UPPLC shall be final and binding on all

parties.



3. COMMUNICATIONS

Wherever Conditions provide for the giving or issuing of approvals, certificates, consents,

determinations, notices, requests and discharges, these communications shall be:

(a) in writing and delivered against receipt; and

(b) Delivered, sent or transmitted to the address for the recipient’s communications as stated in the

Contract.

4. LANGUAGE

The proposal and all correspondence and documents related to the proposal exchanged by the

Proposer and UPPLC should be in English. Supporting documents and printed literature furnished

by the Proposer may be in any language other than English provided they are accompanied by an

accurate translation of the relevant passages in English language. Supporting material, which is not

translated in English, will not be considered for evaluation. For the purpose of evaluation and

interpretation of the proposal, the English language translation shall prevail.

5. PROPOSER’S ROLES AND RESPONSIBILITIES

The Proposer will be responsible for the activities as defined under the Scope of Work section.

In case of any overlap of work of the consultant appointed and the existing R APDRP

consultant, then the work of the existing consultant will be taken as one of the data streams by

the new consultant.

6. TERMS OF PAYMENT

1. UPPLC shall follow the payment schedule as given in the Terms of reference in the RFP.

2. The Service Provider’s request(s) for payment shall be made to UPPLC in writing,

accompanied by an invoice describing, as appropriate, the service provided. The Service

Provider will define the services performed and substantiate with documents the

fulfillment of obligations as stipulated in the Contract.

3. Payments shall be made promptly by UPPLC after submission of the invoice or claim by

the Service Provider and upon verification and certification by the concerned official.

4. Payments shall be made in Indian Rupees/ INR.

5. Prices:

a. Amount payable to the Service Provider as stated in the Contract shall remain

non-negotiable and fixed during the tenure of the Contract.

b. The prices quoted shall not be conditional /optional and it should be in line with the

technology and approach presented during the Approach & Methodology

Presentation by the Service Provider before the Committee and in compliance with

RFP and all corrigenda uploaded on website. The Proposer shall not submit

conditional / optional proposals. Conditional / optional proposals are liable to be out

rightly rejected.



7. TAXES AND DUTIES

For all services supplied, the Proposer shall be entirely responsible for all taxes, duties,

license fees, etc., incurred until delivery of the contracted products or services to the

Employer. If any rates of Tax are increased or decreased, a new Tax is introduced, an

existing Tax is abolished, or any change in interpretation or application of any Tax occurs in

the course of the performance of Contract, which was or will be assessed on the Proposer or

its employees in connection with performance of the Contract, an adjustment as per the terms

of this RFP shall be applicable and Contract Price shall be made to take into account any

such change in such manner as prescribed herein the RFP. However, for all tools, systems

and others if any being used as enablers for the delivery of contract, all tax liability on such

products/ licenses shall be to Service Providers account.

8. INTELLECTUAL PROPERTY RIGHTS (IPR)

During the Subscription phase, the responsibility to maintain the IPR of any Tool /

Application(s) provided by the selected Proposer would lie with the selected Proposer and

the Proposer will transfer the IPR to UPPLC or its nominated agency during the Transfer

stage, which could be post the subscription period or an extended subscription period.

Following conditions apply:

1. Ownership and Title: Title to the software, any enhancements, point updates and

documentation, including ownership rights to patents, copyrights, trademarks and trade

secrets therein shall be the exclusive property of UPPLC. However Proposer will continue

to own all the IPR in the pre-existing tools, technologies and materials brought to the

project including any enhancement or modification thereto.

2. Confidentiality: The Proposer hereby acknowledges that the minor enhancements, point

updates, and documentation may contain information that may be trade secret and

proprietary to UPPLC. The Proposer hereby agrees not to disclose such information

except to persons and organizations expressly authorized by UPPLC to receive such

information. The Proposer shall not remove or alter any copyright notices or proprietary

legends affixed by UPPLC to such minor enhancements, point updates or documentation.

3. Copies: The Proposer shall make available to UPPLC an additional copy of the minor

enhancements, point updates and documentation for back-up use on the computer.

4. Limitation of Damages: The Proposer shall not be liable for any failure to perform its

services because of circumstances beyond the control of Proposer, where such

circumstances shall include (without limitation) natural disaster, terrorism, labor disputes,

war, declarations of governments, transportation delays, and misuse of the Software by

UPPLC.

5. WARRANTY/ INDEMNITY:

The Proposer hereby represents and warrants that (i) the Services/Products as supplied,

installed, tested and accepted; (ii) use of the Services/Products in accordance with the

Contract; and (iii) copying of the Software and Documentation provided to the Employer

in accordance with the Contract do not and will not infringe any Intellectual Property

Rights Rights registered in India held by any third party and that it has all necessary rights

or at its sole expense shall have secured in writing all transfers of rights and other

consents necessary to make the assignments, licenses, and other transfers of Intellectual



Property Rights and the warranties set forth in the Contract, and for the Employer to own

or exercise all Intellectual Property Rights as provided in the Contract. Without limitation,

the Proposer shall secure all necessary written agreements, consents, and transfers of

rights from its employees and other persons or entities whose services are used for

Project execution.

With respect to all third-party products and services purchased by Proposer for UPPLC in

connection with the provision of the Services, Proposer will only pass through or assign to UPPLC

the available rights which Proposer obtains from the manufacturers and/or vendors of such

products and services (including warranty and indemnification rights), all to the extent that such

rights are assignable, but provided always that Proposer shall on a best efforts basis endeavor to

obtain the assignment of such rights for the benefit of UPPLC.

9. SERVICES AND PRODUCT AGREEMENTS

The ownership of all framework, manual, templates, tools and application developed and to

be deployed as part of the project would be in the name of UPPLC and the original copy of

the same shall be deposited by the successful Proposer at the office of UPPLC after

successful implementation of the same. The proposer indemnifies claim to such product and

services and shall not replicate to any other client of his or his associates.

10. CONFIDENTIAL INFORMATION

The Employer/UPPLC (“the Disclosing Party”) and the Proposer/ Proposer (“the Receiving

Party”) shall keep confidential and shall not, without the written consent of the other Party

hereto, divulge to any third Party any documents, data or other information furnished directly

or indirectly by the other Party hereto in connection with the Contract (Confidential

Information), whether such information has been furnished prior to, during or following

termination of the Contract.

The Proposer is deemed to be the Receiving Party of Confidential Information generated by

the Proposer itself in the course of the performance of its obligations under the Contract and

relating to the businesses, finances, Proposers, employees, or other contracts of the

Employer.

The Employer shall not, without the Proposer’s prior written consent, use any Confidential

Information received from the Proposer for any purpose other than the operation and

maintenance of the project. Similarly, the Proposer shall not, without the Employer’s prior

written consent, use any Confidential Information received from the Employer for any purpose

other than those that are required for the performance of the Contract.

11. AUTHORISED REPRESENTATIVES

Employer’s Representative

The Employer/UPPLC shall appoint and notify the Proposer/ Proposer in writing the name of

the Competent Authority /Officer. The Employer may from time to time appoint some other

person as the Competent Authority /Officer in place of the person previously so appointed and

shall give a notice of the name of such other person to the Proposer without delay. No such

appointment shall be made at such a time or in such a manner as to impede the progress of



work on the Facilities. Such appointment shall only take effect upon receipt of such notice by

the Proposer.

The Competent Authority /Officer shall represent and act for the Employer at all times during

the performance of the Contract. All notices, instructions, orders, certificates, approvals and

all other communications under the Contract shall be given by the Competent Authority

/Officer, except as herein otherwise provided.

All notices, instructions, information and other communications given by the Proposer to the

Employer under the Contract shall be given to the Competent Authority /Officer, except as

herein otherwise provided.

Proposer’s Representative

If the Proposer’s Representative is not named, the Proposer shall appoint the Proposer’s

Representative and shall request the Employer in writing to approve the person so appointed.

The request must be accompanied by detailed curriculum vitae for the nominee, as well as

description of any other responsibilities the nominee would retain while performing the duties

of the Proposer’s Representative. If the Employer does not object to the appointment, the

Proposer’s Representative shall be deemed to have been approved. If the Employer objects

to the appointment giving the reason therefore, then the Proposer shall appoint a replacement

of such objection.

12. Objections and Removals

The Employer may by notice to the Proposer object to any representative or person employed

by the Proposer in the execution of the Contract who, in the reasonable opinion of the

Employer, may have behaved inappropriately, be incompetent, or be negligent. The Employer

shall provide evidence of the same, whereupon the Proposer shall remove such person from

work.

13. PROJECT PLANNING AND PERFORMANCE

The agreed and finalized Project Plan will be prepared by the Proposer and approved by the

Employer/ UPPLC. If required, the impact on the Implementation Schedule of modifications

agreed during finalization of the agreed and finalized Project Plan shall be incorporated in the

Contract by amendment.

Proposer shall undertake to supply, install, test, and commission the Services in accordance

with the agreed and finalized Project Plan.

The progress report and other reports shall be prepared by the Proposer and submitted to

the Employer in the format and frequency specified.

If at any time the Proposer’s actual progress falls behind the project schedule described in

the agreed and finalized Project Plan, or it becomes apparent that it will so fall behind, the

Proposer shall, at the request of the Employer’s Competent Authority /Officer, prepare and

submit to the Competent Authority /Officer, a revised project schedule, taking into account the

prevailing circumstances, and shall notify the Competent Authority /Officer of the steps being

taken to expedite progress so as to attain completion of the facilities within the stated time for

completion.



UPPLC, as per rules, through its officials can undertake audit of the information provided by

the vendor at any point of time. The vendor must provide support and access to the data and

its offices meant for the project. In case of any dispute, UPPLC’s decision will be final and

binding on the vendor.

In case UPPLC through audit or otherwise finds that the vendor has purposefully committed

any irregularity, UPPLC has the right to terminate the contract with immediate effect.

14. SUBCONTRACTING (AREAS THAT CAN BE SUBCONTRACTED, EXTENT ETC)

In case required, the Proposer shall seek permission and submit the list of sub- Proposers to

the Employer for its prior approval in writing. Such approval by the Employer of a sub-

Proposer(s) shall not relieve the Proposer from any of its obligations, duties, or

responsibilities under the Contract.

15. TRANSPORT AND DELIVERY

Delivery Schedule will require the explicit written consent of the Employer. The Proposer

shall bear responsibility for deliveries and cost of transport to the Project Sites. Unless

otherwise specified, the Proposer shall be free to use transportation through carriers

registered in the Country.

16. PRODUCT UPGRADES

At any point during performance of the Contract, should technological advances be

introduced by the Proposer for the IT Services originally offered by the Proposer in its

proposal and still to be delivered, the Proposer shall be obligated to offer to the Employer

the latest versions of the available information technologies having equal or better

performance or functionality at the same or lesser unit prices.

17. INSPECTION AND TESTING

UPPLC and/or its representative reserve the right of inspection of processes being followed

by the Proposer anytime during the period of the contract. UPPLC reserves the right to

inspect, test and, wherever necessary, reject the monitoring framework, templates, or manual

or program management processes. This shall in no way be limited or waived by reason of

having previously been inspected and passed by UPPLC or its representative prior to the Pilot

implementation.

18. OPERATIONAL FRAMEWORK ACCEPTANCE

Implementation of the Operational Framework shall be commenced by the Proposer

immediately after intimation of acceptance is issued by the Employer’s Representative.

The Employer shall supply the operating and technical personnel and all materials and

information reasonably required to enable the Proposer to carry out its obligations with

respect to implementation of the monitoring operational framework.

The Operational Acceptance Tests shall be the primary responsibility of the Employer, but

shall be conducted with the full cooperation of the Proposer during Commissioning of the IT

Application to ascertain whether they conform to the requirements and meets the standard of

performance quoted in the Proposer’s proposal, including, but not restricted to, the functional

and technical performance requirements.



If, for reason attributable to the Employer, the Operational Acceptance Test of the IT

Application cannot be successfully completed within the period specified, from the date of

Installation or any other period agreed upon in writing by the Employer and the Proposer, the

Proposer shall be deemed to have fulfilled its obligations with respect to the technical and

functional aspects.

If the IT Application fails to pass the Operational Acceptance Test(s) then either:

the Employer may consider terminating the Contract, or

If the failure to achieve Operational Acceptance within the specified time period is a

result of the failure of the Employer to fulfill its obligations under the Contract, then

the Proposer shall be deemed to have fulfilled its obligations with respect to the

relevant technical and functional aspects of the Contract.

19. COMPLETION TIME GUARANTEE

The Proposer guarantees that it shall complete the project within the time period specified in

the Implementation Schedule and/or Agreed and Finalized Project Plan or within such

extended time to which the Proposer shall be entitled to.

20. DEFECT LIABILITY

The Proposer warrants that all Services/Products to be delivered under this contract:

shall be free from defects in the design and workmanship;

are newly manufactured, unused, and incorporate all recent material

improvements in design; and

complies with or exceeds the Technical Specifications

Commercial warranty provisions of products supplied under the Contract shall

apply to the extent that they do not conflict with the provisions of this Contract.

In addition, the Proposer warrants that:

The Warranty Period shall commence from the date of Operational Acceptance of the IT

Services. If during the Warranty Period any defect should be found in the design,

documentation, and workmanship of the Services provided by the Proposer, the Proposer

shall promptly, in consultation and agreement with the Employer regarding appropriate

remedying of the defects, and at its sole cost, repair, replace, or otherwise make good (as the

Proposer shall, at its discretion, determine) such defect as well as any damage to the

Products and/or Services caused by such defect.

21. FUNCTIONAL GUARANTEES

The Proposer guarantees that during the Operational Acceptance, the IT Services shall attain

the Functional Guarantees, subject to and upon the conditions therein specified.

If, for reasons attributable to the Proposer, the minimum level of the Functional Guarantees

is not met either in whole or in part, the Proposer shall at its own cost and expense make

such changes, modifications and/or additions to the Services or any part thereof as may be

necessary to meet at least the minimum level of such Guarantees. The Proposer shall notify



the Employer upon completion of the necessary changes, modifications and/or additions, and

shall request the Employer to repeat the Operational Acceptance Test until the minimum level

of the Guarantees has been met. If the Proposer eventually fails to meet the minimum level

of Functional Guarantees, the Employer may consider termination of the Contract.

22. LIMITATION OF LIABILITY

Except in cases of criminal negligence or willful misconduct attributable to the Proposer:

neither Party shall be liable to the other Party, whether in contract, tort, or otherwise, for

any indirect or consequential loss or damage, loss of use, loss of production, or loss of

profits or interest costs, which may be suffered by the other Party in connection with the

Contract and

The aggregate liability of the Proposer to the Employer, whether under the Contract, in

tort or otherwise, shall not exceed the annual contract price, provided that this limitation

shall not apply to any obligation of the Proposer to indemnify the Employer with respect

to patent infringement set out in section 5 above.

23. CRIMINAL CHARGES AND CONVICTION

The Proposer warrants that it has disclosed and will continue to disclose during the term of

this Contract full details of all criminal convictions and all pending criminal charges against it

or any of its personnel and associates that would reasonably be expected to adversely affect

the Proposer or the Proposer’s capacity to fulfill its obligations under this contract.

24. CARE OF IT PRODUCTS AND/OR SERVICES

The Proposer shall be responsible for the care and custody of the IT Products and/or

Services or any part thereof until the date of completion of the Project, where the contract

provides for completion of the in parts, until the date of completion of the relevant part, and

shall make good at its own cost any loss or damage that may occur to the IT Products and/or

Services or the relevant part thereof from any cause whatsoever during such period.

25. LOSS OF OR DAMAGE TO PROPERTY; ACCIDENT OR INJURY TO WORKERS

The Proposer shall abide by the job safety, insurance, customs, and immigration measures

prevalent and laws in force in the India. The Proposer shall indemnify and hold the Employer

and its employees and officers harmless from and against any and all suits, actions or

administrative proceedings, claims, demands, losses, damages, costs, and expenses of

whatsoever nature, including attorney’s fees and expenses, in respect of the death or injury of

any person or loss of or damage to any property by reason of the negligence of the Proposer

or its employees, officers or agents.

26. INSURANCE

The Proposer shall maintain standard forms of comprehensive insurance including liability

insurance, system and facility insurance and any other insurance for the personnel, assets,

data, software, etc. and submit the list of all the insured items to UPPLC prior to the start of

operations.



27. FORCE MAJEURE

Neither Party to this Agreement or to the SLA shall be liable to the other for any loss or

damage which may be suffered by the other due (directly) to the extent and for the duration of

any cause beyond the reasonable control of the Party unable to perform (“Force Majeure”)

events such as but not limited to acts of God not confined to the premises of the Party

claiming the Force Majeure, flood, drought, lightning or fire, earthquakes, strike, lock-outs

beyond its control, labor disturbance not caused at the instance of the Party claiming Force

Majeure, acts of government or other competent authority, war, terrorist activities, military

operations, riots, epidemics, civil commotions etc. No failure, delay or other default of any

Proposer to either Party shall entitle such Party to claim Force Majeure.

The Party seeking to rely on Force Majeure shall promptly, within 2 days, notify the other

Party of the occurrence of a Force Majeure event as a condition precedent to the availability

of this defense with particulars detail in writing to the other Party and shall demonstrate that it

has and is taking all reasonable measures to mitigate the events of Force Majeure.

In the event the Force Majeure substantially prevents, hinders or delays the Proposer’s

performance of Services necessary for the operation of Project’s critical business functions for

a period in excess of 5 days, UPPLC may declare that an emergency exists. UPPLC will

issue a notice to the Proposer to resume normal services at all affected sites and for all

operations within a period of 7 days. In the event that the Proposer is not able to resume

services within the next 7 days, UPPLC may terminate the Agreement and/or obtain

substitute performance from an alternate Proposer. However, the event of Force Majeure is

to be reviewed under two categories i.e. prior to commencement of operations and post

commencement of operations respectively.

Prior to commencement of operations: If the event of Force Majeure occurs prior to

commencement of operations and continues for a period in excess of 10 days, then UPPLC

will grant a period of 7 days to the Proposer to resume normal activities under this

Agreement. In case the default continues, then UPPLC may discuss the issue with the

Proposer and revise the existing timelines for the Project. If the Proposer does not complete

the Project Implementation in accordance with the revised timeless, UPPLC will have the

option to terminate this Agreement.

Post commencement of operations: If Force Majeure occurs post commencement of

operations and continues for a period in excess of five days, then UPPLC will grant a period

of 7 days to the Proposer to resume normal services under this Agreement. In case the

default continues, UPPLC may grant an extension of time to the Proposer for rectifying the

situation. However, UPPLC will deduct for each day of the extension period a percentage

proportionate to the number of days and the affected areas/s from the next payable amount

as per Payment Schedule. If there is any further delay despite the extended period, UPPLC

will have the option to terminate the Agreement.

Notwithstanding the terms of this section, the failure on the part of the Proposer under the

SLA to implement any disaster contingency planning and back-up and other data safeguards

in accordance with the terms of the SLA against natural disaster, fire, sabotage or other

similar occurrence shall not be an event of Force Majeure.

28. CHANGE IN LAWS AND REGULATIONS

If after the date of proposal submission, any law, regulation, ordinance, order or by-law

having the force of law is enacted, promulgated, abrogated or changed which shall be

deemed to include any change in interpretation or application by the competent authorities,

that subsequently affects the costs and expenses of the Proposer and/or the Time for

Completion, the Contract Price shall be correspondingly increased or decreased, and/or the

Time for Completion shall be reasonably adjusted to the extent that the Proposer has



thereby been affected in the performance of any of its obligations under the Contract.

29. COMPLIANCE WITH LAWS

The Proposer shall undertake to observe, adhere to, comply with and notify UPPLC about all

laws in force or as are made applicable in future, pertaining to or applicable to the Proposer to

their business as IT and consultancy service provider, their employees or their obligations

towards employees and all purposes of this tender

The Proposer shall promptly and timely obtain all such consents, permissions, approvals,

licenses, etc, as may be necessary or required for any of the purposes of this project or for

the conduct of their own business as IT and consultancy service provider under any

applicable Law, Government Regulation/Guidelines and shall keep the same valid and in

force during the term of the project

The Proposer agrees that the Proposer shall not be entitled to assign / sub lease any or all

of its rights and or obligations under this tender and subsequent Agreement to any entity

including Proposer’s affiliate without the prior written consent of UPPLC.

30. EXTENSION OF TIME FOR COMPLETION

The Time(s) for Completion shall be extended if the Proposer is delayed or impeded in the

performance of any of its obligations under the Contract by reason of any of the following:

any occurrence of Force Majeure or unforeseen conditions

any changes in laws and regulations

any default or breach of the Contract by the Employer, or any activity, act or omission of the

Employer, or the Nodal Officer, or any other Proposers employed by the Employer; or

Any other matter specifically mentioned in the Contract by such period as shall be fair and

reasonable in all the circumstances and as shall fairly reflect the delay or impediment

sustained by the Proposer.

31. SUSPENSION

No order of suspension or termination of implementing Proposer would be issued by UPPLC

except after conducting an enquiry by an officer of UPPLC, authorized in this regard.

The grounds for suspension / termination of implementing Proposer may include inter alia

Contravention of the conditions/clauses as would be specified in the Contract/Letter of

Appointment.

Inability to perform the duties and requirements as would be specified in the contract.

32. TERMINATION FOR PROPOSER’S DEFAULT

The Employer, without prejudice to any other rights or remedies it may possess, may terminate

the Contract forthwith in the following circumstances by giving a notice of termination and its

reasons therefore to the Proposer:

if the Proposer becomes bankrupt or insolvent, has a receiving order issued against it,

compounds with its creditors, or, if the Proposer is a corporation, a resolution is passed or

order is made for its winding up, (other than a voluntary liquidation for the purposes of

amalgamation or reconstruction), a receiver is appointed over any part of its undertaking or



assets, or if the Proposer takes or suffers any other analogous action in consequence of

debt;

if the Proposer, in the judgment of the Employer has engaged in corrupt, fraudulent,

coercive or collusive practices in competing for or in executing the Contract, including but

not limited to willful misrepresentation of facts concerning ownership of Intellectual Property

Rights in, or proper authorization and/or licenses from the owner to offer the hardware,

software, or materials provided under the Contract.

If the Proposer:

has abandoned or repudiated the Contract;

has without valid reason failed to commence work on the project promptly;

persistently fails to execute the Contract in accordance with the Contract or

persistently neglects to carry out its obligations under the Contract without just

cause;

refuses or is unable to provide sufficient Documentation, Services, or labor to

execute and complete the project in the manner specified in the agreed and

finalized Project Plan then the Employer may, without prejudice to any other

rights it may possess under the Contract, give a notice to the Proposer stating

the nature of the default and requiring the Proposer to remedy the same. If the

Proposer fails to remedy or to take steps to remedy the same within fourteen (14)

days of its receipt of such notice, then the Employer may terminate the Contract

forthwith by giving a notice of termination to the Proposer.

Upon receipt of the notice of termination, the Proposer shall, either immediately or upon

such

Date as is specified in the notice of termination,

cease all further work, except for such work as the Employer may specify in the notice of

termination for the sole purpose of protecting that part of the project already executed, or

any

work required to leave the Site in a clean and safe condition;

deliver to the Employer the part of the project executed by the Proposer up to the date of

termination;

to the extent legally possible, assign to the Employer all rights, title and benefit of the

Proposer to the Project as of the date of termination, and, as may be required by the

Employer

Deliver to the Employer all drawings, specifications, and other documents prepared by the

Proposer as of the date of termination in connection with the Project.

33. DISPUTES AND ARBITRATION

Arbitration

Any controversy or claim arising out of Proposer may, upon giving thirty (30) days written notice to UPPCL identifying specifically the basis for such notice, terminate the Agreement for breach of a material term or condition of the applicable unless after receiving the notice UPPCL cures such breach within the thirty (30) day period. Upon termination under this Section, UPPCL shall pay Proposer for all Services rendered, including a pro rata portion for Deliverables in progress, and expenses incurred by Proposer prior to the date of termination. or relating to this project and the services to be rendered by Proposer under or pursuant to

this project Agreement, the interpretation hereof, or its breach shall, if not resolved by



mutual discussions between the parties, be settled by binding arbitration in accordance with

the Arbitration and Conciliation Act, 1996. Arbitration shall be conducted in New Delhi in

English language.

JURISDICTION

All disputes and controversies between UPPCL and Proposer shall be subject to the

exclusive jurisdiction of the Courts at New Delhi the parties agree to submit themselves to

the jurisdiction of such court. This Project agreement shall be governed by the laws of India.

34. REPRESENTATIONS AND WARRANTIES

a) The Proposer warrants that they have obtained all necessary corporate approvals to enter

into an Agreement and that no consent, approval, or RFP Document for Skill Development

Management System for UPPCL, no withholding of objection is required from any

governmental authority with respect to the entering into or the performance of this project.

b) The Proposer further warrants that they are under no obligation or restriction, nor shall they

assume any such obligation or restriction, that would in any way interfere or conflict with, or

that would present a conflict of interest concerning, any obligations under this project .

c) Proposer warrants that it shall perform the Services in a professional and workmanlike

manner and materially in accordance with the applicable specifications in the RFP.

d) The Proposer represents that it is duly incorporated, validly existing and in good standing

under as per the laws of the state in which such Party is incorporated.

e) The Proposer represents that it has the corporate power and authority to enter into

Agreements and perform its obligations there under. The execution, delivery and performance

of terms and conditions under Agreements by such Party and the performance of its

obligations there under are duly authorized and approved by all necessary action and no

other action on the part of such Party is necessary to authorize the execution, delivery and

performance under an Agreement.

f) The Proposer represents that the submission of responses to the RFP execution, delivery

and performance under an Agreement entered in case the Proposer is selected:

Will not violate or contravene any provision of its documents of incorporation;

Will not violate or contravene any law, statute, rule, regulation, licensing

requirement, order, writ, injunction or decree of any court, governmental

instrumentality or other regulatory, governmental or public body, agency or

authority by which it is bound or by which any of its properties or assets are

bound;

Except to the extent that the same have been duly and properly completed or

obtained, will not require any filing with, or permit, consent or approval of or

license from, or the giving of any notice to, any court, governmental

instrumentality or other regulatory, governmental or public body, agency or

authority, joint venture party, or any other entity or person whatsoever;

To the best of its knowledge, after reasonable investigation, no representation or

warranty by such Party in this Agreement, and no document furnished or to be

furnished to the other Party to this Agreement, or in connection herewith or with

the transactions contemplated hereby, contains or will contain any untrue or

misleading statement or omits or will omit any fact necessary to make the



statements contained herein or therein, in light of the circumstances under which

made, not misleading. There have been no events or transactions, or facts or

information which has come to, or upon reasonable diligence, should have come

to the attention of such Party and which have not been disclosed herein or in a

schedule hereto, having a direct impact on the transactions contemplated

hereunder.



30. Appendix I: Pre-Qualification & Technical Bid Templates The bidders are expected to respond to the RFP using the forms given in this section and all

documents supporting Pre-Qualification / Technical Evaluation Criteria.

Pre-Qualification Bid & Technical Proposal shall comprise of following forms :

Forms to be used in Pre-Qualification Proposal

Form 1: Compliance Sheet for Pre-qualification Proposal

Form 2: Particulars of the Bidders

Form 3: Bank Guarantee for Earnest Money Deposit (EMD)

Forms to be used in Technical Proposal

Form 4: Letter of Proposal

Form 5: Proposed Approach & Methodology

Form 6: Proposed Work Schedule & Project Plan

Form 7: Deviations

Form 8: Team Composition and their Availability

Form 9: Curriculum Vitae (CV) of Key Personnel

Form 10: Deployment of Personnel



Form 1: Compliance Sheet for Pre-qualification Proposal

(The pre-qualification proposal should comprise of the following basic requirements. The documents

mentioned in this compliance sheet along with this form, needs to be a part of the Pre-Qualification

proposal)

Table A

Qualification Criteria - Prime Bidder

S. No. Performance Variable Minimum Qualifying

Requirements

Documents to

be Provided

Response

(Y/N)

1 General

The Bidder / each of the

partners should be registered

under the Companies Act,

1956, should have registered

offices in India and should be

in existence for at least the

last 5 years, as on 31st

March 2013, in the areas of

Software Development,

Implementation, Consultancy,

Training, and Support

Services.

Copy of

Certificate of

Incorporation

issued by

Registrar of

Companies

2 Company Profile

The bidder should have a

turnover of at least INR 500

Crore (in case the bidder is a

subsidiary, then the turnover

of the parent company also

can be considered) for each

of the last three financial

years and should also have a

positive net worth in each of

these 3 years

Company

balance sheet /

Self-

Certification/CA

Certificate

3 OEM Implementation

Partner Status

The Bidder should submit

valid certificate from all

service providers / OEMs

(whose products are being

quoted as part of the

solution).

Certification

(MAF) from

Service

Providers /

OEMs should

be provided

4 OEM Technology-

Globally

The proposed technology

should be in the leader’s

quadrant for gartner and

should have been

implemented in atleast 5

organization of a similar

nature.

Client

certification on

client letter

head.

5 SI Implementation

Experience - Globally

The bidder should have

implemented at least three

end-to-end implementations

Self-certification





Requirements

Documents to

be Provided

Response

(Y/N)

as a System Integrator in any

company with multi-location

operations.

The in-progress projects

should have reached the

steady state of operations as

on the date of submission of

bids.

Out of the above 3 projects,

one project should be

mandatorily from the Power

Segment. The realized value

of any one project out of 3

should be rupees 10 crores

or higher in total contract

value and should be

completed as on bid

submission date.

The experience for

Government / Non-

Government (in India) /

International project will be

considered All the project

experience should be

demonstrated in the last 5

years period from the date of

publishing of the RFP.

Note:

1. The work order for the

projects should be signed

prior to date of submission of

bid

2. IT Projects relates to

projects involving IT

Application including

development, configuration,

customization & integration of

IT applications.

6

The bidder should have at

least 1000 resources trained

in data management,

business intelligence and

predictive analytics.

Self-

Certification

from Authorized

Signatory





Requirements

Documents to

be Provided

Response

(Y/N)

7

The Bidder/ Partner‟s

shall not be under a

declaration of ineligibility

/ banned / blacklisted for

any statutory and/or

performance reasons,

by any Government

entity in India as on last

date of submission of

the Bid

Affidavit by

authorized

signatory of the

Bidder / Lead

Bidder on

behalf of all

partners

8

The Bidder in case of

should not have

violated/ infringement of

any Indian or Foreign

trademark, patent,

registered design or

other IPR

Affidavit from

authorized

signatory of the

Bidder / Lead

Bidder on

behalf of all

partners

9 Quality Certification Should have SEI CMMi Level

5.

Copy of valid

certificates at

the time of bid

submission

Notes: Instructions for filling up the qualification criteria:

1. All financial data should be as per latest financial year unless explicitly mentioned, accompanied

by the Balance Sheet duly certified by a Chartered Accountant practicing in India. If the specific

numbers for any one point are not reflected separately in the balance sheets, then the system

integrator may give a self-certification for that point.

2. All figures should be in currency as per the Balance Sheet. UPPCL shall do the conversion to

Indian Rupees.

3. Documentary evidence to be provided to support the claims.



Form 2: Particulars of the Bidders

S. No. Information Sought Details to be furnished

A Name and address of the bidding

Company

B

Incorporation status of the firm

(public limited / private limited, etc.)

C Year of Establishment

D Date of registration

E ROC Reference No.

F Details of company registration

G

Details of registration with

appropriate authorities for service tax

H

Name, Address, email, Phone nos.

and Mobile Number of Contact

Person



Form 3: Bank Guarantee for Earnest Money Deposit (EMD)

<Location, Date>

To,

<Name>

<Designation>

<Address>

<Phone Nos.>

<Fax Nos.>

<email id>

Whereas <<name of the bidder>> (hereinafter called 'the Bidder') has submitted the bid for

Submission of RFP # <<RFP Number>> dated <<insert date>> for <<name of the assignment>>

(hereinafter called "the Bid") to <UPPCL>

Know all Men by these presents that we << >> having our office at <<Address>> (hereinafter called

"the Bank") are bound unto the <UPPCL> (hereinafter called "the Purchaser") in the sum of Rs.

<<Amount in figures>> (Rupees <<Amount in words>> only) for which payment well and truly to be

made to the said Purchaser, the Bank binds itself, its successors and assigns by these presents.

Sealed with the Common Seal of the said Bank this <<insert date>>

The conditions of this obligation are:

1. If the Bidder having its bid withdrawn during the period of bid validity specified by the Bidder on

the Bid Form; or

2. If the Bidder, having been notified of the acceptance of its bid by the Purchaser during the period

of validity of bid

a. Withdraws his participation from the bid during the period of validity of bid document; or

b. Fails or refuses to participate for failure to respond in the subsequent Tender process after

having been short listed;

We undertake to pay to the Purchaser up to the above amount upon receipt of its first written demand,

without the Purchaser having to substantiate its demand, provided that in its demand the Purchaser

will note that the amount claimed by it is due to it owing to the occurrence of one or both of the two

conditions, specifying the occurred condition or conditions.

This guarantee will remain in force up to <<insert date>> and including <<extra time over and above

mandated in the RFP>> from the last date of submission and any demand in respect thereof should

reach the Bank not later than the above date.

NOTHWITHSTANDING ANYTHING CONTAINED HEREIN:

I. Our liability under this Bank Guarantee shall not exceed Rs. <<Amount in figures>> (Rupees

<<Amount in words>> only)

II. This Bank Guarantee shall be valid upto <<insert date>>)

III. It is condition of our liability for payment of the guaranteed amount or any part thereof arising

under this Bank Guarantee that we receive a valid written claim or demand for payment under

this Bank Guarantee on or before <<insert date>>) failing which our liability under the

guarantee will automatically cease.

(Authorized Signatory of the Bank)

Seal:

Date:



Form 4: Letter of Proposal

<Location, Date>

To:

<Name>

<Designation>

<Address>

<Phone Nos.>

<Fax Nos.>

<email id>

Subject: Submission of the Technical bid for <provide name of the consulting assignment>

Dear Sir/Madam,

We, the undersigned, offer to provide Consultancy Services to the UPPCL on <provide name of the

consulting engagement> with your Request for Proposal dated <insert date> and our Proposal. We

are hereby submitting our Proposal, which includes this Technical bid and the Financial bid sealed in

a separate envelope.

We hereby declare that all the information and statements made in this Technical bid are true and

accept that any misinterpretation contained in it may lead to our disqualification.

We undertake, if our Proposal is accepted, to initiate the consulting services related to the assignment

not later than the date indicated in Fact Sheet.

We agree to abide by all the terms and conditions of the RFP document. We would hold the terms of

our bid valid for <90> days as stipulated in the RFP document.

We understand you are not bound to accept any Proposal you receive.

Yours sincerely,

Authorized Signature (In full and initials):

Name and Title of Signatory:

Name of Firm:

Address:

Location: _____________________________________Date: ________________________



Form 5: Proposed Approach & Methodology

Technical approach, methodology and work plan are key components of the Technical Proposal. You

are suggested to present Approach and Methodology divided into the following sections:

a) Understanding of the project

b) Potential initiatives given the priorities

c) Technical Approach and Methodology

Technical Approach and Methodology

You should explain your understanding of the objectives of the assignment, approach to the services,

methodology for carrying out the activities and obtaining the expected output, and the degree of detail

of such output.

You should highlight the problems being addressed and their importance, and explain the technical

approach you would adopt to address them. You should also explain the methodologies you propose

to adopt and highlight the compatibility of those methodologies with the proposed approach.



Form 6: Proposed Work Schedule & Project Plan

In this section you should propose the main activities of the assignment, their content and duration,

phasing and interrelations, milestones (including interim approvals by the Purchaser), and delivery

dates of the reports.

The proposed work plan should be consistent with the technical approach and methodology, showing

understanding of the TOR and ability to translate them into a feasible working plan. A list of the final

documents, including reports to be delivered as final output, should be included here.

The above should be substantiated with the project plan, as per the following template. The project

plan should be consistent with the Work Schedule.

1. Indicate all main activities of the assignment, including delivery of reports (e.g.: inception,

interim, and final reports), and other benchmarks such as Purchaser approvals. For phased

assignments indicate activities, delivery of reports, and benchmarks separately for each phase.

2. Duration of activities shall be indicated in the form of a bar chart.

3. All activities should meet the 8/80 criteria i.e. should at least take 8 hours and a maximum of 80

hours.

N°

Activities &

Deliverables

Months

1 2 3 4 5 6 7 8 9 ..

..

.

N TOTAL

D-1

D-2

n



Form 7: COMMENTS AND SUGGESTIONS ON THE TERMS OF REFERENCE, COUNTERPART

STAFF, AND FACILITIES TO BE PROVIDED BY THE UPPCL

comments and suggestions on the Terms of Reference that could improve the quality/effectiveness

of the assignment; and on requirements for counterpart staff and facilities, which are provided by

the UPPCL, including: administrative support, office space, local transportation, equipment, data, etc.

A - On the Terms of Reference

{improvements to the Terms of Reference, if any}

B - On Counterpart Staff and Facilities

{comments on counterpart staff and facilities to be provided by the UPPCL. For example,

administrative support, office space, local transportation, equipment, data, background reports, etc., if

any}



Form 8: Team Composition and their Availability

Organization and Staffing. In this chapter you should propose the structure and composition of your

team. You should list the main disciplines of the assignment, the key expert responsible, and

proposed technical staff.

Form 8.1: Team composition and Key Tasks

Name of Staff

with Qualification

and Experience

Area of Expertise

Position Assigned

Task Assigned

Time

Committed for

the

Engagement

Form 8.2: Information on Team Involvement in other Engagements

Name of Staff with

Qualification and

Experience

Current Assignments

where the Resource

CV had been

presented in the

proposal

End Date of the

Assignment (as

estimated on the date

of submission of this

bid)

% Time

Commitment

Name of the resource

(Any information withheld / misrepresented, would establish the UPPCL would establish the veracity

and if found true may lead to rejection of the bid OR cancellation of the contract)



Form 9: Curriculum Vitae (CV) of Key Personnel

1. Proposed Position [only one candidate shall be nominated for each position Expert]:

2. Name of Firm [Insert name of firm proposing the staff]:

3. Name of Staff [Insert full name]:

4. Date of Birth: Nationality:

5. Education [Indicate college/university and other specialized education of staff member,

giving names of institutions, degrees obtained, and dates of obtainment]:

6. Total No. of years of experience:

7. Total No. of years with the firm:

8. Areas of expertise and no. of years of experience in this area (as required for the

Profile - mandatory):

9. Certifications and Trainings attended:

10. Details of Involvement in Projects (only if involved in the same):

11. Languages [For each language indicate proficiency: good, fair, or poor in speaking, reading,

and writing]:

12. Membership of Professional Associations:

13. Employment Record [Starting with present position and last 2 firms, list in reverse order,

giving for each employment (see format here below): dates of employment, name of

employing organization, positions held.]:

From (Year): To (Year):

Purchaser:

Positions held:

14. Detailed Tasks Assigned

[List all tasks to be performed under this

assignment]

15. Relevant Work Undertaken that Best

Illustrates the experience as required for the

Role (provide maximum of 6 citations of 10

lines each)

(Among the assignments in which the staff has

been involved, indicate the following information

for those assignments that best illustrate staff

capability to handle the tasks listed under point

14 and as required for the role as listed in ‘List of

the key professional positions whose CV and

experience would be evaluated’)



Name of assignment or project:

Year:

Location:

Purchaser:

Main project features:

Positions held:

Value of Project (approximate value or range

value): ____

Activities performed:

16. Certification:

I, the undersigned, certify that to the best of my knowledge and belief, this CV correctly describes

myself, my qualifications, and my experience. I understand that any wilful misstatement described

herein may lead to my disqualification or dismissal, from the assignment if engaged.

Date:

(Signature of staff member or authorized representative of the staff) Day/Month/Year

Full name of Authorized Representative:



Form 10: Deployment of Personnel

S.

No.

Name

of Staff

Deliverables

involved

Staff

input in

Months

(in the

form of

a Bar

chart)

Staff input in Months (in the form of a bar

chart)

Total

Staff

man-

Months

Proposed

1 2 3 4 5 6 n Total

1. Professional Staff the input should be indicated individually; for Support Staff it should be

indicated by category

2. Months are counted from the start of the assignment.

Full Time input

Part Time input



31. Appendix II : Commercial Proposal Templates The bidders are expected to respond to the RFP using the forms given in this section for Commercial

Proposal.

Form 1: Covering Letter

Form 2: Commercial Bid Template



Form 1: Covering Letter

<Location, Date>

To:

<Name>

<Designation>

<Address>

<Phone Nos.>, <Fax Nos.>

<email id>

Subject: Submission of the Financial bid for <provide name of the consulting assignment>

Dear Sir/Madam,

We, the undersigned, offer to provide the consulting services for <<Title of consulting services>> in

accordance with your Request for Proposal dated [Date] and our Proposal - Technical and Financial

Proposals. Our attached Financial Proposal is for the sum of <<Amount in words and figures>>. This

amount is inclusive of OPEs, Miscellaneous expenses & Service taxes.

I understand that the payment would be made on the basis of actual Service tax rate prevalent during

the time of payment.

Our Financial Proposal shall be binding upon us subject to the modifications resulting from Contract

negotiations, up to expiration of the validity period of the Proposal, i.e., <<Date>>

We understand you are not bound to accept any Proposal you receive.

Yours sincerely,

Authorized Signature:

Name and Title of Signatory:

Name of Firm:

Address:



Form 2: Commercial Bid Template

The price bid needs to be submitted in the format given below.




Price in words

1 Total Fees for Track A1, (section 25 (i)) Structural Gap Analysis of RAPDRP system





Price in words

1 Total Fees for Track A2, (section 25 (ii)) doing Operational gap analysis and establishment of monitoring and support system for A T & C loss reduction

Rate card for deployment of Loss Reduction Team and Domain Consultants for a period of 3 years

Sr

No

Role Number of personnel

Rate per month

Total Price

Tax Price with Tax

1 Program Manager 1

2 Project Manager 4

3 Team Leaders to work at zone level

21

4 Circle Field Executives 91

5 Domain Consultant GIS and Network Analysis

1

6 Domain Consultant Project Management

1

7 Domain Consultant IT infrastructure and Data Center Management

1

8 Domain Consultant Database Administrator-Oralce

1

9 Domain Consultant Networking and IT Security

1

10 Domain Consultant – Applications, Service

1



oriented architecture (SOA) and Cloud Computing

11 Domain Consultant MDAS and AMI

1






Price in words

1 Total Fees for, Track A3, (section 25 (iii)) Designing solution for optimizing performance of Distribution Divisions in RAPDRP and Non-RAPDRP areas with respect to parameters outlined in Financial Restructuring Plan (FRP)

Sr

No



Price in words

1

The consultant needs to give a




Review of the vendor drawings

including Quality Assurance

Plans, Project Plan, and

Methodology for



















suitable areas



Price in words

1 Total Fees for Track A4, (section 25(iv)) Preparing Strategic Roadmap for creating advance metering infrastructure in suitable areas

Sr

No



Price in words

1 The consultant needs to give a




Supervision of awarded

contracts on behalf of UPPCL

which will include among other

contract management

activities, review of the vendor

drawings including Quality

Assurance Plans, Project Plan,

and Methodology for



















Price in words

1 Total Fees for Track



B1.a (Section 25 (v)) Implementation of Decision support system for load forecasting


Optimisation.



Price in words

1 Total Fees for Track B1.b, (section 25 (vi)) Implementation of Decision support system for Power Portfolio Optimisation


system.



Price in words

1 Total Fees for Track B1.c, (section 25 (vii)) Implementation of Decision support system for Loss /theft /leakage metrics system.


Management System



Price in words

1 Total Fees for Track B1.c, (section 25 (viii)) Recommendation of a comprehensive Project Management System..




Price in words

1 Total Fees for Track B1.c, (section 25 (ix)) Implementation of Outage Management



System.




Price in words

1 Total Fees for Track B1.c, (section 25 (x))

Establishment of Power Resource Center

(xi) Rate card for PRC. The payment for rate card will be on a monthly basis for a period of 3

years. A suggested format is given below.

Sr

No

Role of Consultant Total Fees without taxes


Price in words

1

2

Grand Total= Sum of 1 to xi in figures and words



Annexure III

List of R-APDRP Towns

Sl No DISCOM TOWN Dist Name Zone Name Circle Name Division Name

1 DVVNL Atrauli ALIGARH ALIGARH EDC-ALIGARH EDD-2 ALIGARH

2 DVVNL Bharthana ETAWAH KANPUR EDC-ETAWAH EDD-2 ETAWAH

3 DVVNL Jalesar ETAH ALIGARH EDC-ETAH EDD-ETAH

4 DVVNL Kosi Kalan MATHURA AGRA EUDC-MATHURA EDD-2 KOSIKALAN

5 DVVNL Sadabad MAHAMAYA NAGAR

ALIGARH EDC-HATHRAS EDD-4 HATHRAS

6 DVVNL Sikandara Rao

MAHAMAYA NAGAR


7 DVVNL Tundla FIROZABAD AGRA EDC-FIROZABAD EDD-FIROZABAD

8 DVVNL Banda BANDA BANDA EDC BANDA EDD-BANDA

9 DVVNL Mathura MATHURA AGRA EUDC-MATHURA EUDD-1 EUDD-2 MATHURA

10 DVVNL Shikohabad FIROZABAD AGRA EDC FIROZABAD EDD-SHIKOHABAD

11 DVVNL Atarra BANDA BANDA BANDA EDD-BANDA

12 DVVNL Chibramau KANNAUJ KANPUR EDC FARRUKHABAD EDD-KANNAUJ

13 DVVNL Etah ETAH ALIGARH EDC-ETAH EDD-ETAH

14 DVVNL Etawah ETAWAH KANPUR EDC-ETAWAH EDD-1 ETAWAH

15 DVVNL Ghatampur KANPUR NAGAR KANPUR EDC KANPUR EDD-1 KANPUR

16 DVVNL Hathras MAHAMAYA NAGAR


17 DVVNL Chitrakoot Dham

CHITRAKOOT BANDA EDC BANDA EDD-KARWI

18 DVVNL Gurshaiganj KANNAUJ KANPUR EDC FARRUKHABAD EDD-KANNAUJ

19 DVVNL Jhansi JHANSI JHANSI EUDC-JHANSI EUDD-1 EUDD-2 JHANSI

20 DVVNL KaimGanj FARRUKHABAD KANPUR EDC FARRUKHABAD EDD-FARRUKKHABAD

21 DVVNL Kalpi JALAUN JHANSI EDC URAI EDD-2 URAI

22 DVVNL MauRaniPur LALITPUR JHANSI EDC JHANSI EDD-2 JHANSI

23 DVVNL Rath HAMIRPUR BANDA EDC HAMIRPUR EDD-1 HAMIRPUR

24 DVVNL Aligarh ALIGARH ALIGARH EUDC-ALIGARH EUDD-1 EUDD-2 EUDD-3 ALIGARH

25 DVVNL Farrukhabad FARRUKHABAD KANPUR EDC-FARRUKHABAD EUDD-FARRUKHABAD

26 DVVNL Hamirpur HAMIRPUR BANDA EDC HAMIRPUR EDD-1 HAMIRPUR

27 DVVNL Jalaun JALAUN JHANSI EDC URAI EDD-2 URAI

28 DVVNL Kannauj KANNAUJ KANPUR EDC FARRUKHABAD EDD-KANNAUJ

29 DVVNL Kasganj FARRUKHABAD FARRUKHABAD EDC FARRUKHABAD EDD-KASGANJ

30 DVVNL Konch JALAUN JHANSI EDC URAI EDD-1 URAI

31 DVVNL Lalitpur LALITPUR JHANSI EDC JHANSI EDD-LALITPUR

32 DVVNL Mahoba MAHOBA BANDA EDC HAMIRPUR EDD-MAHOBA

33 DVVNL Vrindavan MATHURA AGRA EUDC-MATHURA EUDD-2 MATHURA

34 DVVNL Auraiya AURAIYA KANPUR EDC ETAWAH EDD-AURAIYA

35 DVVNL Firozabad FIROZABAD AGRA EDC-FIROZABAD EUDD-FIROZABAD

36 DVVNL Ganjdundwara

ETAH ALIGARH EDC ETAH EDD-KASGANJ

37 DVVNL Mainpuri MAINPURI AGRA EDC MAINPURI EUDD-1 MAINPURI

38 DVVNL Maudha HAMIRPUR BANDA EDC HAMIRPUR EDD-1 HAMIRPUR

39 DVVNL Orai JALAUN JHANSI EDC URAI EDD-1 URAI

40 MVVNL Gangaghat UNNAO LUCKNOW EDC UNNAO EDD-2 UNNAO

41 MVVNL Jalalabad SHAJAHANPUR BAREILLY EDC-SHAHJAHANPUR

EDD-1 SHAJAHANPUR

42 MVVNL kakrala BADAUN BAREILLY EDC-BADAUN EDD-2 BADAUN

43 MVVNL khairabad SITAPUR LUCKNOW EDC-SITAPUR EDD-1 SITAPUR

44 MVVNL Mehmudabad

SITAPUR LUCKNOW EDC-SITAPUR EDD-2 SITAPUR

45 MVVNL Nawabganj Bareilly

BARABANKI FAIZABAD EDC-SULTANPUR EDD-BARABANKI

46 MVVNL Pilibhit Pilibhit BAREILLY EDC-SHAHJAHANPUR

EDD-2 BAREILLY

47 MVVNL Rudauli FAIZABAD FAIZABAD EDC-FAIZABAD EDD-1 FAIZABAD

48 MVVNL Sahahabad RAMPUR MORADABAD EDC RAMPUR EDD-2 RAMPUR

49 MVVNL Sandila HARDOI LUCKNOW EDC-HARDOI EDD-2 HARDOI

50 MVVNL Sitapur SITAPUR LUCKNOW EDC-SITAPUR EDD-1 SITAPUR

51 MVVNL Tilhar SHAJAHANPUR BAREILLY EDC-SHAHJAHANPUR

EDD-1 SHAJAHANPUR

52 MVVNL Zaidpur BARABANKI FAIZABAD EDC-SULTANPUR RAMSNEHI GHAT



53 MVVNL Bisalpur PILIBHIT BAREILLY EDC SHAHJAHANPUR

EDD-PILIBHIT

54 MVVNL Mohammadi KHERI LUCKNOW EDC SITAPUR EDD-GOLA

55 MVVNL Palia Kalan KHERI LUCKNOW EDC SITAPUR EDD-GOLA

56 MVVNL Puranpur SHAJAHANPUR BAREILLY EDC SHAHJAHANPUR

EDD-PILIBHIT

57 MVVNL Mallawan HARDOI LUCKNOW EDC-HARDOI EDD-1 HARDOI

58 MVVNL Baharich BAHRAICH FAIZABAD EDC GONDA EDD-BAHRAICH

59 MVVNL Nanpara BAHRAICH FAIZABAD EDC GONDA EDD-BAHRAICH

60 MVVNL Raibareli RAEBARELI LUCKNOW EDC-RAEBARELI EDD-1 RAEBARELI

61 MVVNL Sultanpur SULTANPUR FAIZABAD EDC-SULTANPUR EDD-1 SULTANPUR

62 MVVNL Aonla BAREILLY BAREILLY EDC BAREILLY EDD-1 BAREILLY

63 MVVNL Badaun BADAUN BAREILLY EDC-BADAUN EDD-1 BADAUN

64 MVVNL Baheri BAREILLY BAREILLY EDC BAREILLY EDD-1 BAREILLY

65 MVVNL Biswan SITAPUR LUCKNOW EDC SITAPUR EDD-2 SITAPUR

66 MVVNL Faridpur BAREILLY BAREILLY EDC BAREILLY EDD-2 BAREILLY

67 MVVNL Gola KHERI LUCKNOW EDC SITAPUR EDD-GOLA

68 MVVNL Hardoi HARDOI LUCKNOW EDC-HARDOI EDD-2 HARDOI

69 MVVNL Laharpur SITAPUR LUCKNOW EDC SITAPUR EDD-2 SITAPUR

70 MVVNL Lakhimpur KHERI LUCKNOW EDC-SITAPUR EDD-LAKHIMPUR

71 MVVNL Sahaswan BADAUN BAREILLY EDC BADAUN EDD-3 BISAULI

72 MVVNL Ujhani BADAUN BAREILLY EDC BADAUN EDD-1 BADAUN

73 MVVNL Unnao UNNAO LUCKNOW EDC-UNNAO EDD-1 UNNAO

74 MVVNL Akberpur AMBEDKAR NAGAR FAIZABAD EDC FAIZABAD EDD-AMBEDKARNAGAR

75 MVVNL Balrampur BALRAMPUR FAIZABAD EDC GONDA EDD-BALRAMPUR

76 MVVNL Bangarmau UNNAO LUCKNOW EDC UNNAO EDD-2 UNNAO

77 MVVNL Faizabad FAIZABAD FAIZABAD EDC-FAIZABAD EDD-1 FAIZBAD

78 MVVNL Gonda GONDA FAIZABAD EDC GONDA EDD-GONDA

79 MVVNL Nawabganj Barabanki

BAREILLY BAREILLY EDC-BAREILLY EDD-2 BAREILLY

80 MVVNL Shajahanpur SHAJAHANPUR BAREILLY EDC-SHAHJAHANPUR

EDD-2 SHAJAHANPUR

81 MVVNL Bareilly BAREILLY BAREILLY EDC BAREILLY EDD-1 BAREILLY

82 MVVNL Lucknow LUCKNOW LESA EUDC-1/EUDC-2/EUDC-3/EUDC-4/EUDC-6 Lucknow

AMINABAD,CHOWK,HUSSAINGANJ,RAJBHAWAN,RESIDENCY,THAKURGANJ,GOMTINAGAR,INDIRANAGAR,MUNSHIPULIYA,CHINHAT,AISHBAGH,UPTRON,ALAMBAGH,KANPURRD,VIRNDAVAN,RAJAJIPURAM,BKT,CESS-1,CESS-2,ALIGANJ,DALIGANJ,RAHIMNAGAR,UNIVERSITY

83 MVVNL Tanda AMBEDKAR NAGAR FAIZABAD EDC FAIZABAD EDD-Tanda

84 PuVVNL Bansi SIDDHARTH NAGAR GORAKHPUR EDC-BASTI EDD-SIDDHARTH NAGAR

85 PuVVNL Ghosi MAU AZAMGARH EDC-MAU EDD-3 GHOSI

86 PuVVNL Obra SONBHADRA MIRZAPUR EDC-SONBHADRA EDD-2 PIPRI

87 PuVVNL Renukoot SONBHADRA MIRZAPUR EDC-SONBHADRA EDD-2 PIPRI

88 PuVVNL Robartsganj SONBHADRA MIRZAPUR EDC-SONBHADRA EDD-ROBERTSGANJ

89 PuVVNL Gorakhpur GORAKHPUR GORAKHPUR UEDC-GORAKHPUR UEDD-1 GORAKHPUR

90 PuVVNL MirzapurcumVindhyachal

MIRZAPUR Mirzapur EDC 1 MIRZAPUR EDD-1 MIRZAPUR

91 PuVVNL Padrauna KUSHINAGAR GORAKHPUR EDC DEORIA EDD-KUSHI NAGAR

92 PuVVNL Varanasi VARANASI VARANASI UEDC-1 UEDC-2 VARANASI

UEDD-1UEDD-2UEDD-3UEDD-4UEDD-5UEDD-6VARANASI

93 PuVVNL Kopaganj MAU AZAMGARH EDC-MAU EDD-2 MAU

94 PuVVNL Mubarakpur AZAMGARH AZAMGARH EDC-AZAMGARH EDD-2 AZAMGARH

95 PuVVNL Azamgarh AZAMGARH AZAMGARH EDC-AZAMGARH EDD-1 AZAMGARH

96 PuVVNL Barhaj DEORIA GORAKHPUR EDC DEORIA EDD-SALEMPUR

97 PuVVNL Jaunpur JAUNPUR Varanasi EDC-JAUNPUR EDD-3 JAUNPUR

98 PuVVNL Khalilabad SANT KABIR NAGAR GORAKHPUR EDC-BASTI EDD SANT KABIR NAGAR

99 PuVVNL Bhadohi MIRZAPUR MIRZAPUR EDC-1 MIRZAPUR EDD-BHADOHI

100 PuVVNL Deoria DEORIA GORAKHPUR EDC-DEORIA EDD-DEORIA

101 PuVVNL Ghazipur GHAZIPUR VARANASI EDC-GHAZIPUR EDD-2 GHAZIPUR

102 PuVVNL Basti BASTI GORAKHPUR EDC-BASTI EDD-1 BASTI

103 PuVVNL Belapratapga PRATAPGARH ALLAHABAD EDC-2 ALLAHABAD EDD-1 PRATAPGARH



rh

104 PuVVNL Chunar SONBHADRA MIRZAPUR EDC SONBHADRA EDD-CHUNAR

105 PuVVNL Maunath Bhanjan

MAU AZAMGARH EDC-MAU EDD-1 MAU

106 PuVVNL Mohammabadabad

GHAZIPUR VARANASI EDC GHAZIPUR EDD-2 GHAZIPUR

107 PuVVNL Mohammabadabad Ghona

MAU AZAMGARH EDC MAU EDD-2 MAU

108 PuVVNL Mughalsarai CHANDAULI Varanasi EDC-VARANASI EDD-MUGHALSARAI

109 PuVVNL Allahabad ALLAHABAD ALLAHABAD EUDC1EUDC2ALLAHABAD

EUDD-1EUDD-2EUDD-3EUDD-4EUDD-5EUDD-6ALLAHABAD

110 PuVVNL Ballia BALLIA AZAMGARH EDC MAU EDD-2 BALIA

111 PuVVNL Bindki FATEHPUR ALLAHABAD EDC FATHEPUR EDD-2 FATHEPUR

112 PuVVNL Fatehpur FATEHPUR ALLAHABAD EDC FATHEPUR EDD-1 FATHEPUR

113 PVVNL Bilari MORADABAD MORADABAD EDC-1 MORADABAD EDD-1 MORADABAD

114 PVVNL Budhana SAHARANPUR MUZAFFARNAGAR

EDC-MUZAFFARNAGAR

EDD-2 SHAMLI

115 PVVNL Dadri GAUTAMBUDDHANAGAR

NOIDA EUDC NOIDA EDD-4 NOIDA

116 PVVNL Debai BULANDSHAHR GHAZIABAD EDC-1 BULANDSHAHR

EDD-DEBAI

117 PVVNL Gajraula JYOTIBA PHULE NAGAR

MORADABAD EDC-JP NAGAR EDD-GAJRAULA

118 PVVNL Jahangirabad BULANDSHAHR GHAZIABAD EDC-2 BULANDSHAHR

EDD-JAHANGIRABAD

119 PVVNL Kairana PRABUDDH NAGAR SAHARANPUR EDC-MUZAFFARNAGAR

EDD-2 SHAMLI

120 PVVNL Khekra BAGHPAT MEERUT EDC-BAGHPAT EDD-BAGHPAT

121 PVVNL Mawana MEERUT MEERUT EDC-MEERUT EDD-MAWANA

122 PVVNL Muradnagar GHAZIABAD GHAZIABAD EDC-GHAZIABAD EDD-MODINAGAR

123 PVVNL Shikarpur BULANDSHAHR GHAZIABAD EDC-2 BULANDSHAHR

EDD-3 BULANDSHAHR

124 PVVNL Baraut BAGHPAT MEERUT EDC BAGHPAT EDD-1 EDD-2 BARAUT

125 PVVNL Hapur GHAZIABAD GHAZIABAD EDC HAPUR EDD-HAPUR

126 PVVNL Kandhala MUZAFFARNAGAR SAHARANPUR EDC MUZAFFARNAGAR

EDD-2 SHAMLI

127 PVVNL Khatauli MUZAFFARNAGAR SAHARANPUR EDC MUZAFFARNAGAR

EDD-MUZAFFARNAGAR

128 PVVNL Noorpur BIJNOR MORADABAD EDC BIJNOR EDD-CHANDPUR

129 PVVNL Siana BULANDSHAHR GHAZIABAD EDC 2 BULANDSHAHR

EDD-4 BULANDSHAHR

130 PVVNL Thakurdwara MORADABAD MORADABAD EDC 1 MORADABAD EDD-2 MORADABAD

131 PVVNL Bijnor BIJNOR MORADABAD EDC-BIJNOR EDD-BIJNOR

132 PVVNL Chandpur BIJNOR MORADABAD EDC-BIJNOR EDD-CHANDPUR

133 PVVNL Gulaothi BULANDSHAHR GHAZIABAD EDC 2 BULANDSHAHR

EDD-1 BULANDSHAHR

134 PVVNL Khurja BULANDSHAHAR GHAZIABAD EDC-1 BULANDSHAHR

EDD-1 KHURJA

135 PVVNL Sikandrabad BULANDSHAHR GHAZIABAD EDC-2 BULANDSHAHR

EDD-1 BULANDSHAHR

136 PVVNL Gangoh SAHARANPUR SAHARANPUR EDC SAHARANPUR EDD-NAKUR

137 PVVNL Garh Mukhteshwar

GHAZIABAD GHAZIABAD EDC HAPUR EDD-GARHMUKHTESHWAR

138 PVVNL Loni GHAZIABAD GHAZIABAD EDC GHAZIABAD EDD-LONI

139 PVVNL Nagina BIJNOR MORADABAD EDC BIJNOR EDD-1 NAJIBABAD

140 PVVNL Saharanpur SAHARANPUR SAHARANPUR EUDC-SAHARANPUR EUDD-1 EUDD-2 SAHARANPUR

141 PVVNL Sheohara BIJNOR MORADABAD EDC BIJNOR EDD-DHAMPUR

142 PVVNL Chandausi MORADABAD MORADABAD EDC 1 MORADABAD EDD-CHANDAUSI

143 PVVNL Deoband SAHARANPUR SAHARANPUR EDC SAHARANPUR EDD-DEOBANDH

144 PVVNL Dhampur BIJNOR MORADABAD EDC BIJNOR EDD-DHAMPUR

145 PVVNL Najibabad BIJNOR MORADABAD EDC-BIJNOR EDD-1 NAJIBABAD

146 PVVNL Nehtaur BIJNOR MORADABAD EDC BIJNOR EDD-DHAMPUR

147 PVVNL Sahabad HARDOI LUCKNOW EDC-HARDOI EDD-1 HARDOI

148 PVVNL Sambhal MORADABAD MORADABAD EDC 1 MORADABAD EDD-SAMBHAL

149 PVVNL Sardhana MEERUT MEERUT EDC MEERUT EDD-2 MEERUT

150 PVVNL Sherkot BIJNOR MORADABAD EDC BIJNOR EDD-DHAMPUR



151 PVVNL Amroha JYOTIBA PHULE NAGAR

MORADABAD EDC JP NAGAR EDD-AMROHA

152 PVVNL Baghpat BAGHPAT MEERUT EDC BAGHPAT EDD-BAGHPAT

153 PVVNL Bahjoi MORADABAD MORADABAD EDC 1 MORADABAD EDD-CHANDAUSI

154 PVVNL Bilaspur RAMPUR MORADABAD EDC RAMPUR EDD-2 RAMPUR

155 PVVNL Hasanpur JYOTIBA PHULE NAGAR

MORADABAD EDC JP NAGAR EDD-GAJRAULA

156 PVVNL Kiratpur BIJNOR MORADABAD EDC BIJNOR EDD-BIJNOR

157 PVVNL Modinagar GHAZIABAD GHAZIABAD EDC GHAZIABAD EDD-MODINAGAR

158 PVVNL Moradabad MORADABAD MORADABAD EUDC-MORADABAD EUDD-1 EUDD-2 MORADABAD

159 PVVNL Noida GAUTAMBUDDHANAGAR

NOIDA EUDC NOIDA EUDD-1NOIDA/EUDD-2NOIDA/EUDD-3NOIDA/EUDD-5 NOIDA/EDD-KHODA

160 PVVNL Pilkhuwa GHAZIABAD GHAZIABAD EDC GHAZIABAD EDD-PILKHUA

161 PVVNL Shamli MUZAFFARNAGAR SAHARANPUR EDC MUZAFFARNAGAR

EDD-1 SHAMLI/EDD-2 SHAMLI

162 PVVNL Tanda RAMPUR MORADABAD EDC RAMPUR EDD-2 RAMPUR

163 PVVNL ThanaBhawan

MUZAFFARNAGAR SAHARANPUR EDC MUZAFFARNAGAR

EDD-1 SHAMLI

164 PVVNL Bulandshahar BULANDSHAHR GHAZIABAD EDC 1 BULANDSHAHR

EDD-2 BULANDSHAHR

165 PVVNL Ghaziabad GHAZIABAD GHAZIABAD EUDC-1EUDC-2GHAZIABAD

EUDD-4 EUDD-5 EUDD-6 EUDD-7 GHAZIABAD

166 PVVNL Meerut MEERUT MEERUT EUDC-MEERUTEDC-MEERUT

EUDD-1EUDD-2EUDD-3EUDD-4MEERUTEDD-1EDD-2 EDD-3 MEERUT

167 PVVNL Muzaffarnagar

MUZAFFARNAGAR SAHARANPUR EUDC MUZAFFARNAGAR

EUDD-1 MUZAFFARNAGAR

168 PVVNL Rampur RAMPUR MORADABAD EDC RAMPUR EDD-1 RAMPUR

Annexure IV FRP (Next Page)


Financial Restructuring Plan – March 2013 1

`

Financial Restructuring Plan of the State Distribution Companies of Uttar Pradesh

UP Power Corporation Limited May 30, 2013

Revised



TABLE OF CONTENTS

LIST OF TABLES ........................................................................................... 4

1. EXECUTIVE SUMMARY .......................................................................... 10

2. BACKGROUND ..................................................................................... 17

2.1 FINANCIAL RESTRUCTURING IN 2000 AND UNBUNDLING OF UPSEB ..... 17

2.2 FINANCIAL RESTRUCTURING IN 2003 AND SUBSEQUENT FORMATION OF THE DISCOMS .................................................................................................. 18

2.3 ACTUAL VS. FRP ASSUMPTIONS ........................................................... 20

2.3.1 AVERAGE TARIFF INCREASES ....................................................... 20

2.3.2 POWER PURCHASE COST .............................................................. 21

2.3.3 REVENUE SUBSIDY ...................................................................... 22

2.4 CURRENT STATUS OF THE SECTOR ........................................................ 22

2.5 STEPS TAKEN BY GOVERNMENT OF INDIA ............................................ 23

2.5.1 SHUNGLU COMMITTEE ................................................................. 23

2.5.2 EXPERT GROUP ............................................................................ 25

2.5.3 APTEL’S DIRECTIVE TO SERCS FOR TIMELY TARIFF DETERMINATION26

3. SCHEME FOR FINANCIAL RESTRUCTURING OF DISCOMS ANNOUNCED BY GOVT OF INDIA .................................................................................................. 28

3.1 SALIENT FEATURES OF THE SCHEME .................................................... 28

3.2 BROAD CONTOURS OF THE SCHEME ...................................................... 28

3.2.1 DEFINITION OF SHORT TERM LIABILITIES .............................................. 30

3.2.2 QUANTUM OF LOANS TO BE RESTRUCTURED ............................................. 30

3.2.3 EFFECTIVE DATES FOR RESTRUCTURING ................................................. 30

3.2.4 IMPLEMENTATION OF RESTRUCTURING ................................................... 30

3.2.5 CENTRAL GOVERNMENT SUPPORT ......................................................... 30

3.3 MANDATORY CONDITIONS FOR IMPLEMENTATION OF THE SCHEME ..... 30

3.3.1 FINANCIAL RESTRUCTURING PLAN ....................................................... 30

3.3.2 TARIFF SETTING AND REVENUE REALIZATION ......................................... 31

3.3.3 SUBSIDY ........................................................................................ 31

3.3.4 METERING ...................................................................................... 31

3.3.5 AUDIT AND ACCOUNTS ...................................................................... 31

3.4 MONITORING MECHANISM .................................................................. 31

3.4.1 STATE LEVEL MONITORING COMMITTEE (SLMC) ..................................... 31

3.4.2 CENTRAL LEVEL MONITORING COMMITTEE (CLMC) .................................. 32

3.4.3 THIRD PARTY VERIFICATION .............................................................. 32



4. OPERATIONAL REVIEW OF UP DISCOMS ............................................... 35

4.1 DEMAND SUPPLY POSITION IN THE STATE ........................................... 35

4.2 TRANSMISSION, DISTRIBUTION AND COMMERCIAL LOSS TRAJECTORIES36

4.3 INSTALLED CAPACITIES & GENERATION PORTFOLIO ........................... 39

5. FINANCIAL REVIEW OF UP DISCOMS ................................................... 40

5.1 POWER PURCHASE COST ...................................................................... 40

5.2 GROWTH IN EXPENSES ........................................................................ 41

5.3 SUBSIDY SUPPORT DURING FY 2004-05 TO 2011-12 ............................ 42

5.4 TRENDS IN AVERAGE TARIFF AND AVERAGE COST OF SUPPLY .............. 43

5.5 ACCUMULATED LOSS ............................................................................ 44

6. INTERVENTION STRATEGY ................................................................... 45

7. BUSINESS PLAN OF DISCOMS .............................................................. 46

7.1 ENERGY SALES FORECAST .................................................................... 47

7.1.1 OVERVIEW ..................................................................................... 48

7.1.2 METHODOLOGY ................................................................................ 48

7.1.3 PROJECTIONS FOR INPUT ENERGY ........................................................ 50

7.2 ENERGY AVAILABILITY AND POWER PROCUREMENT PLAN ................... 53

7.3 ENERGY BALANCE ................................................................................ 62

7.4 INVESTMENT PLAN AND ITS FINANCING .............................................. 64

7.5 REGULATORY MEASURES AND TARIFF INCREASES ............................... 65

7.6 COLLECTION EFFICIENCY TRAJECTORY ................................................ 70

8. LOAN RESTRUCTURING SCHEME .......................................................... 71

8.1 IDENTIFICATION OF LOANS AND LIABILITIES FOR RESTRUCTURING ... 71

8.2 LOANS TO BE TAKEN OVER BY GOVERNMENT OF UTTAR PRADESH ......... 72

9. RECOMMENDATIONS ON FINANCING AND LOAN RECAST STRATEGY ..... 72

9.1 TRANSITIONAL LOANS REQUIRED ....................................................... 72

9.2 RECOMMENDATION ON RESTRUCTURING OF LOANS ............................. 73

10. SUMMARY OF PROJECTIONS ................................................................ 75

11. MONITORING OF THE BUSINESS PLAN ................................................. 78



LIST OF TABLES

Chart 1: Schematic of the Restructuring & Transitional Finance Scheme ................................. 11 Table 2: Outstanding Loans and Power Purchase Liabilities (> 60days) as on 31.03.12 .......... 12 Table 3: Short Term Liabilities to be restructured (Rs Crore) .................................................. 12 Table 4: Additional Working Capital Loans during the transition period .................................. 13 Table 5: Discom wise Subsidy Support from GoUP .................................................................. 15 Table 6: Significant Parameters - FRP 2000 Vs. Actuals .......................................................... 17 Chart 7: Savings from Actions Taken in FRP 2003 ................................................................... 18 Chart 8: Zone-wise Map of Distribution Companies ................................................................. 19 Table 9: Tariff Increase – FRP Vs. Actual ................................................................................ 20 Table 10: Uncovered Gaps in Tariff Orders Approved by State Regulator ................................ 20 Chart 11: Power Purchase Cost Per Unit Trend – FY 2004 to FY 2009 (Rs/kWh) ..................... 21 Chart 12: Revenue Subsidy – FRP Vs. Actual (Rs Crore) ......................................................... 22 Chart 13: Broad Contours of the Scheme ................................................................................ 29 Table 14: Demand Supply Position in Uttar Pradesh ............................................................... 35 Chart 15: Trend in Demand – Supply situation in terms of Energy (MU) .................................. 36 Chart 16: T&D Loss (%) of UP Discoms .................................................................................. 36 Chart 17: T&D Loss Approved by UPERC Vs Actuals ................................................................ 37 Table 18: Distribution Losses (%) of Discoms from FY 2004-05 to FY 2011-12 ....................... 37 Chart 19: Discom wise Collection Efficiency during FY 2004-05 to 2010-11 ............................ 38 Chart 20: AT&C losses during the FY 2004-05 to 2010-11 ...................................................... 38 Table 21: Installed Capacity (MW) of UP Discoms as on 31st March, 2012 ............................... 39 Chart 22: Installed Capacity by Ownership ............................................................................. 39 Chart 23: Installed Capacity by Ownership ............................................................................. 39 Table 24: Power Purchase Costs during FY 2004-05 to 2010-11 ............................................. 40 Chart 25: Power Purchase Price (Rs/kWh) Considered in ARR Vs Actuals at discom end ........ 41 Chart 26: Growth in the Expenses of the Discoms (FY 2004-05 to 2010-11) ........................... 42 Table 27: Subsidy Support during FY 2004-05 to 2011-12 (Rs Crore) ..................................... 42 Table 28: Trends in Average Tariff and ACS along with Cost Coverage Ratio ........................... 43 Table 29: History of Tariff Revisions ....................................................................................... 43 Table 30: Accumulated Losses of Distribution Companies (Rs Crore) ...................................... 44 Chart 31: The schematic diagram for Energy flow in state of UP ...................................................... 47 Table 32: Consumption Determinant ............................................................................................ 50 Table 33: Distribution Loss Trajectory .......................................................................................... 51 Table 34: Transmission Loss Trajectory .................................................................................. 51 Table 35: Category-wise Energy Sales forecast for Consolidated Discoms (MU) ...................... 52



Table 36: Existing Capacity as on 31st March 2012 available to UP Power System ................... 53 Table 37: Details of the Capacity Planned under Various Sectors ............................................ 54 Table 38: Year Wise Additional Capacity (MW) Available ........................................................ 55 Table 39: Power Procurement Plan for UP Discoms (MU) ........................................................ 55 Table 40: Energy Balance (MU) .............................................................................................. 62 Table 41: Distribution Investment Plan (Rs Crore) ................................................................. 65 Table 42: Average Tariff Increase Considered in the Plan ....................................................... 67 Table 43: Category wise Tariff over the Plan Period (Rs/kWh) ............................................... 68 Table 44: Cost Coverage (%) ................................................................................................. 69 Table 45: Collection Efficiency Targets ................................................................................... 70 Table 46: Outstanding Loans and Power Purchase Liabilities (> 60days) as on 31.03.12 ........ 71 Table 47: Short Term Liabilities to be restructured (Rs Crore) ................................................ 71 Table 48: Additional Working Capital Loans during the transition period ................................ 72 Table 49: Discom wise Subsidy Support from GoUP ................................................................ 73 Table 50: Additional Revenue Generated due to Measures Considered in FRP (Rs Crore) ........ 75 Table 51: Consolidated Discoms including UPPCL – Income Statement (Rs Crore) .................. 76 Table 52: Consolidated Discoms including UPPCL – Cash Flow Statement (Rs Crore) .............. 77 Table 53: Meerut Discom– Income Statement (Rs Crore) ....................................................... 79 Table 54: Meerut Discom– Balance Sheet (Rs Crore) .............................................................. 80 Table 55: Meerut Discom– Fund Flow Statement (Rs Crore) ................................................... 81 Table 56: Agra Discom– Income Statement (Rs Crore) ........................................................... 82 Table 57: Agra Discom– Balance Sheet (Rs Crore) .................................................................. 83 Table 58: Agra Discom– Fund Flow Statement (Rs Crore) ....................................................... 84 Table 59: Lucknow Discom– Income Statement (Rs Crore)..................................................... 85 Table 60: Lucknow Discom– Balance Sheet (Rs Crore) ........................................................... 86 Table 61: Lucknow Discom– Funds Flow Statement (Rs Crore) ............................................... 87 Table 62: Varanasi Discom– Income Statement (Rs Crore) ..................................................... 88 Table 63: Varanasi Discom– Balance Sheet (Rs Crore)............................................................ 89 Table 64: Varanasi Discom– Funds Flow Statement (Rs Crore) ............................................... 90 Table 65: KESCO Discom– Income Statement (Rs Crore) ........................................................ 91 Table 66: KESCO Discom– Balance Sheet (Rs Crore) ............................................................... 92 Table 67: KESCO Discom– Funds Flow Statement (Rs Crore) .................................................. 93 Table 68: UPPCL – Income Statement (Rs Crore) ................................................................... 94 Table 69: UPPCL – Balance Sheet (Rs Crore) .......................................................................... 95 Table 70: UPPCL – Funds Flow Statement (Rs Crore) .................... Error! Bookmark not defined. Table 71: Category-wise Energy Sales forecast for Meerut Discom (MU) ................................. 96 Table 72: Category-wise Energy Sales forecast for Agra Discom (MU) .................................... 97 Table 73: Category-wise Energy Sales forecast for Lucknow Discom (MU) .............................. 98



Table 74: Category-wise Energy Sales forecast for Varanasi Discom (MU) .............................. 99 Table 75: Category-wise Energy Sales forecast for KESCO Discom (MU) ............................... 100



ACRONYMS USED

Acronym Full Form

ABC Aerial Bunch Conductors

ACS Average Cost of Supply

APDRP Accelerated Power Development and Reform program

RAPDRP Restructured - Accelerated Power Development and Reform program

APTEL Appellate Tribunal for Electricity

ARR Annual Revenue Requirement

AT&C Aggregate Technical and Commercial

BPL Below Poverty Line

CAGR Compounded Annual Growth Rate

CCEA Cabinet Committee on Economic Affairs

CDM Clean Development Mechanism

CEA Central Electricity Authority

CERC Central Electricity Regulatory Commission

CFL Compact Fluorescent Lamp

CGS Central Generating Station

CLMC Central Level Monitoring Committee

Cogen Cogeneration

CPSUs Central Public Sector Units

CWIP Capital Works in Progress

Discoms Distribution Companies

DFS Department of Financial Services

DMS Data Management System

DSM Demand Side Management

DOE Department of Expenditure

DVVNL Dakshinanchal Vidyut Vitran Nigam Limited

ER Eastern Region

ERC Act Electricity Regulatory Commissions Act

ETC Etcetera

FPPCA Fuel and Power Purchase Cost Adjustment

FRP Financial Restructuring Plan

FY Financial Year

GPF General Provident Fund

GIS Geographical Information System

GoI Government of India

GoUP Government of Uttar Pradesh

Govt Government

HVDS High Voltage Distribution System

IEX Indian Energy Exchange



Acronym Full Form

IPP Independent Power Producers

IT Information Technology

JS & FA Joint Secretary and Financial Advisor

KESA Kanpur Electricity Supply Authority

KESCO Kanpur Electricity Supply Company Limited

KPI Key Performance Indicators

kV Kilo Voltage

kW Kilowatt

kWh Kilowatt hour

LESA Lucknow Electricity Supply Authority

LGBR Load Generation Balance Report

LIC Life Insurance Corporation of India

LT Low Tension

MIS Management Information System

MU Million Unit

MVVNL Madhyanchal Vidyut Vitran Nigam Limited

MW Mega watt

MYT Multi Year Tariff

NAPP Narora Atomic Power Plant

NHPC National Hydro Power Corporation

NPCIL Nuclear Power Corporation of India Limited

NTPC National Thermal Power Corporation

p.a. Per annum

p/u Paisa Per Unit

PEX Power System Exchange

PFC Power Finance Corporation

PGCIL Power Grid Corporation of India Limited

PLF Plan Load Factor

PTC Power Trading Corporation India Limited

PTW Private Tube Wells

PuVVNL Purvanchal Vidyut Vitran Nigam Limited

PVT Private

PVVNL Paschimanchal Vidyut Vitran Nigam Limited

RA Regulatory Asset

R&M Renovation & Modernization

RAPP Rajasthan Atomic Power Plant

RBI Reserve Bank of India

RE Rural Electrification

REC Rural Electrification Corporation

RES Renewable Energy Source



Acronym Full Form

RoE Return on Equity

Rs. Rupees

SCADA Supervisory Control and Data Acquisition

SEB State Electricity Boards

SERC State Electricity Regulatory Commission

SGS State Generating Stations

SLDC State Load Dispatch Centre

SLMC State Level Monitoring Committee

T&D Transmission and Distribution

TPV Third Party Verfication

UI Unscheduled Interchange

UMPP Ultra Mega Power Project

UP Uttar Pradesh

UPERA Uttar Pradesh Electricity Reform Act

UPERC Uttar Pradesh Electricity Regulatory Commission

UPJVNL Uttar Pradesh Jal Vidyut Nigam Limited

UPPCL Uttar Pradesh Power Corporation Limited

UPPTCL UP Power Transmission Corporation Limited

UPRVUNL Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited

UPSEB Uttar Pradesh State Electricity Board

VC Variable Cost

w.e.f. With Effect From



1. EXECUTIVE SUMMARY

The reforms initiated in the state of Uttar Pradesh has actually not fructified into improved financial performance of the utilities, which was the primary objective of the reforms. The actual effort of reforms remained largely confined within the structural changes and unbundling of UPSEB. The current financial condition of the Discoms is precarious. The cost coverage ratio of distribution companies in UP has deteriorated from 76% in FY 2003-04 to 64% in FY 2010-11. Some symptomatic indicators of financial distress of the Discoms are as follows:

a) the working capital debt liability have burgeoned to Rs. 17,737 crore as on 31st March 2012

b) the outstanding power purchase dues are to the tune of Rs. 19,324.31 crore as on 31st March 2012

c) the losses after factoring in GoUP’s support, in FY 2010-11, is as high as Rs. 3,921 crore

d) the two main reasons for the deterioration of Cost Coverage Ratio are that there has been very little increase in the retail tariffs for the years FY 2006 to FY 2010; and secondly, the power purchase cost (at discom end) has increased from Rs. 1.72 per unit in FY 2003-04 to as high as Rs. 3.65 per unit in FY 2011-12.

UP Discoms and several other state owned distribution companies in India are continuously making losses leading to massive accumulated loss and debt. The main reason for the losses is inadequate revision in tariff and insufficient subsidy quantum being paid by the state governments.

The overall accumulated book losses of the Discoms till March 31, 2011 are estimated at Rs. 1.90 trillion; 70% of these losses are estimated to be contributed by Discoms in six States, namely, Rajasthan, Tamil Nadu, Uttar Pradesh, Haryana, Punjab and Madhya Pradesh. The Banking sector’s short term exposure to Discoms is quite substantial, is estimated at Rs. 1.5 – 1.7 trillion as on March 2012, which is 3-3.6% of Banking credit and 45-52% of total power credit. A large part of these loans were taken to fund the cash losses of the Discoms. These losses, as is well known, have been contributed by several factors, the most important of them being inadequate tariff hikes, inadequate subsidy and large AT&C losses. So long as loans from Banks were freely available to fund the losses, there was limited pressure on the State Government/Distribution entities to go in for more difficult decisions like tariff hikes. Finally in FY 2012, reluctance of the Banking sector to fund these losses led to tightening in liquidity of distribution entities, which in turn started stretching payments to their creditors (power generating companies, transmission companies, fuel suppliers, capital equipment suppliers, power trading companies etc.) and delaying to some of the Lenders.

Keeping in view the deteriorating financial health of the state owned distribution companies, the Government of India has formulated and approved a ‘Scheme for Financial Restructuring of State Owned Distribution Companies’ on October 5, 2012. The scheme is aimed to enable the turnaround of the State Discoms and ensuring their long term viability. The scheme envisages that state governments take over 50% of the outstanding short term liabilities of the state owned distribution companies in the state. Rest of the short term liabilities shall be restructured with guarantee from state government to enable the turnaround of the State Discoms and to ensure their long term viability. Additional support shall be provided from central government in the form of principal reimbursement and interest subsidy.



The state owned distribution companies in consultation with the state government has conveyed the Discoms and State Government’s willingness to participate in the scheme of Financial Restructuring of distribution companies formulated by Central Govt on 29th January 2013.

The salient features of the scheme have been depicted in the Schematic below:

Chart 1: Schematic of the Restructuring & Transitional Finance Scheme

Accordingly, the state owned Discoms have prepared a Financial Restructuring Plan in agreement with the stipulations of the Scheme and the following strategy has been proposed:

DISCOMS

BANKS STATE GOVT.

GoI INITIATIVE- TRANSITIONAL FINANCE MECHANISM

Reward for reducing AT&C

losses

Earlier STL takeover and repayment

Operational losses and interest

• Grant = Additional energy saved by reducing AT&C losses beyond proposed R-APDRP limits.

• Only if (ARR-ACS) decline by 25%v/s FY 11 figures

• Capital reimbursement =25% of principal replacement by State Govt.

• Only if State Govt.takes over entire 50% STL

• Valid for first 3 years on a diminishing scale • Separate arrangement with DFS, MoP and States • Remaining loses to be funded by state Govt.

Guarantee of Principal & Interest



i. The total outstanding liabilities towards power purchase dues (more than 60 days) and short term working capital loans as on 31st March 2012 are as per the table below:

Table 2: Outstanding Loans and Power Purchase Liabilities (> 60days) as on 31.03.12

Particulars Outstandings (Rs Crore) Short Term Working Capital Loans from Banks 16,126.56 Short Term Working Capital Loans from REC 1,610.44 Power purchase Dues (more than 60 days) 15,554.00 Total 33,291.00

Under the current scheme formulated in this plan, the short term working capital loans from REC are not being restructured.

ii. The total eligible amount for restructuring under the GoI scheme is furnished below based on the information certified by the Discoms:

Table 3: Short Term Liabilities to be restructured (Rs Crore)

Particulars Eligible liabilities as per Discoms

Short Term Loans 16,126.56 Power purchase liability beyond 60 days 15,554.00 Total 31,680.56

As per the scheme formulated by the GoI, 50% of the loan liabilities and outstanding power purchase liabilities as on 31st March, 2012 subject to a ceiling of accumulated losses have to be taken over by the State Government (GoUP). The loans and accumulated liabilities are totalling to Rs. 31,680.56 crore, whereas the accumulated losses are to the tune of Rs. 33,600 crore. Therefore, 50% of these accumulated short term liabilities i.e., Rs. 15,840 crore are eligible to be taken over by the GoUP.

iii. The balance ‘short term liabilities’ in respect of power purchase dues of more than 60 days would have to be paid off by the distribution companies. In this respect, funding requirement of Rs. 15,554 crore would be taken from banks/financial institutions and from GoUP Support for payments of outstanding power purchase, fuel and other bills.

iv. Note that for financing the operational losses and interest by the Banks / Financial Institutions on a diminishing scale, a separate arrangement would be worked out after due consultation to be held by Secretary to Government of India, Department of Financial Services with representatives of the Ministry of Power and concerned States and accept to finance the remaining portion of the operating losses. Till the years the discoms achieve operational turnaround, total operational working capital assistance in the form of new loans to the extent of Rs 26,823 crore has been estimated during the period FY 2012-13 to FY 2015-16. A part of these loans have already been taken by the Discoms in FY 2012-13 to the tune of Rs. 8,560 crore. The breakup of this requirement is as follows:



Table 4: Additional Working Capital Loans during the transition period

Particulars 2012-13 2013-14 2014-15 2015-16 Total Additional Working Capital Loans to fund the operational gaps

9899 7042 6123 3759 26,823

v. Therefore the total additional loan requirement sums up to Rs. 18,263 crore after netting off the loans already borrowed to the tune of Rs. 8,560 crore.

vi. The moratorium period for the working capital loans borrowed w.e.f 01.04.2012 will be 3 years and would subsequently be repaid over 7 years.

vii. The moratorium period for the loan borrowed for the payment of power purchase liabilities will be 3 years and would subsequently be repaid over 7 years.

viii. Interest rate for the restructured loans should be negotiated to reflect the appropriate interest rate for a government backed loan. For the purpose of the financial projections in FRP, a higher interest rate is assumed for the restructured loans. However interest rate for additional borrowings beyond Base Rate + 1.5% or maximum of 12% (linked with Base Rate) is not sustainable.

ix. GoUP would commit to underwrite the shortfall as equity or interest free loan on annual basis if annual projects in Financial Restructuring Plan is not achieved and provide the shortfall annually.

x. All the Discoms to bring down the Distribution losses in plan period, so that the aggregate Distribution losses by FY 2024 are 9.62%, down from the present 27.76%. Similarly, the Collection Efficiency would be increased to reach 100% by the end of FY 2018-19, up from the current level of 81.80%.

xi. Attain Revenue Surplus by FY 2016-17 and Cash Surplus by FY 2017-18.

xii. Filing of Annual Revenue Requirement and Tariff Petition for all Discoms every year in a timely manner so that the revised tariffs are implemented from 1st April of every year. Rationalisation across consumer categories has been proposed over the Plan Period to improve the cost coverage through tariff or subsidy from the State Govt.

xiii. Fuel and Power Purchase Cost Adjustment would be claimed with effect from 1st January 2013 as per the orders of the State Commission in FY 2012-13 tariff order dated 19th October 2012.

xiv. UPERC to approve an annual average tariff increase, varying from year to year, between around 7% to 10% during the term of the FRP

xv. Monitoring of key performance indicators considered in the plan on a concurrent basis

i. As stipulated by Government of India in the scheme of restructuring of loans for State Discoms, the following arrangement is required:

a) Conversion of short-term loans from different banks/ financial institutions into long- term loans.

b) Conversion of multiple banking arrangements to consortium banking arrangement

c) Discoms to issue bonds with GoUP guarantee to the extent of Rs. 15,840 crore.

d) Government of Uttar Pradesh to take over bonds issued by the Discoms during the next 4 years in equal instalments starting from FY 2014-15.

ii. The following support from Government of Uttar Pradesh should be requested:



a) Equity support of Rs. 51,388 crore during the period FY 2012-13 to FY 2023-24 towards capital expenditure in the distribution companies.

b) Subsidy support of Rs. 47,446 crore during the period FY 2012-13 to FY 2023-24 as per the Table below:



Table 5: Discom wise Subsidy Support from GoUP

Discom FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

Meerut 1,054 1,320 1,335 1,452 1,579 2,114 2,242 1,345 448 320 320 228 228

Agra 688 834 848 924 1,006 1,352 1,435 855 275 192 192 132 132

Lucknow 741 937 944 1,028 1,120 1,508 1,601 951 301 208 208 141 141

Varanasi 1,365 1,784 1,834 2,013 2,208 3,027 3,223 1,850 476 280 280 139 139

Kesco - - - - - - - - - - - - -

UPPCL 443 - - - - - - - - - - - -

Total 4,291 4,875 4,961 5,417 5,913 8,000 8,500 5,000 1,500 1,000 1,000 640 640

The subsidy would be provided directly to each Discom. The overall subsidy is allocated to each Discom on the basis of their proportionate share of connected load of Rural Domestic and Private Tubewells (Agriculture) consumers.

c) The release of subsidy would be based on feeder/distribution transformer meter data.

d) 100% retention of Electricity Duty and other statutory charges allowed to Discoms.

e) Conversion of principal loan of Rs. 522 crore into equity during FY 2013-14. Balance part representing accumulated interest of Rs. 1198 crore will be converted into equity or written off during FY 2013-14.

f) GoUP to ensure regular payment of electricity dues from Government Department and Corporations.

g) Guarantee or letter of comfort for the portion of loan being supported by cash flows of the company.

h) Full administrative support to be provided to Discoms to prevent theft of electricity.

iii. The Discoms would initiate the regulatory process to request UPERC for either “removal of difficulties” or “amendment of regulations” to ensure that the following critical issues are addressed:

a) GoUP has sent his consent to the Ministry of Power for accepting of the FRP

b) UPERC has given its approval to the FRP

c) Request to allow the Return on equity at the rate approved in tariff regulations.



iv. Since GoI framework requires strict adherence to the FRP, the Discoms should ensure fiscal discipline and operational performance by the following steps:

a) Tight control of finances, computerization of financial control by implementing an ERP system is recommended.

b) Optimal power procurement by proper planning.

c) Periodic update of power procurement plan. The power procurement plan should be reviewed at updated periodically. If any of the planned capacities are expected to be delayed, the Discoms should take necessary action to identify alternate capacities. For example, if any of the State’s own generation projects are getting delayed due to reasons such as environmental clearances; long term procurement bids may be initiated.

d) Assess baseline level of losses based on a scientific study as directed by GoI framework and by UPERC.

e) Establish an effective energy audit mechanism

f) Develop loss reduction strategy focusing on high loss areas identified by energy audit mechanism

The turnaround of the Discoms is possible over the Plan period, with significant contributions from all the stakeholders, viz. the Discoms themselves (management & employees), GoUP (as the shareholder of the electricity sector in UP, and in providing cash support to the Discoms as envisaged), the consumers (to bear the tariff hikes as necessary under the plan), the Regulator (in approving the tariff proposals as may be submitted by the Discoms in accordance with this Plan) and most importantly the bankers and lenders of the Discoms (by supporting the financial restructuring and turnaround plan).



2. BACKGROUND

Uttar Pradesh was one of the first states to embark upon a comprehensive programme of economic and structural reforms in the power sector. GoUP had demonstrated its willingness to take difficult decisions and implement power sector reform through a number of actions:

i. a regulatory commission was established in September 1998;

ii. in January 1999, GoUP issued a power sector policy statement with the objective of providing cost efficient and good quality supply and to make the energy sector self-sufficient;

iii. the UP Electricity Reform Bill was enacted by GoUP in July 1999; and

iv. in January 2000, the UP State Electricity Board (UPSEB) was functionally separated into three companies: a thermal generation company (UP Rajya Vidyut Utpadan Nigam Limited or UPRVUNL), a hydropower company (UP Jal Vidyut Nigam Limited or UPJVNL), and a single company combining the transmission and distribution systems (UP Power Corporation Limited, or UPPCL).

2.1 FINANCIAL RESTRUCTURING IN 2000 AND UNBUNDLING OF UPSEB

The first Financial Restructuring was undertaken in FY 2000 along with the unbundling of UPSEB. It constituted of the following key measures:

• Cross-debt adjustments of Rs 20,000 crore by GoUP.

• Retention of Pension liabilities of over Rs 6,000 crore by GoUP.

• Committing the utility on an efficiency improvement path along with tariff adjustments that would turn around the sector in 5 years.

In practice, efficiency improvements were below targets set in the FRP, actual subsidy payments by GoUP were lower than envisaged under the FRP and tariff adjustments were inadequate. Further, power purchase costs in particular were above projected costs in the FRP. These factors combined resulted in significant cash gaps in the FY 2001 and FY 2002, which resulted in large defaults to Central Generating Stations. Recurring defaults to Central Generating Stations resulted in accumulation of payables worth about Rs.6,000 crore excluding 60% waiver of surcharge by September 2003.

Table 6: Significant Parameters - FRP 2000 Vs. Actuals

Particulars FY01 FY02 FRP 2000 Actual FRP 2000 Actual

Average Tariff Increase (%) 4% 3% 3% 4% T& D Loss (%) 42.28% 38.19% 36.96% 36.99% Collection Efficiency (%) 79% 76% 83% 85% AT&C (%) 54.40% 53.18% 47.90% 46.19% Government Subsidy Support (Rs.Crore) 2,400 240 9,619 862



2.2 FINANCIAL RESTRUCTURING IN 2003 AND SUBSEQUENT FORMATION OF THE DISCOMS

A second Financial Restructuring Plan was approved by the GoUP along with the unbundling of Uttar Pradesh Power Corporation Limited into a Transmission and trading company and 4 Distribution companies. The Financial Restructuring Plan again committed the utilities to an efficiency improvement path and projected certain tariff increases so as to wipe out the cash gap and among other measures involved the following:

• Assumption by GoUP of the securitised power purchase dues of CGSs amounting to about Rs.6,000 crore, as per the Expert Group recommendation.

• Write-off of Rs.1,340 crore of GoUP loans to UPPCL against past dues.

• Retention by GoUP of the GPF liabilities of the employees amounting to Rs.1,337 crore.

• Reschedulement of REC loans worth Rs.1,400 crore at IRR of about 8% and move by GoUP to reschedule LIC loans worth Rs.1,780 crore.

• UPPCL approached the CERC for fixation of tariff for procurement of energy from the Tanda plant. The CERC passed its order on this matter on 26 June 2002 whence the Tanda tariff reduced from about Rs 3.63 per unit in FY02 to Rs 2.23 per unit in FY03.

The savings in cost due to the above measures are significant as illustrated in the figure below:

Chart 7: Savings from Actions Taken in FRP 2003

Further distribution business of UPPCL was transferred to the following 4 distribution companies by a Transfer Scheme notified by the GoUP:

Savings from Actions Taken

-500

-

500

1,000

1,500

2,000

2,500

3,000

Year

Rs

cr

CERC order on Tanda Tariffs 404 398 443 447 449 451 453

Reschedulement of REC loans of UPPCL 239 154 136 118 101 55 -48

Write off of GoUP loans against receivables fromGoUP

188 188 188 188 188 188 188

Acceptance of GoI Expert Group recommendationsby GoUP

137 243 274 396 821 1,087 1,035

GoUP retention of Employee Pension & GratuityLiabilities

304 362 428 482 661 738 783

FY03 FY04 FY05 FY06 FY07 FY08 FY09



i. Paschimanchal Vidyut Vitran Nigam Limited (‘PVVNL’ or the ‘Meerut Discom’) covering the Meerut, (including Noida Circle), Ghaziabad, Moradabad and Saharanpur Distribution Zones.

ii. Dakshinanchal Vidyut Vitran Nigam Limited (‘DVVNL’ or the ‘Agra Discom’) covering the Agra, Aligarh, Banda, Jhansi and Kanpur Distribution Zones.

iii. Madhyanchal Vidyut Vitran Nigam Limited (‘MVVNL’ or the ‘Lucknow Discom’) covering the Lucknow, Bareilly, Faizabad and LESA Distribution Zones

iv. Purvanchal Vidyut Vitran Nigam Limited (‘PuVVNL’ or the ‘Varanasi Discom’) covering the Varanasi, Allahabad, Gorakhpur and Azamgarh Distribution Zones.

KESCO Discom was formed in January 2000 and has been the Discom for KESA (Kanpur) area.

Chart 8: Zone-wise Map of Distribution Companies

All the distribution and supply assets of the respective zones were transferred in the name of the respective distribution companies. Primarily responsibility of UPPCL remained as State Transmission Utility and the procurement of power.

The GoUP further created a new company in 2006 under the provisions of Companies Act, 1956 by the name of Uttar Pradesh Power Transmission Corporation Limited (UPPTCL) with an objective of handling the transmission function of the State of Uttar Pradesh. The responsibility of transmission has been now vested with UPPTCL and the transmission assets and liabilities of UPPCL have been transferred to UPPTCL through a Government notified Transfer Scheme on 23rd December 2010. By creation of UPPTCL, the business objective of the UPPCL has been changed to trading (bulk power supplier) of electricity.

MEERUT DISCOM AGRA DISCOM LUCKNOW DISCOM

VARANASI DISCOM LUCKNOW DISCOM



One important aspect of the structure of the unbundled and newly created organisations is that UPPCL remains the holding company for all the organisations viz. Dakshinanchal Vidyut Vitran Nigam Limited (DVVNL), Madhyanchal Vidyut Vitran Nigam Limited (MVVNL), Pashchimanchal Vidyut Vitran Nigam Limited (PVVNL) and Poorvanchal Vidyut Vitran Nigam Limited (PuVVNL) and KESCO.

2.3 ACTUAL VS. FRP ASSUMPTIONS!

The significant changes in the business drivers and deviations from the assumptions made in the FRP necessitate a comparison of the actual performance of the UP Discoms at an aggregate level, in last six years, vis-a-vis that envisaged in the last comprehensive Financial Restructuring Plan prepared in 2003.

2.3.1 AVERAGE TARIFF INCREASES

For projecting the tariff increases, the FRP assumed full cost coverage of the average cost of supply (by the end of projection period FY 2009) for all consumer categories other than Domestic Unmetered and PTW. No increase in commercial and industrial tariffs was assumed for the projection period. The table below contrasts the actual tariff increases during the period versus those assumed in the FRP:

Table 9: Tariff Increase – FRP Vs. Actual

Tariff Increases FY 03 FY 04 FY 05 FY 06 FY 07 FY 08 FY 09

FRP 7.00% 7.00% 6.00% 6.00% 6.00% 5.00% 3.00%

Actuals 7.00% 1.70% 6.40% - - 0.80% 13.92%

As is evident from the above figure, FY 2006 to FY 2008 has seen virtually no average tariff increase. In FY 2004, the actual tariff increase was lower than that envisaged in the FRP (1.70% Vs. 7% assumed in the FRP), while in FY 2005 the actual tariff increase was only marginally higher than that assumed in the FRP (6.40% Vs. 6% envisaged in FRP). Only in FY 2009, the actual tariff increase was higher than that envisaged in FRP (13.92% Vs. 3% envisaged in FRP), however it was insignificant to cover up for the tariff deficits of earlier years.

More than the percentage difference in the average tariff increases envisaged in the FRP Vs. actually allowed to UP Discoms, it is critical to analyse the quantum of disallowance in financial terms. The State Regulator left a cumulative uncovered gap of Rs. 14,805 crore in the tariff orders approved from FY 2003 to FY 2010 as per the table depicted below:

Table 10: Uncovered Gaps in Tariff Orders Approved by State Regulator (Figures in Rs Crore)

Rs Crore FY 03 FY 04 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 ARR filed for Discoms

9119 8902 10437 NA 12966 16900 18183 21999

ARR Considered 8605 8502 8565 NA 11916 16240 17535 17790 Revenue Projection on Approved Tariff

7652 7517 7077 NA 9992 11424 15057 15703

Gap 1467 1385 3360 NA 2974 5476 3126 6296 Subsidy 826 657 997 1347 1547 1855 1581 1816 Net Gap 641 728 2363 NA 1427 3621 1545 4480



The uncovered gap in tariffs is one of the main reasons for the precarious financial condition of the distribution companies.

2.3.2 POWER PURCHASE COST

One of the factors where there is a huge difference between FRP projections and actual is the power purchase cost per unit, the trend of which has been depicted in the table below:

Chart 11: Power Purchase Cost Per Unit Trend – FY 2004 to FY 2009 (Rs/kWh)

The figure above shows the sharp increase in per unit power purchase cost which has increased by close to 61% over the six year period, as compared to a 20% increase that was envisaged in the FRP.

The UP Discoms were not allowed the pass-thru of fuel and cost escalation through the Power Purchased Cost Adjustment formula1 by the State Regulator as a result of which there were significant under-recoveries on account of power purchase cost.

1 In a significant development, the Appellate Tribunal for Electricity (APTEL) in its Judgment dated 11-11-2011 in suo-moto proceedings consequent to a letter received from Ministry of Power has directed every State Regulator to ensure that a mechanism for Fuel and Power Purchase cost adjustment is provided to distribution companies within a period of 6 months from the date of its judgment. Accordingly, the UPERC has approved the Fuel and Power Purchase Cost Adjustment (FPPCA) formula in May 2012. Subsequently in the FY 2012-13 tariff order issued on 19th October 2012, the State Commission has allowed the recovery of FPPCA from the quarter of January to March 2013.

1.64 1.631.73

1.86 1.931.971.72

2.052.20 2.25

2.382.76

1

1.5

2

2.5

3

FY 04 FY 05 FY 06 FY 07 FY 08 FY 09

FRP Actual



2.3.3 REVENUE SUBSIDY

The deteriorating coverage ratios due to factors discussed above also point to an increased reliance on subsidies to meet the operating cash of Discoms. Due to these factors, the revenue support by GoUP and GoUP support in paying short term loan has been more than that envisaged in the FRP. A comparison to this effect is depicted in the figure below:

Chart 12: Revenue Subsidy – FRP Vs. Actual (Rs Crore)

Although the subsidy has been increased by GoUP, but the additional support remained insufficient to cover the gaps due to increase in power purchase cost and inadequate tariff hike. The UPPCL and Discoms resorted to short term borrowings to meet the cash gap.

2.4 CURRENT STATUS OF THE SECTOR!

The reforms initiated in the state of Uttar Pradesh has actually not fructified into improved financial performance of the utilities, which was the primary objective of the reforms. The actual effort of reforms remained largely confined within the structural changes and unbundling of UPSEB. The current financial condition of the Discoms is precarious. The cost coverage ratio of distribution companies in UP has deteriorated from 76% in FY 2003-04 to 64% in FY 2010-11. Some symptomatic indicators of financial distress of the Discoms are as follows:

e) the working capital debt liability have burgeoned to Rs. 17,737 crore as on 31st March 2012

f) the losses after factoring in GoUP’s support, in FY 2010-11, is as high as Rs. 3,921 crore

g) the two main reasons for the deterioration of Cost Coverage Ratio are that there has been very little increase in the retail tariffs for the years FY 2006 to FY 2010; and secondly, the

1,007 1,056 1,059935

`

366

1,029 1,0561,288

1,5271,822

1,532

281

1,2161,103

0200400600800

1,0001,2001,4001,6001,8002,000

FY 04 FY 05 FY 06 FY 07 FY 08 FY 09

Revenue Subsidy ‐ FRP Revenue Subsidy ‐ Actual Subsidy paid by GoUP to repay loan



power purchase cost (at discom end) has increased from Rs. 1.72 per unit in FY 2003-04 to as high as Rs. 3.20 per unit in FY 2010-11 and to Rs. 3.65 per unit in FY 2011-12.

UP Discoms and several other state owned distribution companies in India are continuously making losses leading to massive accumulated loss and debt. The main reason for the losses is inadequate revision in tariff and insufficient subsidy quantum being paid by the state governments.

The overall accumulated book losses of the Discoms till March 31, 2011 are estimated at Rs. 1.90 trillion; 70% of these losses are estimated to be contributed by Discoms in six States, namely, Rajasthan, Tamil Nadu, Uttar Pradesh, Haryana, Punjab and Madhya Pradesh. The Banking sector’s short term exposure to Discoms is quite substantial, is estimated at Rs. 1.5 – 1.7 trillion as on March 2012, which is 3-3.6% of Banking credit and 45-52% of total power credit. A large part of these loans were taken to fund the cash losses of the Discoms. These losses, as is well known, have been contributed by several factors, the most important of them being inadequate tariff hikes, inadequate subsidy and large AT&C losses. So long as loans from Banks were freely available to fund the losses, there was limited pressure on the State Government/Distribution entities to go in for more difficult decisions like tariff hikes. Finally in FY 2012, reluctance of the Banking sector to fund these losses led to tightening in liquidity of distribution entities, which in turn started stretching payments to their creditors (power generating companies, transmission companies, fuel suppliers, capital equipment suppliers, power trading companies etc.) and delaying to some of the Lenders.

2.5 STEPS TAKEN BY GOVERNMENT OF INDIA!

Electricity is the engine of growth for any economy and is critical for achieving the national objectives in terms of industrial growth and improving standards of life and overall social welfare. There has been an increasing focus on the reforms in distribution sector which provides the crucial last mile connectivity in the electricity sector. The Government of India, identifying this problem has constituted two high level committees to study the financial health of the distribution companies and suggest remedial measures.

Brief Objectives and key findings of these Committees are provided below:

2.5.1 SHUNGLU COMMITTEE!

The Planning Commission had appointed a High Level Panel headed by Shri V.K. Shunglu, former Comptroller & Auditor General in July, 2010 to look into the financial problems of State Electricity Boards and to identify corrective steps. The terms of reference of this Committee included reviewing the accounts of State Electricity Boards and State Distribution Companies as on March, 2010 and to project their losses by 2017, reviewing the electricity tariff and also examining the role of the State Governments, Electricity Regulatory Commissions and Distribution Companies, assessing system improvement measures accomplished in distribution of power etc. and finally, to recommend a plan of action to achieve financial viability in distribution of power by 2017.

The report was submitted by the Committee on 15th December 2011. Box 1 gives the key recommendations of the Shunglu Committee.



Box 1: Key Recommendations of the Shunglu Committee

• SPV to be set up as a corporate entity (76% held by the RBI and the balance by PFC and REC), which will be entitled to purchase loans (which are likely to be restructured) of the banks, subject to certain conditions.

o These conditions include a) banks to negotiate with the state government/utility for the revised payment schedule and b) state government to agree upon regular tariff increase, operational plan to meet certain technical/ operational performance parameters and implementation of capital expenditure for system improvement as a first priority.

o RBI would provide a line of credit to SPV for purchase of loans from the banks. In case of non-compliance of terms set by SPV, the state government undertaking should be available to RBI that the amount defaulted would be debited to the State Government’s account with the RBI. Thus, intentional default or non-adherence to the action plan would be unlikely.

• Recommendations on the process of tariff determination are reiterated as per the directives of ATE’s judgement

• In addition to the basic tariff (which is fixed taking into account the targeted loss levels by SERCs), a loss surcharge should also be levied, which can vary area-wise within the license area so as to bring consumer awareness and improve the accountability of the utility’s staff.

• Selection committee for SERC should be broad-based so as to make the selection process fair, objective and independent. Also, a person who has worked during the preceding five years with the state government or any of its undertaking should not be eligible for appointment as a member or chairman of the commission in the same state. Committee1 to be appointed for oversight of the functioning as well as periodic evaluation of the performance by the SERCs, with the main objective to ensure the accountability of the regulators.

• Distribution Franchisee Model would be the way forward on an urgent basis for the utilities to bring down their distribution loss levels significantly, given the advantages over the public-private partnership model and successful implementation of the franchisee model for the Bhiwandi Circle in Maharashtra. This should be extended to the states during the next few years to at least 255 towns, which account for over 40% of the consumption.

• R-APDRP scheme is a key step taken by the Central Government to reduce distribution losses; and should be extended to the next Plan period with applicability to all towns above a population of 30,000 based on Census 2011.

• Utilities need to have a core team of IT experts in-house to work with IT consultants appointed under R-APDRP; also, there is a need for skilled professionals in the human resource development and Finance departments.

The implementation of the recommendations of the Shunglu Committee could be particularly challenging, given that several stakeholders such as discoms, state governments and regulatory entities (SERCs) need to be involved. Further, the Shunglu Committee has recommended that banks could sell loans under stress to a new SPV, which is proposed to be 76% held by RBI. However, there is no clarity on RBI’s view on the same.



2.5.2 EXPERT GROUP

Another High Level Committee was constituted as the ‘Expert Group’ under the Chairmanship of Shri B.K. Chaturvedi, Member (Energy), Planning Commission to look into the issues surrounding the financial position of distribution companies in India and to suggest a strategy for the recovery plan of the distribution companies.

The members of the Expert Group which has been constituted are as follows:

(1) Shri. B.K. Chaturvedi, Member (Energy), Planning Commission Chairperson

(2) Secretary, Economic Affairs, Ministry of Finance Member

(3) Secretary, Financial Resources, Ministry of Finance Member

(4) Secretary, Ministry of Power Member

(5) Deputy Governor, Reserve Bank of India Member

(6) Chairman, State Bank of India Member

(7) Chief Secretaries of Uttar Pradesh, Rajasthan and Tamil Nadu Member

(8) JS & FA, Ministry of Power Secretary-Convenor

The terms of reference of this Committee is to make an assessment of the cumulative losses of the Distribution Utilities of the ‘Focus States’ namely Uttar Pradesh, Rajasthan, Andhra Pradesh, Haryana, Madhya Pradesh, Punjab and Tamil Nadu, suggest a strategy for capital restructuring of these distribution companies including capital restructuring of loans and other measures which will include commitment by other stakeholders including State Governments and utilities to make the distribution companies financially viable on a long term basis and to suggest a roadmap and monitoring mechanism for implementation of the above restructuring and turnaround programme

The Expert Group had advised the Focus States to prepare a restructuring and turnaround programme for its distribution companies in consultation with the banks and financial institutions that have a major exposure in the distribution companies.

Considering the above, the distribution companies of Uttar Pradesh had prepared a recovery plan in consultation with all the banks which have an exposure with the distribution companies. The plan has been prepared by an independent consulting firm namely ‘Percept 360 Consulting Limited’ and the technical validation of the plan has been conducted by PNB Investment Services Ltd.

The Expert Group held its first meeting on 01.12.2011 during which it decided to constitute a Sub Group under the chairmanship of Sh. Ashok Lavasa, Additional Secretary, Ministry of Power to consider the financial restructuring plans (FRP) submitted by the Focus States and make recommendations regarding the way forward keeping in view the terms of reference of the Expert Group.

The Sub Group held a series of meetings wherein the presentations/FRPs/losses of respective state utilities of Focus States were discussed. Out of the 7 Focus States, only Rajasthan, Uttar Pradesh and Haryana provided detailed FRPs, which were reviewed and deliberated upon by the Sub-Group assisted by the Sub-Committee to estimate the accumulated losses to chart out a road map for improving the financial health of the Discoms. The Sub Group found that the losses are mainly due to irregular revision of tariff, high cost of power purchase and regulator not



allowing the passing on of the interest on loans to consumers, high T & D losses, lower collection efficiency, etc. The situation was aggregated by the continued flow of funds to the Discoms from the lenders.

The Sub Group felt that a pragmatic middle path was needed to be adopted wherein the respective state governments would partly contribute towards the turnaround. Being the owners of the Discoms and being responsible for oversight over the Discoms, the State Govts have a direct responsibility in ensuring that the Discoms are nursed back to health. The Sub Group recommended a detailed Restructuring Plan which was later adopted by the Cabinet Committee on Economic Affairs (CCEA) and accordingly the Government of India announced the Scheme for Financial Restructuring of Distribution Companies on October 5, 2012.

The scheme envisages that state governments take over 50% of the outstanding short term liabilities of the state owned distribution companies in the state. Rest of the short term liabilities shall be restructured with guarantee from state government to enable the turnaround of the State Discoms and to ensure their long term viability. Additional support shall be provided from Central Government in the form of principal reimbursement and interest subsidy. The scheme has been discussed in detail in the succeeding section.

The Sub-Group felt that unless the proposed restructuring/reschedulement of loans is accompanied by concrete and measurable action by the Discoms/States to improve the operational performance of the distribution utilities, the proposed exercise may turn out to be a temporary measure. In order to make the effort meaningful State Govts/Discoms must commit themselves to and carry out certain mandatory conditions and consider the other measures recommended by the Sub-Group to improve their functional efficiency, shore up their revenues and make the sector viable.

2.5.3 APTEL’S DIRECTIVE TO SERCs FOR TIMELY TARIFF DETERMINATION

In addition to the above steps, the Government of India recognizing the inadequate and delayed tariff revision was one of the most critical issue which has led to the deterioration in the financial health of the Discoms; Ministry of Power made a reference to the Appellate Tribunal for Electricity (APTEL) for issuing directions to the SERC for revision of power tariff in the states. APTEL decided to treat this reference as a suo-moto petition. The Appellate Tribunal for Electricity (APTEL) issued a judgement dated 11 November 2011 and in its judgement has directed all SERCs to initiate suo-moto proceedings for tariff determination in case of delays by the utilities in filing their tariff petitions.



The key features of APTEL’s directive are mentioned in Box 2.

This is a very positive development on the regulatory front for the power distribution sector.

However, the impact of this judgement by APTEL on the financial position of the utilities will hinge upon its implementation by SERCs in an independent manner without any kind of influence from the state government or oppressive litigations.

Box 2: Salient Features of APTEL’s Order dated 11 November 2011

• It should be the endeavour of every State Commission to ensure that the tariff for the financial year is decided before 1st April of the tariff year, for which tariff petition should be filed by the end of November of the previous year. Truing-up should also be an annual exercise.

• In the event of any delay in filing the ARR, truing-up and Annual Performance Review, one month beyond the scheduled date of submission of the petition, the State Commission must initiate suo-moto proceedings for tariff determination.

• The recovery of the Regulatory Asset (RA) should be time-bound and within a period not exceeding three years at the most and preferably within the control period. The carrying cost of the RA should be allowed to the utilities in the ARR of the year in which the RA are created to avoid the problem of cash flow to the distribution licensee.

• Fuel and Power Purchase cost is a major expense of the distribution company, which is uncontrollable. The Fuel and Power Purchase cost adjustment should preferably be on a monthly basis but in no case exceed a quarter. Any State Commission that does not already have such a formula/mechanism in place must put in place such a formula/ mechanism within 6 months of the date of this order.



3. SCHEME FOR FINANCIAL RESTRUCTURING OF DISCOMS ANNOUNCED BY GOVT OF INDIA

3.1 SALIENT FEATURES OF THE SCHEME

A scheme for financial restructuring of state owned distribution companies (Discoms) has been formulated and approved by the Government of India on October 5, 2012. The scheme will be available for all participating State-owned Discoms on fulfilling certain mandatory conditions and will remain open upto 31st December 2012 unless extended by the Government of India (GoI). The scheme is an outcome of efforts being made by GoI on the measures required to improve the commercial viability of the distribution segment.

The scheme is aimed to enable the turnaround of the State Discoms and ensuring their long term viability. The scheme is an attempt to restore the power purchasing capacity of debt ridden Discoms and enable banks to recover their loans. Thought this scheme is better than the earlier bailout package offered in 2002 (where no stringent conditions were put in), it puts onus on the respective states and Discoms and mandates them to initiate proactive measures like 1) regular tariff revision 2) curb AT&C losses sustainably (around 15% Vs. 44.46%2 at present) to improve viability and 3) revenue-cost gap reduction over the moratorium period.

The scheme envisages that state governments take over 50% of the outstanding short term liabilities of the state owned distribution companies in the state. Rest of the short term liabilities shall be restructured with guarantee from state government to enable the turnaround of the State Discoms and to ensure their long term viability. Additional support shall be provided from central government in the form of principal reimbursement and interest subsidy.

The broad features of the scheme are provided in the schematic below:

3.2 BROAD CONTOURS OF THE SCHEME

Restructuring the Short Term Liabilities:

A. Treatment of 50% of the outstanding short term liabilities upto March 31, 2012

• Stage 1: Short term liabilities shall be first converted into bonds to be issued by Discoms to participating Lenders, duly backed by State Governments guarantees; interest and principal repayments on these bonds to be made by State Governments.

• Stage 2: State Governments to take over the above mentioned bonds over next 4 years starting from 2014-15.

• Stage 3: Central Government to provide incentive by way of grant equal to the value of the additional energy saved by way of accelerated AT&C loss reduction beyond the loss trajectory specified under R-APDRP and capital reimbursement support of 25% of

2 In FY 2010-11



principal repayment by the State Governments on the liability taken over by the State Governments under the scheme.

B. Treatment of the balance 50% short term liabilities:

• Rescheduling such liabilities and providing moratorium on principal and the best possible terms for this restructuring to ensure viability of this effort.

Thus, the Discoms would need to service only half of the short term loans as soon as the scheme is implemented and at the end of five years, the State Governments would have taken over 37.5%-50% of the short term loans as seen in the charts.

Chart 13: Broad Contours of the Scheme

ST liabilities -taken over by

State Govt.50%

Restructuring of ST liabilities

by lenders50%

For State Discoms who do not achieve the AT&C loss reduction as given under R-APDRP



3.2.1 Definition of Short Term Liabilities!

Short term liabilities have been defined in the Scheme as provided below:

“Short term liabilities for the purpose of this scheme means and includes short term loans, working capital loans, payable to the power suppliers and includes other loans except for those loans taken for financing capital expenditure.”

3.2.2 Quantum of loans to be restructured

As per the scheme all short term liabilities are to be restructured. From the total quantum of short term liabilities, 50% shall be taken over by state government and the remaining 50% shall be serviced by Discoms with loan support from Bank / Financial Institutions.

3.2.3 Effective dates for restructuring

The scheme is effective from October 5, 2012 (i.e. date of notification of the scheme) to December 31, 2012 unless extended by the GoI.

3.2.4 Implementation of restructuring

Exact terms of restructuring shall be mutually agreed by the banks, Discoms and state government. However for the quantum of loans to be taken over by state government, Discom shall issue bonds with the guarantee from state government to the participating financial institutions. These bonds shall be taken over by state government in next 4 years starting from FY 2014-15.

3.2.5 Central Government support

Central government shall support Discoms by way of grant to the tune of additional energy saved beyond the loss trajectory specified under R-APDRP. i.e., for utilities with AT&C losses above 30% - Reduction in AT&C losses by 3% every year and for utilities with AT&C losses less than 30% - Reduction in AT&C by 1.5% every year. Central government shall reimburse 25% of the principal repayment to state government

3.3 MANDATORY CONDITIONS FOR IMPLEMENTATION OF THE SCHEME

3.3.1 Financial Restructuring Plan

• State Discoms shall prepare the FRP and get it duly approved by the principal lenders.

• State Governments shall convert all their loans to equity or defer the recovery of such loans along with interest till the loans rescheduled are fully repaid.

• State Governments should eliminate the gap between ACS and ARR within the period of moratorium of the bonds issued by State Government.

• Strategy to involve private sector in state distribution sector through franchisee arrangements or any other mode of private participation to be prepared within a year by the Discoms.



3.3.2 Tariff Setting and Revenue Realization

Following conditions are mandatory under Tariff Setting and Revenue Realization:

• The tariff order for FY 2012-13 should have been notified before the FRP is approved and the tariff order for subsequent years should be notified by 30th April of each financial year.

• Fuel cost adjustment to be allowed as directed by APTEL to account for the balance in the increase in power procurement cost.

• Discoms should submit a time bound plan for liquidation of regulatory assets and should incorporate the same in their ARR petitions including true up petitions.

• FRP to include targets for progressive reduction in Short Term Power (STP) purchase by the State Discoms ranging between 5-10% from FY 2013-14 onwards as against the benchmark for the year FY 2010-11.

3.3.3 Subsidy

Agricultural subsidy should be paid upfront by State Government based on distribution transformer meter data. PFC shall engage a third party agency to carry out a verification of it and submit a report to the Central Monitoring Committee. Also, the subsidy amount should be adjusted in the ARR on account of that specific category of consumers.

3.3.4 Metering

Prepaid meters should be installed by March 31, 2013 for all Government consumers and large consumers (1MW and above) where defaults have occurred.

3.3.5 Audit and Accounts

State Discoms are required to prepare Audited accounts for and up to FY 2010-11 by November 30, 2012 and of FY 2011-12 to be finalized by January 31, 2013

3.4 MONITORING MECHANISM

For monitoring the progress of the turnaround plan, two committees at State and Central levels respectively along with third party verifier are to be constituted for effective implementation of the scheme. Also, the entire restructuring program shall be done under the overall monitoring of Department of Financial Services for effective implementation in a time bound manner.

3.4.1 State Level Monitoring Committee (SLMC)

A State Level Monitoring Committee would be formed to review the progress on a quarterly basis till the turnaround of the State Discoms and should submit its report to the Central Level Monitoring Committee (CLMC).

The Government of Uttar Pradesh has constituted the State Level Monitoring Committee with the following composition for review of the progress of the implementation of the Financial Restructuring Plan on quarterly basis till the turnaround of the distribution companies and subsequently once in every half year:-



(1) Chief Secretary, GoUP Chairperson

(2) Principal Secretary (Finance), GoUP Member

(3) Principal Secretary (Energy), GoUP Member

(4) Principal Secretary (Planning), GoUP Member

(5) Representatives of three major lenders Member

(6) Representative from Reserve Bank of India Member

(7) Representative from CEA Member

(8) Managing Director, UPPCL Member Secretary

3.4.2 Central level Monitoring Committee (CLMC)

A Central Level Monitoring Committee would be formed which would be required to submit all the proposals received from States to avail the benefits under Transitional Finance Mechanism for further consideration by the Distribution Division in the Ministry of Power.

The composition of the CLMC would be as under:

(1) Member (Energy), Planning Commission Chairperson

(2) Secretary, Economic Affairs, Ministry of Finance Member

(3) Secretary, Financial Resources, Ministry of Finance Member

(4) Secretary, Ministry of Power Member

(5) Representative from Reserve Bank of India Member

(6) Representatives of three major lenders Member

(7) CMD, PFC Member

(8) CMD, REC Member

(9) Chairman, CEA Member Secretary

3.4.3 Third Party Verification

An annual verification of the performance achievements of the state Discoms shall be done through a third party appointed by Central Electricity Authority (CEA).



The Operational Framework of the Scheme has been depicted in the Schematic below:

APPLICATION STAGE

FRP PREPARATION AND APPROVAL

!

! !

Other Activities

Signing of FRP – Acceptance of Mandatory conditions and roadmap for recommendatory conditions Approval by State/SERC

Issue of Bonds/Special Securities to Lenders by Discoms/State Govt Waiver of Penal Interest by lenders and Restructuring of Loans

State Govt.

(Application to MOP/DFS for benefit under the Scheme)

Department of Finance Services

(Appointment of Nodal Banks) Ministry of Power

State Govt. State Discoms Nodal Banks

(Consultation with other lenders)

FRP for the State Discoms containing the stipulated

conditions

SERC

(In Principle Approval)

FRP submitted to MoP & Department of Finance

Services



MONITORING SET-UP

CLAIMS UNDER THE SCHEME

State Govt.

Ministry of Power

CEA

Constitution of SLMC (Monitoring of Turnaround Activities and Monthly Reporting to CMC)

Constitution of CLMC (Based on the Projections Budget Provisions to be made every year)

Appointment of TPV (Collect data and put up report to CLMC)

Transitional Finance Mechanism

Grant of reduction in AT&C losses

State Discoms

Capital reimbursement support of 25% of principal repayment

State Govt.

SLMC (review)

CEA (to put up to CLMC)

CLMC (To review and recommend)

MoP (Release of funds in consultation with DOE)



4. OPERATIONAL REVIEW OF UP DISCOMS

This objective of this section is to understand the factors which were responsible for the existing financial health of the UP Discoms. This section focuses on the analysis of the historical operational performance in terms of demand and supply position in the state, T&D loss & AT&C loss trajectory, power sourcing options and their costs, etc.

4.1 DEMAND SUPPLY POSITION IN THE STATE

The energy requirement in Uttar Pradesh has grown at a CAGR of 6.83% in the period from FY 2007-08 to FY 2012-13. Against this, the growth in the installed capacity has grown at a marginally lower rate of 6.55% over the same period. The growth in the installed capacity was inadequate to meet the growing demand resulting in peak and energy deficit. The energy deficit is 19.10% in FY 2012-13 as per the Load Generation Balance Reports (LGBR) prepared by the CEA. The energy deficit has grown at a CAGR of 8.07% from FY 2007-08 to FY 2012-13. The peak demand has grown at a CAGR of 2.40% from FY 2007-08 to FY 2012-13. The peak demand is anticipated to increase in the future years due to high economic growth rate. The table below provides an overview of the demand supply scenario in the state from FY 2007-08 to FY 2012-13.

Table 14: Demand Supply Position in Uttar Pradesh

Head 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 CAGR (%)

Peak Demand (MW) 11,104 10,587 10,856 11,082 12,038 12,500 2.40%

Peak Met (MW) 8,568 8,248 8,563 10,672 11,767 10,377 3.91%

Peak Deficit (MW) -2,536 -2,339 -2,293 -410 -271 -2,123 3.49%

Peak Deficit (%) -22.84% -22.09% -21.12% -3.70% -2.25% -16.98% 5.75%

Energy Requirement (MU) 62,628 69,207 75,930 76,292 81,339 87,153 6.83%

Energy Availability (MU) 51,335 54,309 59,508 64,846 72,116 70,509 6.55%

Energy Deficit (MU) -11,293 -14,898 -16,422 -11,446 -9,223 -16,644 8.07%

Energy Deficit/ Surplus (%) -18.03% -21.53% -21.63% -15.00% -11.34% -19.10% 1.15%

Source: CEA – Power Scenario at a Glance – Nov 2012

According to the CEA, the current energy deficit of the State is about 16% and peak deficit is 13.6% for the first six months in FY 2012-13.



The demand supply position has been depicted in the chart below:

Chart 15: Trend in Demand – Supply situation in terms of Energy (MU)

4.2 TRANSMISSION, DISTRIBUTION AND COMMERCIAL LOSS TRAJECTORIES

The T&D loss percentage of the UP Discoms (combined together) has been in the range of 30% to 33% over the last 8 years.

Chart 16: T&D Loss (%) of UP Discoms

62,628 69,207

75,930 76,292 81,339 87,153

51,335 54,309

59,508 64,846

72,116 70,509

11,293 14,898 16,422

11,446 9,223

16,644

‐

20,000

40,000

60,000

80,000

1,00,000

FY 2007‐08 FY 2008‐09 FY 2009‐10 FY 2010‐11 FY 2011‐12 FY 2012‐13

Requirement (MU) Availability (MU) Deficit (MU)

33.46%

32.30%32.93% 33.17%

30.18%

31.96%

30.03%

32.53%

28.00%

29.00%

30.00%

31.00%

32.00%

33.00%

34.00%

2004‐05 2005‐06 2006‐07 2007‐08 2008‐09 2009‐10 2010‐11 2011‐12

T&D Loss (%)



There were huge under-recoveries in the past years on account of stringent T&D loss targets approved by the UPERC. The UPERC had approved a T&D loss level of 27.40% in the years FY 2004-05 to FY 2009-10 against which the actual T&D loss has been in the range of 30.03% to 33.46%.

However based on submissions by the UP Discoms in the ARR Petitions for FY 2010-11 and onwards, the T&D loss has been recalculated at realistic levels which are closer to actual performance. This has come as a huge relief to the Discoms and to the entire FRP exercise.

It is expected that the improvement trajectories proposed in the FRP would be adopted by the State Commission. The UPERC has approved an average T&D loss percentage of 29.73% for FY 2012-13.

The following chart gives the T&D loss trajectory approved by the UPERC vis-à-vis the actual in the corresponding years.

Chart 17: T&D Loss Approved by UPERC Vs Actuals

Source: UPERC Tariff Orders, Audited Accounts of Discoms

The details of the Distribution losses of Discoms are provided in the table below:

Table 18: Distribution Losses (%) of Discoms from FY 2004-05 to FY 2011-12

Year DVVNL MVVNL PVVNL PuVVNL KESCO 2004-05 32.58% 26.75% 28.77% 28.20% 46.57% 2005-06 31.24% 27.54% 26.67% 28.66% 37.65% 2006-07 30.24% 27.32% 26.73% 30.17% 39.67% 2007-08 30.30% 24.59% 29.39% 27.76% 41.13% 2008-09 25.57% 20.69% 26.62% 24.72% 38.28% 2009-10 31.70% 22.64% 28.66% 24.44% 35.09% 2010-11 28.76% 28.08% 27.27% 26.97% 27.57% 2011-12 29.38% 26.36% 29.25% 26.20% 32.96%

33.46%32.30% 32.93% 33.17%

30.18%

31.96%

30.03%

32.53%

27.40% 27.40% 27.40% 27.41% 27.40% 27.40%

31.91%

31.66%

21.00%

23.00%

25.00%

27.00%

29.00%

31.00%

33.00%

35.00%

2004‐05 2005‐06 2006‐07 2007‐08 2008‐09 2009‐10 2010‐11 2011‐12

Actual T&D Loss (%) UPERC Target



The overall collection efficiency of the sector has been in the range of 80% to 93% during the FY 2004-05 to 2010-11. However there is a disparity within discoms; the PuVVNL Discom has the lowest collection efficiency, whereas the best and consistent performer is PVVNL Discom. The overall collection efficiency of combined Discoms is 79.52% as on 31st March 2011.

The following chart provides the collection efficiency trajectories of the Discoms during the period FY 2004-05 to 2010-11.

Chart 19: Discom wise Collection Efficiency during FY 2004-05 to 2010-11

Considering the distribution and collection efficiency as detailed above, the Aggregate Technical and Commercial Losses (AT&C) have been calculated. The AT&C losses during the FY 2004-05 to 2010-11 are provided in the chart below:

Chart 20: AT&C losses during the FY 2004-05 to 2010-11

85.52%

93.38%

91.12%

87.17%

90.97%

86.62%

79.52%

75.00%77.00%79.00%81.00%83.00%85.00%87.00%89.00%91.00%93.00%95.00%

2004‐05 2005‐06 2006‐07 2007‐08 2008‐09 2009‐10 2010‐11

Combined Discoms

43.10%

36.78%

38.88%

41.75%

36.48%

41.07%

44.36%

30.00%

32.00%

34.00%

36.00%

38.00%

40.00%

42.00%

44.00%

46.00%

2004‐05 2005‐06 2006‐07 2007‐08 2008‐09 2009‐10 2010‐11

AT&C Loss (%)



4.3 INSTALLED CAPACITIES & GENERATION PORTFOLIO

The total installed capacity available in the State in Uttar Pradesh is 13,054 MW as on 31st March, 2012. This comprises of 4816.2 MW from State Sector, 4725.85 MW as share from Central Sector generating stations and 3511.88 MW of Private Sector Power Plants. Installed capacity for the state of Uttar Pradesh as on 31st March, 2012 is shown below:

Table 21: Installed Capacity (MW) of UP Discoms as on 31st March, 2012

Sector Hydro Thermal

Nuclear RES Total Coal Gas Diesel Total

State 524 4267 0 0 4267 0 25 4816 Private 0 2850 0 0 2850 0 662 3512 Central 1250 2590 550 0 3140 336 0 4726 Total 1774 9707 550 0 10257 336 687 13054

Source: CEA – Power Scenario at a Glance – Nov 2012

Chart 22: Installed Capacity by Ownership

Chart 23: Installed Capacity by Ownership

State37%

Private27%

Central36%

Hydro14%

Thermal79%

Nuclear2%

RES (MNRE)5%



5. FINANCIAL REVIEW OF UP DISCOMS

This section undertakes a review of the existing financial position of the Discoms including study of the pattern of major cost elements such power purchase cost, O&M expense, depreciation, interest and finance cost, etc. Further Cost of Supply, Average Revenue Realisation and Cost Coverage Ratio have been analysed in this section.

5.1 POWER PURCHASE COST

Power Purchase costs roughly account for 3/4th of the total cost incurred by the distribution companies. The total quantum of power procured has increased at a CAGR of 6.45% from 42210 MU in FY 2004-05 to 65375 MU in FY 2010-11.

The power purchase price has increased at a CAGR of 6.62% from Rs. 1.95 per unit in FY 2004-05 to Rs. 3.05 per unit in FY 2010-11. The landed cost of energy at discom end has risen from Rs. 2.05 per unit in FY 2004-05 to Rs. 3.20 per unit in FY 2010-11.

Table 24: Power Purchase Costs during FY 2004-05 to 2010-11

Particulars Unit 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 Power Purchase Input MU 42210 45307 50679 55011 56352 60679 65375

Power Purchase Cost

Rs Crore 8,221 9,466 10,744 12,294 14,531 17,700 19,945

Power Purchase Input Rate Rs/kWh 1.95 2.09 2.12 2.23 2.58 2.92 3.05

Energy Available at Discom End

MU 40112 43033 47776 51633 52719 56893 62268

Power Purchase Rate at Discom End

Rs/kWh 2.05 2.20 2.25 2.38 2.76 3.11 3.20

It is also relevant to analyse the power purchase cost allowed in the tariff orders of Discoms by the UPERC. With the exception of FY 2006-07 and 2007-08, there are significant disallowances in respect of power purchase cost which is uncontrollable in nature. The UP Discoms were not allowed the pass-thru of fuel and cost escalation through the Power Purchased Cost Adjustment formula by the State Regulator as a result of which there were significant under-recoveries on account of power purchase cost.

The following chart depicts the power purchase rate at discom end vis-à-vis the power purchase rate considered by the UPERC in respective tariff orders for Discoms



Chart 25: Power Purchase Price (Rs/kWh) Considered in ARR Vs Actuals at discom end

It is expected that going forward with effect from 1st January 2013 onwards, there would be no under recoveries on account of power purchase cost as the UPERC has allowed the Fuel and Power Purchase Cost Adjustment to the Discoms

5.2 GROWTH IN EXPENSES

Overall expenses of the Discoms have increased at a CAGR of 15.44% during the period FY 2004-05 to 2010-11. The power procurement expenses have increased by a CAGR of around 15.92% during the same period. Interest and finance charges have increased by 37.67% which is consequent to the heavy borrowings by the Discoms and UPPCL.

The growth in the expenses of the distribution companies during the period FY 2004-05 to 2010-11 is depicted in the chart below:

2.05

2.20 2.252.38

2.76

3.113.20

1.75 1.75

2.242.36

2.47

2.64

3.01

1.50

1.70

1.90

2.10

2.30

2.50

2.70

2.90

3.10

3.30

2004‐05 2005‐06 2006‐07 2007‐08 2008‐09 2009‐10 2010‐11

PP Rate at discom end (Rs/kWh) PP Rate considered in ARR (Rs/kWh)


Financial

5.3

T

Restructuring

Cha

SUBSIDY

The provisioresulted in subsidy suphowever theThe revenueRs. 2040 cro

In addition service of cdistribution

T

‐

5,000

10,000

15,000

20,000

25,000

30,000

g Plan – March

rt 26: Grow

Y SUPPO

on of affordahigh depen

pport from e same are ie subsidy suore in FY 20

to the revecertain workcompanies d

Table 27: Su

Yea

FY 2

FY 2

FY 2

FY 2

FY 2

FY 2

FY 2

FY 2

2004‐05

8,221

1,264 858

339

Po

De

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wth in the E

RT DURI

able and chendence on tthe state gnadequate t

upport which10-11 and to

enue subsidking capital during the pe

ubsidy Sup

r

2004-05

2005-06

2006-07

2007-08

2008-09

2009-10

2010-11

2011-12

2005‐06 2

9,466

1,249 1,004

541

wer Purchase

epreciation &

Expenses of

NG FY 20

ap power tothe subsidy government to compensa was Rs. 10o Rs.3636.8

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pport during

RevSu

10

12

15

18

15

18

20

36

2006‐07 20

10,744

1,181 881

802

e

Provisions

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004-05 T

o the agricult support frohas more

ate for the po055.56 crore1 crores in F

e governmehe past. Th04-05 to 201

g FY 2004-0

venue ubsidy

Sde

055.66

287.70

527.43

821.80

531.80

831.80

040.00

636.81

007‐08 200

12,294 1

1,429 1552

1,096

O&M Expe

Interest an

ms (FY 200

TO 2011-

ture and rurom the statthan trebledower supplies in FY 2004FY 2011-12.

nt has also e details of

11-12 is prov

05 to 2011

Subsidy for ebt service

280.75

1215.79

1102.56

1040.00

944.00

654.00

08‐09 2009

4,531 17,

1,615

1,8653

51,378

1

enses

nd Finance Cha

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12

ral domestic te governmd in the lased to subsidi4-05 has bee

provided sf subsidy revided in the

-12 (Rs Cro

9‐10 2010‐1

,700 19,9

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support in deceived by table below

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has the ars, ries. d to

debt the :



5.4 TRENDS IN AVERAGE TARIFF AND AVERAGE COST OF SUPPLY

The Average Tariff and Average Cost of Supply (ACS) for UP Discoms (combined) are presented in table below. The Average Tariff was not sufficient to meet the the ACS even after including the subsidy payment from State Government during the entire period from FY 2004-05 to 2010-11.

Table 28: Trends in Average Tariff and ACS along with Cost Coverage Ratio

Particulars 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11

ACS 3.86 4.08 4.05 4.20 4.66 5.28 5.88

Average Tariff 2.44 2.47 2.31 2.57 2.83 3.21 3.76 Cost Coverage (without subsidy) 63% 61% 57% 61% 61% 61% 64%

Cost Coverage (with subsidy) 73% 71% 68% 73% 69% 69% 72%

The average cost of service has increased from Rs. 3.86 per unit in FY 2004-05 to Rs. 5.88 per unit in FY 2010-11. The increase in ACS is particularly more in the years 2009-10 and 2010-11 which is consequent to the significant increase in power procurement costs in the corresponding period.

The Average Tariff has increased from Rs. 2.44 per unit in FY 2004-05 to Rs. 3.76 per unit in FY 2010-11. However the pace of tariff increase has never been able to keep pace with the rising ACS. This is reflected in the cost coverage (w/o subsidy) which has remained in a narrow range between 57% to 64% during the entire period under review. The cost coverage ratio in FY 2010-11 is 64%.

The inadequate and delayed tariff revision has been the primary reasons for the poor cost coverage of the distribution companies. The following table depicts that there has been a consistent pattern on the part of both the distribution companies and the State Electricity Regulatory Commission in approving the proposal for tariff revisions of the distribution companies.

Table 29: History of Tariff Revisions

ARR for the Year Filed On

Delay in filing ARR by Discom

(No of Days)

Order Date

No of days taken by

Regulator in issuing order

Tariff Hike %

2000-01 31-12-1999 31 27-07-2000 209 3.00%

2001-02 22-01-2001 53 01-09-2001 222 4.09%

2002-03 29-04-2002 150 22-10-2002 176 7.00%

2003-04 21-02-2003 83 10-06-2003 109 1.70%

2004-05 23-03-2004 114 10-11-2004 232 6.40%

2005-06 29-04-2005 150 Rejected NA 0.00%

2006-07 05-07-2006 217 10-05-2007 309 0.00%

2007-08 04-10-2007 308 15-04-2008 194 0.80%



ARR for the Year Filed On

Delay in filing ARR by Discom

(No of Days)

Order Date

No of days taken by

Regulator in issuing order

Tariff Hike %

2008-09 19-12-2007 19 15-04-2008 118 13.92%

2009-10 30-07-2009 242 31-03-2010 244 13.00%

2010-11 25-03-2011 480 19.10.2012 574 NA

2011-12 25-03-2011 115 19.10.2012 574 NA

2012-13 21-02-2012 83 19.10.2012 241 20.93%

It is expected that the APTEL judgment dated 1th November 2011 would go a long way in ensuring that the SERCs approve tariff revision regularly without any delay and the revised tariffs are implemented at the start of each year w.e.f 1st April of each financial year.

5.5 ACCUMULATED LOSS

The poor cost coverage has affected the profitability of the distribution companies such that all of them are deep in losses. The following table provides the accumulated losses of the distribution companies for the period since their creation up to FY 2010-11.

Table 30: Accumulated Losses of Distribution Companies (Rs Crore) Year Meerut Agra Lucknow Varanasi Kesco Accumulated

Loss

2000-01 77 77

2001-02 89 89

2002-03 139 139

2003-04 204 111 47 84 210 657

2004-05 350 591 386 401 274 2659

2005-06 622 892 546 607 113 5439

2006-07 730 1070 739 1096 141 9214 2007-08 665 1150 774 1102 257 13162

2008-09 636 1000 706 1189 81 16773

2009-10 629 1322 733 492 155 20104

2010-11 453 1273 746 1268 182 24025



6. INTERVENTION STRATEGY

In view of the deteriorating financial health of the Discoms, the strategy for survival and sustainability of the sector among others primarily requires to focus upon:

• Reducing the distribution losses of the business.

• Improving cost recovery by tariff rationalisation to progressively reduce the revenue deficit.

The Discoms have already initiated a series of measures to overcome the serious financial crunch and to be sustainable in the long run. First in this direction was filing a tariff petition for revision of FY 2012-13. Based on such petition, an average tariff revision of around 21% was approved by the UPERC. Subsequently the Fuel and Power Purchase Cost Adjustment has been approved and the same would be recoverable with effect from January 2013 onwards. The distribution companies have also filed a proposal for tariff revisions of around 9% for FY 2013-14. The same is under consideration of the UPERC and the tariff order is likely to be passed by 31st May, 2013.

Further, with the support of the Government of Uttar Pradesh, the Discoms have initiated the process for restructuring its debt as per the ‘Scheme for the Financial Restructuring of Distribution Companies’ announced by the Government of India.

The objective of the financial restructuring plan is to ensure long term viability of the state distribution companies. This report has projected the financials of Discoms for 10 years based on the relevant UPERC Tariff Regulations, inputs provided by the Discoms and the tariff approved for FY 2012-13 as per the tariff dated 19th October 2012.

UP Discoms (in a base case) have incurred operational losses of Rs 9,899 crore in FY 2012-13 after a massive tariff hike of 21% which became applicable from 1st November, 2012.. In addition, UP Discoms have net outstanding power purchase dues of Rs. 19,324.31 crore as on 31st March 2012. The discoms are not in a position to repay their entire liabilities with efficiency in operations or with a reasonable hike in tariff as projected in ARR for FY 2013-14. Hence to continue its operations, UP Discoms require a major restructuring of their loans with a reasonable time frame to repay their loans. Without restructuring, these liabilities have to be funded with cash generated from operations or by raising additional loans which would in turn lead to worsening of the gap.

One of the main objectives of the Financial Restructuring plan is to ensure the long term viability of Discoms. Hence projections have been made for next ten years to assess the financial health of Discoms in the next ten years. These projections have been made based on the data provided by Discoms, norms specified by UPERC’s Tariff Regulations and the proposed financial restructuring plan. These assumptions along with projections for various heads are explained in detail in the following sections.



7. BUSINESS PLAN OF DISCOMS

The business plan of the distribution companies has been prepared considering the impact of changes in the key business drivers, current regulatory practice and the regulatory norms envisaged in the mid-term, policy decisions of GoUP, etc. The main thrust of the business plan is to improve the operating efficiency and tide over the financial crisis by achieving financial turnaround.

This section discusses in detail the broad assumptions undertaken in the preparation of the business plan and has been classified into the following sub-sections:

• Energy Sales Forecast

• Transmission and Distribution Loss Reduction Trajectory

• Energy Availability and Power Procurement Plan

• Energy Balance

• Investment Plan and its Financing

• Tariff Increases

• Collection Efficiency Trajectory

• Subsidy and Other Support from GoUP.

After a detailed discussion on the aforementioned points, the summary of the financial projections have been presented for consolidated Discoms. The summary of the key financial statements for each of the distribution companies namely PVVNL, DVVNL, MVVNL, PuVVNL, KESCO and the holding company namely UPPCL has been presented in Annex-1.


Financial

7.1

T

Restructuring

ENER

This sectionFY 2024. Tenergy for depicted in f

The energy increase in consumptionsales for theconsideratio

a) Numb) Conc) Con

g Plan – March

GY SALES

provides thhe categorymost of thefigure below

Chart 31

sales to retspecific con

n trends shoe future yea

on the follow

mber of consnected load nected Load

h 2013

S FORECA

he sales projy wise load e categories

w:

: The schem

tail consumensumption oown by variars. The apping compone

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ections er/connectio

category, fod connectedmatic diagra

ram for Ene

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f new conneng term anden used for egory wise s

47

riod FY 2013or projection state of UP

P

ections and d medium te projecting sales takes i

7

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d) System level energy availability e) Hours of supply

The approach and methodology used for Load Forecasting is detailed below:

7.1.1 Overview

Sales and Load Forecasting involves firstly, building robust and accurate sales forecast and load forecast models that are able to predict energy sales within reasonable margins of error and secondly, application of the models so prepared to provide long term forecast of energy sales to various consumer sub categories (based on tariffs applied) and the total energy requirement to meet the demand.

7.1.2 Methodology

The following methodology was followed for Sales and Load Forecasting:

a. Consumer category wise commercial data of each discom comprising Number of consumers/ Connected load (kW)/ Energy sales (billed energy): kWh, split between rural/urban consumers was tabulated for the years 2001-02 to 2011-12.

b. 3 years’ (2009-10 to 2011-12) and 5 years (2007-08 to 2011-12) compounded annual growth rate (CAGR) was determined for the following parameters consumer sub-category wise:

• Number of consumers

• Connected load: kW

• Energy sales (billed energy): kWh

c. CAGR for each of three major commercial parameters for 3/5/7/10 years was determined consumer category-wise.

d. Running hour factor: Load shedding affects different consumer categories differently. Its effect was taken into account through a factor of present running hour supply and projected hour supply.

However, no adjustment on account of load shedding was made in case of the following:

a) Following consumer categories:

• Industrial

• Agricultural (assuming that the water output of agricultural pump sets in the limited hours of supply is enough for meeting the irrigation requirements)

• Railway traction

The Energy Billed was calculated by applying the factor to the remaining consumer categories in all areas. This was done step-wise as follows:

b) Projecting the running hours supply;

c) Obtaining the factor of running hours supply between present supply hours and projected hours supply;

Sub-category Energy billed in % tabulated by way of Mahanagar, Commissionary, Districts, Bundelkhand and Rural Area according to the prevailing classification of the Areas

e. Demand Side Management - Category wise energy Billed was calculated by applying the DSM factor.



f. Following three ratios were determined for each set of commercial data of a given consumer category/ sub-category for each year:

a) Energy sales per consumer

b) Connected load per consumer

c) Energy sales/Connected load

g. Sales Forecasting: LV Consumers – Sub-category-wise

a) Number of consumers:

Adopted appropriate value of CAGR in the following manner:

• Normally 3 years’ CAGR of number of consumers (sub-category wise) was adopted

• Wherever calculated value of 3 years’ CAGR of number of consumers seemed unreasonably high or low, the most reasonable calculated value between 5/7/10 years’ CAGR was adopted. The adopted value of CAGR was applied across all sub-categories within a given consumer category.

• Applied the CAGR so adopted to determine forecasted values of number of consumers, taking 2011-12 as the base year.

b) Connected load:

Multiplied number of consumers by the highest ratio of connected load per consumer calculated for the last three years to determine consumer sub-category wise connected load forecasts corresponding to forecasted values of number of consumers.

c) Energy Sales:

i. LMV 1 & LMV 10 Consumer categories:

Forecasted value of energy sales for each consumer sub-category was determined by multiplying the number of consumers by the highest value of energy sales per consumer for the last three years. Wherever the highest value of energy sales per consumer was found to be unreasonably high, the second highest value of the above ratio was adopted as the multiplier for determining energy sales corresponding to the forecasted value of number of consumers.

ii. LMV Consumer categories (metered) other than LMV1 & LMV10 consumer categories:

Adopted the highest value of energy sales per kW connected load for a given consumer sub-category for the last three years as the multiplier to obtain forecasted value of energy sales corresponding to the forecasted value of connected load.

iii. LMV: Unmetered consumers (except rural state tube wells):

Forecasted value of energy sales for a given consumer sub-category was obtained by multiplying the forecasted value of connected load by the standard value of energy sales per kW connected load laid down in the norms.

iv. Rural state tube wells:

Forecasted value of energy sales was obtained by multiplying the forecasted value of number of consumers by the standard value of energy sales per consumer laid down in the norms as below:



Table 32: Consumption Determinant Sr.No Category of

Un-Metered Consumer Units Consumption of

Energy Per Month 1 Private Tube Well KWh/KW 91.66

2 Domestic Rural Consumers KWh/KW 72

3 Rural Commercial Consumers KWh/KW 72

4 Rural State Tube Well KWh/Consumer or Pump 3562.35

5 -A Street Light - Rural Area KWh/KW 300

5 -B Street Light - Urban Area KWh/KW 360

h. Sales Forecasting: HV Consumers – Sub-category-wise

a) Connected Load:

Forecasted value of connected load for a given sub-category for a given year was determined by applying the 3 years’ CAGR of connected load calculated for the particular consumer sub-category, taking 2011-12 as the base year. Wherever the 3 years’ CAGR appeared unreasonably high or low, the figure from amongst CAGR of connected load for a given consumer category calculated for 5/7/10 years that seemed most reasonable, was adopted as the CAGR to be used for forecasting. This value of CAGR was applied to all sub-categories comprising a given consumer category.!

b) Number of consumers:

Forecasted number of consumers corresponding to the forecasted value of connected load for a consumer sub-category in a given year was determined by dividing connected load by the value of connected load per consumer calculated of the preceding year.

c) Energy sales:

• Year wise and sub-category wise energy sales forecasts were obtained by multiplying the forecasted value of connected load by the highest ratio of energy sales per kW connected load of the last three years.

• Year wise and sub-category wise energy sales forecasts were obtained by multiplying the forecasted value of sales MU by the running hour factors.

• Year wise and sub-category wise energy sales forecasts were obtained by multiplying the forecasted value of sales MU by the DSM factors.

7.1.3 Projections for Input Energy

Following assumptions, based on experience, were made with regard to losses:

a. Distribution Losses:

The distribution companies intent to pursue the aggressive loss reduction programs through technology intervention, process and efficiency improvement through implementation of capital investment of capital investment plan. The objective of efficiency improvement programs would be to ensure a reliable distribution system and enhance the quality of supply to consumer as well as to reduce technical and commercial losses. The investments being made under R-APDRP schemes, installation of Aerial Bunch Conductors, Feeder Separation Program are also expected to aid in the reduction of distribution losses. The distribution loss trajectory projected in the plan period is provided in the table below:!



Table 33: Distribution Loss Trajectory

Discom FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24

Meerut 29.25% 26.00% 23.00% 21.00% 19.00% 17.00% 15.00% 13.00% 11.00% 10.00% 10.00% 10.00% 10.00%

Agra 29.38% 30.51% 27.55% 24.55% 21.55% 18.55% 15.55% 13.55% 11.55% 10.55% 10.55% 10.55% 10.55%

Lucknow 26.36% 24.00% 23.00% 21.00% 19.00% 17.00% 15.00% 13.00% 11.00% 10.00% 10.00% 10.00% 10.00%

Varanasi 26.20% 23.00% 22.00% 20.00% 18.00% 16.00% 14.00% 12.00% 10.00% 9.00% 9.00% 9.00% 9.00%

Kesco 32.96% 24.00% 23.00% 21.00% 19.00% 17.00% 15.00% 13.00% 11.00% 10.00% 10.00% 10.00% 10.00%

Total 28.24% 25.05% 22.97% 20.84% 18.70% 16.57% 14.43% 12.50% 10.57% 9.60% 9.61% 9.62% 9.62%

b. Transmission Losses:

There is very little scope for the reduction of the transmission losses considering the past trends and the nature of such losses. Intra-state and inter-state transmission losses, to be added to the power delivered at the discoms at their input points to arrive at the energy required at the power plant bus bars, were taken as per the table provided below:

Table 34: Transmission Loss Trajectory Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24

Transmission Losses (%) 5.52% 5.26% 5.14% 5.13% 5.12% 5.11% 5.10% 5.09% 5.08% 5.07% 5.06% 5.05% 5.04%

The category wise energy sales forecasted for the distribution companies are provided in Annex-2. The energy sales forecast for the consolidated Discoms is provided in the table below:



Table 35: Category-wise Energy Sales forecast for Consolidated Discoms (MU)

Consumer Category

FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24

Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj

Rural Domestic 8122 8166 9605 12039 14600 16454 18609 20710 22232 23616 24307 26117 Single Point 361 386 408 468 506 527 593 618 657 675 692 727 Urban Domestic 8283 12469 17935 22627 27589 32325 37524 43410 46809 48364 48479 50961 Lifeline/BPL 502 76 96 121 146 173 174 195 211 225 233 252 Rural Commercial 968 1072 1372 1755 2158 2556 2643 3001 3286 3559 3733 4085 Urban Commercial 2856 3205 3606 4304 4938 5458 5967 6479 6759 6982 7016 7293 Public Lamps 936 992 1171 1446 1737 1956 2323 2623 2863 3094 3245 3563 Institutions 1529 1825 2281 2934 3649 4388 4695 5441 6080 6723 7197 8036 PTW 6283 6483 6699 8235 9767 10565 12538 13585 14203 14707 14864 15692 Small & Medium Power 2934 3488 4061 5039 6017 6928 7194 8072 8755 9404 9688 10390 Public Water Works 1649 1666 1886 2399 2960 3325 4127 4688 5140 5580 5874 6452 STW 2527 2588 2752 3419 4118 4506 5450 6028 6434 6797 6961 7445 Temporary Supply 138 161 193 245 295 343 394 451 499 546 579 640 Departmental Employees 437 564 581 607 643 713 723 749 811 879 955 1038 Non-Industrial Bulk Loads 1917 2034 2164 2300 2446 2610 2789 2982 3197 3431 3696 3970 Large Industries 11092 12418 13084 14213 15484 16907 18504 20271 22207 24304 26617 29150 Railway Traction 738 769 802 837 873 911 951 993 1037 1083 1131 1182 Lift Irrigation 962 1016 1075 1139 1207 1281 1361 1447 1541 1642 1753 1872 Bulk & Extra State 2406 2780 3071 3473 3887 4175 4451 4753 4948 5118 5173 5416 Total 54636 62157 72841 87599 103020 116099 131011 146497 157669 166728 172192 184281



7.2 ENERGY AVAILABILITY AND POWER PROCUREMENT PLAN

The objective of this section is to present the energy availability of the generating system to meet the system demand and energy projections. The energy available will finally be balanced with sales projections made in Section 7.1 after considering Transmission Losses and Distribution Losses.

EXISTING GENERATING CAPACITY

The existing generating capacity of Uttar Pradesh power system composed of state sector, central sector and Private/IPP. The existing capacity as on 31st March 2012 available to UP power system is presented in the following table.

Table 36: Existing Capacity as on 31st March 2012 available to UP Power System

Sector Capacity Share (MW)

State Sector 4,791

Hydro 524

Thermal 4,267

PVT/IPP 2,850

Central Sector 4,726

Hydro 1,250

Thermal 3,140

Nuclear 336

Co-Generation 687

Total Capacity 13,054

Source: CEA

It can be seen from the above table that the total capacity available from different sources is 13,054 MW. The state owned capacity is around 36% of the total capacity available. Apart from the above capacity, the Discoms have purchased short term power from different agencies to meet the power needs of the state.



CAPACITY ADDITION PROGRAM

There is about 23,929 MW generating capacity planned to be available for UP power system from different sources including state sector for the period FY 2013-24. The details of the capacity under various sectors are tabulated below.

Table 37: Details of the Capacity Planned under Various Sectors

Sector Capacity Share (MW)

State Sector 4,390

Hydro -

Thermal 4,390

Joint Sector 2,401

PVT/IPP 12,281

Central Sector 4,357

Hydro 1,455

Thermal 2,902

Nuclear -

UMPP 500

Total Capacity 23,929

The State (including Joint Sector) has planned to add about 6,791 MW which is almost 28% of the total capacity addition. The share from the central sector would be about 4,357 MW, share from private sector would be 12,281 MW and about 500 MW is planned under UMPP.

The commissioning of the state-owned generating stations has been considered based on the investment plan and the construction progress for the on-going projects. In the case of other central sector and private sector projects (other than state-owned) expected in the 12th Plan Period and beyond, the commissioning schedules have been considered as per the project monitoring reports published by the Central Electricity Authority (CEA). The year wise capacity additions planned under various sectors is presented below.



Table 38: Year Wise Additional Capacity (MW) Available

Financial Year FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 Total

Capacity Addition(MW)

1560 988 2628 3274 825 2585 1722 2630 2172 1848 2508 1188 23929

The various parameters impacting the net generation and power purchase cost from these plants like Plant Load Factor, Design Energy, Station Heat Rate, Auxiliary Energy Consumption, etc have been considered on the basis of the past trends and the prevailing regulatory norms. The increase in energy charges (fuel cost) and capacity charges (fixed costs) and other expenses during the projection period have been factored in through an increase of 5% to 7% in per unit power purchase cost depending upon the nature and source of generation and power purchase.

The following tables summarises the power procurement plan for the Discoms upto the FY 2024

Table 39: Power Procurement Plan for UP Discoms (MU)

POWER STATION FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24

Anpara A 2,979 3,951 3,951 3,951 3,951 3,951 3,951 3,951 3,951 3,951 3,951 3,951

Anpara B 6,224 6,377 6,377 6,377 6,377 6,377 6,377 6,377 6,377 6,377 6,377 6,377

Harduaganj 146 763 763 763 763 763 509 509 509 509 509 509

Obra A 409 756 756 756 756 468 468 468 468 468 468 468

Obra B 3,084 3,084 3,084 5,068 5,068 5,068 5,068 5,068 5,068 5,068 5,068 5,068 Panki Extension 374 809 809 809 809 809 809 809 809 809 809 809

Parichha 347 445 445 445 445 445 445 445 445 445 445 445

Parichha Extn 2,120 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292 2,292

Parichha Extn Stage 2 - U#1 1,123 1,495 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594

Parichha Extn Stage 2 - U#2 - 1,495 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594

Harduaganj Extn - U#1 938 1,495 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594

Harduaganj Extn - U#2 - 1,495 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594 1,594

Anpara D - U#1 - - 3,224 3,425 3,425 3,425 3,425 3,425 3,425 3,425 3,425 3,425




Anpara D - U#2 - - 3,224 3,425 3,425 3,425 3,425 3,425 3,425 3,425 3,425 3,425

Panki Extension - - - - - - - 4,209 4,209 4,209 4,209 4,221

Harduaganj Extn Stage 3 - - - - - 4,244 4,255 4,267 4,255 4,255 4,255 4,267

Obra C U#1 - - - - - - - - 3,019 4,255 4,255 4,267

Obra C U#2 - - - - - - - - 1,586 4,255 4,255 4,267 TOTAL UPRVUNL 17,744 24,458 31,304 33,690 33,690 37,645 37,403 41,623 46,217 50,122 50,122 50,169

Khara 284 284 284 284 284 284 284 284 284 284 284 284

Matatila 89 89 89 89 89 89 89 89 89 89 89 89

Obra Hydel 240 240 240 240 240 240 240 240 240 240 240 240

Rihand 517 517 517 517 517 517 517 517 517 517 517 517 UGC Power Stations 19 19 19 19 19 19 19 19 19 19 19 19

EYC Power Stations 5 5 5 5 5 5 5 5 5 5 5 5

Sheetla 3 3 3 3 3 3 3 3 3 3 3 3 TOTAL UPJVNL 1,157 1,157 1,157 1,157 1,157 1,157 1,157 1,157 1,157 1,157 1,157 1,157

Meja U#1 - - - 130 2,969 2,969 2,969 2,977 2,969 2,969 2,969 2,977

Meja U#2 - - - - 1,480 2,969 2,969 2,977 2,969 2,969 3,210 3,218 Ghatampur Thermal Project U#1

- - - - - 1,591 3,209 3,218 3,209 3,209 3,209 3,218

Ghatampur Thermal Project U#2

- - - - - - 3,200 3,218 3,209 3,209 3,209 3,218

Ghatampur Thermal Project U#3

- - - - - - 1,855 3,218 3,209 3,209 3,209 3,218

TOTAL JOINT SECTOR - - - 130 4,449 7,529 14,202 15,607 15,564 15,564 15,805 15,848

Anta 824 824 824 824 824 824 824 824 824 824 824 824

Auraiya 1,418 1,418 1,418 1,418 1,418 1,418 1,418 1,418 1,418 1,418 1,418 1,418

Dadri (Gas) 1,972 1,972 1,972 1,972 1,972 1,972 1,972 1,972 1,972 1,972 1,972 1,972




Dadri (Thermal) 662 662 662 662 662 662 662 662 662 662 662 662

Dadri II 988 988 988 988 988 988 988 988 988 988 988 988

Kahalgaon-II 1,436 1,436 1,436 1,436 1,436 1,436 1,436 1,436 1,436 1,436 1,436 1,436

Rihand-I 2,337 2,337 2,337 2,337 2,337 2,337 2,337 2,337 2,337 2,337 2,337 2,337

Rihand-II 2,781 2,781 2,781 2,781 2,781 2,781 2,781 2,781 2,781 2,781 2,781 2,781

Singrauli 6,294 6,294 6,294 6,294 6,294 6,294 6,294 6,294 6,294 6,294 6,294 6,294

Tanda 2,830 2,830 2,830 2,830 2,830 2,830 2,830 2,830 2,830 2,830 2,830 2,830

Unchahar-I 1,941 1,941 1,941 1,941 1,941 1,941 1,941 1,941 1,941 1,941 1,941 1,941

Unchahar-II 1,166 1,166 1,166 1,166 1,166 1,166 1,166 1,166 1,166 1,166 1,166 1,166

Unchahar-III 590 590 590 590 590 590 590 590 590 590 590 590

Jhajjar TPS 287 287 287 287 287 287 287 287 287 287 287 287

Barh I U#1 - - 336 475 474 474 474 475 474 474 474 475

Barh 2 U#1 - - - 69 329 329 329 330 329 329 329 330

Barh I U#2 - - - 417 474 474 474 475 474 474 474 475

Barh I U#3 - - - - 415 474 474 475 474 474 474 475

Barh 2 U#2 - - - - 289 329 329 330 329 329 329 330

Rihand III 217 891 891 894 891 891 891 894 891 891 891 894

N Karanpura - - - - - - - 363 363 363 363 364

N Karanpura - - - - - - - 242 363 363 363 364

N Karanpura - - - - - - - 120 363 363 363 364 Tanda Expansion - - - - - - - 2,258 2,711 2,711 2,711 2,719

Tanda Expansion - - - - - - - 1,352 2,711 2,711 2,711 2,719

Tapovan Hydro - - - - 32 392 392 393 392 392 392 393

Lohari Nagpala - - - - 168 454 454 456 454 454 454 456

Koldam - - - 607 768 768 1,026 1,194 1,259 1,259 1,259 1,263 Bilhaur Thermal Project U#1

- - - - - 2,574 2,581 2,588 2,581 2,581 2,581 2,588




Bilhaur Thermal Project U#2

- - - - - 1,492 2,581 2,588 2,581 2,581 2,581 2,588

TOTAL NTPC 25,743 26,417 26,753 27,986 29,365 34,176 35,530 40,057 42,274 42,274 42,274 42,320

Chamera I 602 602 602 602 602 602 602 602 602 602 602 602

Chamera II 480 480 480 480 480 480 480 480 480 480 480 480

Chamera III 106 160 160 160 160 160 160 160 160 160 160 160

Dhauliganga 369 369 369 369 369 369 369 369 369 369 369 369

Dulhasti 695 695 695 695 695 695 695 695 695 695 695 695

Salal 270 270 270 270 270 270 270 270 270 270 270 270

Sewa II 116 116 116 116 116 116 116 116 116 116 116 116

Tanakpur 111 111 111 111 111 111 111 111 111 111 111 111

Uri 619 619 619 619 619 619 619 619 619 619 619 619

Uri II - - 210 210 210 210 210 210 210 210 210 210

Parwati III 32 393 393 394 393 393 393 394 393 393 393 394 Parwati II Hydro - - - - - 50 151 152 151 151 151 152

Parwati II Hydro - - - - - - 151 152 151 151 151 152

Parwati II Hydro - - - - - - - - 151 151 151 152

Parwati II Hydro - - - - - - - - 151 151 151 152

Subhansiri Hydro - - - - - - - 440 458 458 458 459

TOTAL NHPC 3,401 3,816 4,026 4,027 4,026 4,076 4,328 4,771 5,088 5,089 5,089 5,093

NAPP 808 808 808 808 808 808 808 808 808 808 808 808 RAPP B(III& IV) 606 606 606 606 606 606 606 606 606 606 606 606

RAPP C (V & VI) 857 857 857 857 857 857 857 857 857 857 857 857

TOTAL NPCIL 2,270 2,270 2,270 2,270 2,270 2,270 2,270 2,270 2,270 2,270 2,270 2,270

Tehri 1,276 1,276 1,276 1,276 1,276 1,276 1,276 1,276 1,276 1,276 1,276 1,276

Koteshwar 489 573 1,027 1,028 1,027 1,027 1,027 1,028 1,027 1,027 1,027 1,028




Khurja Thermal Project U#1

- - - - - - - 2,581 2,581 2,581 2,581 2,588

Khurja Thermal Project U#2

- - - - - - - 1,499 2,581 2,581 2,581 2,588

TOTAL THDC 1,765 1,849 2,303 2,304 2,303 2,303 2,303 6,384 7,465 7,465 7,465 7,480

Rosa 7,059 7,059 7,059 7,059 7,059 7,059 7,059 7,059 7,059 7,059 7,059 7,059

Rosa II - - - - - - - - - - - -

Vishnuprayag 1,555 1,555 1,555 1,555 1,555 1,555 1,555 1,555 1,555 1,555 1,555 1,555 Karcham Wangtoo 160 160 160 160 160 160 160 160 160 160 160 160

Srinagar Hydro - - 251 994 1,005 1,005 1,005 1,007 1,005 1,005 1,005 1,007

Anpara C 3,827 3,827 6,807 6,825 6,807 6,807 6,807 6,825 6,807 6,807 6,807 6,825 Bajaj Hindustan 1,683 2,854 2,854 2,862 2,854 2,854 2,854 2,862 2,854 2,854 2,854 2,862

Bara - - 11 5,802 11,552 11,552 11,552 11,583 11,552 11,552 11,552 11,583

Karchana - - - - - 939 7,691 7,722 7,701 7,701 7,701 7,722 Murka Thermal Project Near Bargarh, Chitrakoot

- - - - - - - - 2,283 3,444 3,444 3,453

Auraiya Thermal Project, Auraiya

- - - - - - - - 829 1,435 1,435 1,439

Farrukhabad Thermal Project

- - - - - - - - - - - -

Lalitpur Thermal Project

- - 316 6,414 11,552 11,552 11,552 11,583 11,552 11,552 11,552 11,583

Bhoganipur Thermal Project, Ramabai Nagar

- - - - - - - - - 3,829 3,851 7,722




Bhoganipur Thermal Project (II) , Ramabai Nagar

- - - - - - - - - - 2,875 7,722

Bargarh Thermal Project, Chitrakoot

- - - - - - - - - 1,043 4,261 6,435

Sandila Thermal Project

- - - - - - - - - - - 2,885

Ghazipur Thermal Project

- - - - - - - - - - - -

TOTAL IPP/PRIVATE 14,283 15,454 19,012 31,671 42,542 43,481 50,233 50,357 53,356 59,994 66,108 80,014

Naptha Jhakri 1,153 1,153 1,153 1,153 1,153 1,153 1,153 1,153 1,153 1,153 1,153 1,153

Rampur Hydro - - 299 313 312 312 312 313 312 312 312 313

Tala (PTC) 181 181 181 181 181 181 181 181 181 181 181 181

ER Power 687 687 687 687 687 687 687 687 687 687 687 687

Solar 12 14 16 18 21 24 28 32 37 42 49 56

Non Conventional Sources

2,650 2,650 2,650 2,650 2,650 2,650 2,650 2,650 2,650 2,650 2,650 2,650

CPP 214 214 214 214 214 214 214 214 214 214 214 214 Unscheduled Interchange 3,035 720 365 365 365 365 365 365 365 365 365 365

Open Access - - - - - - - - - - - -

Bilateral Agreement & Others

1,163 1,163 548 548 548 548 548 548 548 548 548 548

IEX/PEX 1,420 1,080 730 730 730 730 730 730 730 730 730 730

TOTAL BILATERAL/UI/OTHERS

10,516 7,863 6,844 6,860 6,862 6,865 6,869 6,874 6,877 6,883 6,889 6,897

Sasan 70 1,779 3,319 3,472 3,462 3,462 3,462 3,472 3,462 3,462 3,462 3,472




TOTAL UMPP 70 1,779 3,319 3,472 3,462 3,462 3,462 3,472 3,462 3,462 3,462 3,472 GRAND TOTAL 76,949 85,063 96,988 1,13,568 1,30,127 1,42,964 1,57,756 1,72,572 1,83,731 1,94,281 2,00,642 2,14,721



7.3 ENERGY BALANCE

Based on the aforementioned energy sales forecast, system level energy availability and the projected trajectory of transmission, the Discom wise energy balance is provided in the table below:

Table 40: Energy Balance (MU)

Particulars FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24

Energy Requirement/Availability (MU)

Meerut 23526 26037 29636 34681 39377 43289 48476 53286 57154 60905 63525 68367

Agra 17139 18276 20694 24090 27719 30484 33280 36414 38770 41018 42350 45427

Lucknow 13562 15736 17937 20954 24340 26866 28994 31593 33483 35248 36259 38653

Varanasi 16594 18444 21429 25461 29557 32639 36239 39769 42346 44732 46015 49205

Kesco 3592 3639 4055 4721 5038 5288 6077 6504 6766 6988 7045 7366

Bulk 2536 2930 3236 3660 4096 4399 4690 5007 5211 5390 5448 5703

Total 76949 85062 96987 113567 130127 142965 157756 172573 183730 194281 200642 214721

Energy Available for Transmission & Inter / Intra State Transmission Losses

Total Inter & intra State Transmission Losses (%)

5.26% 5.14% 5.13% 5.12% 5.11% 5.10% 5.09% 5.08% 5.07% 5.06% 5.05% 5.04%

Periphery Loss (Upto inter connection Point)

2.11% 2.10% 2.09% 2.08% 2.07% 2.06% 2.05% 2.04% 2.03% 2.02% 2.01% 2.00%

Energy Available for Transmission (MU)

75326 83276 94961 111206 127433 140019 154522 169052 180001 190357 196609 210427

Transmission Losses (%)

2.60% 2.59% 2.58% 2.57% 2.56% 2.55% 2.54% 2.53% 2.52% 2.51% 2.50% 2.49%

Input Energy Requirement at Discom Level

Meerut 22288 24699 28116 32905 37365 41081 46008 50579 54257 57823 60317 64921



Particulars FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24

Agra 16238 17336 19633 22857 26302 28929 31586 34564 36805 38943 40211 43138

Lucknow 12849 14927 17017 19882 23096 25496 27519 29988 31785 33465 34428 36705

Varanasi 15722 17496 20330 24158 28047 30974 34394 37748 40199 42469 43691 46725

Kesco 3403 3452 3847 4479 4781 5018 5768 6173 6423 6635 6689 6994

Bulk 2402 2780 3070 3473 3887 4175 4451 4753 4947 5117 5173 5416

Total 72902 80691 92012 107753 123477 135673 149726 163805 174416 184451 190510 203899

Distribution Losses (%)

Meerut 26.00% 23.00% 21.00% 19.00% 17.00% 15.00% 13.00% 11.00% 10.00% 10.00% 10.00% 10.00%

Agra 30.51% 27.55% 24.55% 21.55% 18.55% 15.55% 13.55% 11.55% 10.55% 10.55% 10.55% 10.55%

Lucknow 24.00% 23.00% 21.00% 19.00% 17.00% 15.00% 13.00% 11.00% 10.00% 10.00% 10.00% 10.00%

Varanasi 23.00% 22.00% 20.00% 18.00% 16.00% 14.00% 12.00% 10.00% 9.00% 9.00% 9.00% 9.00%

Kesco 24.00% 23.00% 21.00% 19.00% 17.00% 15.00% 13.00% 11.00% 10.00% 10.00% 10.00% 10.00%

Total 25.05% 22.97% 20.84% 18.70% 16.57% 14.43% 12.50% 10.57% 9.60% 9.61% 9.62% 9.62%

Consumer Sales/Tradable Energy (MU)

Meerut 16493 19018 22211 26653 31013 34919 40027 45016 48831 52041 54285 58429

Agra 11284 12560 14813 17931 21423 24431 27306 30572 32922 34834 35969 38587

Lucknow 9765 11494 13443 16104 19170 21671 23941 26689 28607 30118 30985 33035

Varanasi 12106 13647 16264 19809 23559 26638 30267 33973 36581 38647 39759 42519

Kesco 2586 2658 3039 3628 3968 4265 5018 5494 5780 5971 6020 6295

Bulk 2402 2780 3070 3473 3887 4175 4451 4753 4947 5117 5173 5416

Total Sales 54636 62157 72841 87599 103020 116099 131011 146497 157669 166728 172192 184281



7.4 INVESTMENT PLAN AND ITS FINANCING

The thrust of the capital investment plan is to achieve aggressive loss reduction through technology intervention, process and efficiency improvement while maintaining reliable distribution system and quality of supply to consumer. The initiatives to be undertaken by the Discoms involve following activities:

i. Rural Feeder Separation: The Discoms have undertaken rural feeder separation programme to ensure seamless 8 hour supply to the agriculture sector.

ii. R-APDRP – The R-APDRP programme spans from data acquisition at distribution level till monitoring of results of steps taken to provide an IT backbone and strengthening of the electricity distribution system across the country under the programme. The project under the scheme shall be taken up in two parts. Part-A shall include the project for establishment of base line data and IT application for energy accounting /auditing and IT based consumer service centre. Part-B shall include regular distribution strengthening projects. The activities covered under each part are as follows:

Part -A of the scheme essentially covers the application of information technology in distribution utilities across the country. The scheme shall involve implementation of IT modules for data acquisition, new connections/disconnection, energy accounting & audit, network analysis management, Maintenance management, Asset management, MIS, metering, billing, collection etc. The programme also encompasses implementation of SCADA/DMS, GIS based Consumer Indexing & Asset mapping etc. This entire exercise is being aimed to establish Base line Data collection system for the distribution utilities through which they would be able to capture AT&C losses in a precise manner without manual intervention and also to plan & implement corrective measures in Part B

Part-B of the scheme covers system strengthening, improvement and augmentation of distribution system. This shall involve:

• Identification of high loss areas

• Preparation of investment plans for identified areas

• Implementation of plan

• Monitoring of Losses

iii. Laying of Aerial Bunch Conductors – Replacement of the overhead bare conductors by aerial bunch conductors which are less theft prone.

iv. Construction of new and enhancement of capacity of existing 33kV/11kV substations to meet the increased load demand and ensuring reliable supply, prevention of frequent failures due to overloading and reduction of technical losses.



v. Addition of Distribution Transformers

vi. Replacement of worn-out poles and installation of new poles.

vii. Installation of new meters including double metering of big ticket consumers

viii. Electrification of balance villages under the RGGVY scheme

ix. Energisation of Private Tubewells with power efficient pumps

x. Electrification works under Dr. Ambedkar Gram Sabha Vikas Yojana under which the majras of the Gram Sabha are electrified.

xi. Distribution Automation: It is envisaged that 33kVand 11kV feeders shall be automated through distribution SCADA system in phases to monitor automatically the operation of feeders for over loading of feeders, tripping etc.

Together with the feeder separation program, installation of HVDS systems and upgrading of distribution system would result in energy efficiency improvement, commercial loss reduction and associated revenue increase for the distribution companies.

Table 41: Distribution Investment Plan (Rs Crore)

Plan FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

Meerut Discom 569 951 1,149 1,173 1,350 1,563 1,766 1,587 1,780 1,995 2,236 2,506 2,808

Agra Discom 402 534 601 401 482 580 651 729 818 917 1,027 1,151 1,290

Lucknow Discom 393 589 664 448 539 648 727 815 914 1,024 1,148 1,287 1,442

Varanasi Discom 444 608 716 637 766 921 1,033 1,158 1,299 1,456 1,632 1,829 2,049

KESCO - 40 41 42 42 43 44 45 46 47 48 49 50 Total Investment Plan 1,807 2,721 3,171 2,700 3,180 3,756 4,221 4,335 4,855 5,438 6,091 6,822 7,640

Financing Plan

State Govt Equity 1,807 1,600 2,000 2,400 2,880 3,456 3,871 4,335 4,855 5,438 6,091 6,822 7,640

Loans from FI 0 100 150 300 300 300 350 0 0 0 0 0 0 R-APDRP A 242 242 - - - - - - - -

R-APDRP B 778 778 - - - - - - - - Total Financing Plan 1,807 2,721 3,171 2,700 3,180 3,756 4,221 4,335 4,855 5,438 6,091 6,822 7,640

7.5 REGULATORY MEASURES AND TARIFF INCREASES



The tariff order for FY 2012-13 was issued by the UPERC on 19th October 2012 wherein tariff revision of around 21% was approved for the distribution companies. The ARR Petition and the proposal for tariff revision (around 9%) for FY 2013-14 has already been filed by the distribution companies and the same is under consideration by the UPERC. The UPERC has approved the Fuel and Power Purchase Cost Adjustment (FPPCA) formula and such adjustment can be claimed by the distribution companies with effect from 1st January 2013 on a quarterly basis.

Currently the determination of distribution tariff is done as per the guidelines and principles contained in UP Electricity Regulatory Commission (Terms and Conditions of Determination of Distribution Tariff) Regulations, 2006. The UPERC has not yet notified Multi Year Tariff Regulations in the State. Discoms have already made an application before the State Regulator to implement Multi-Year Tariff Regulations which would facilitate the submission of Multi Year Tariff filings by the Discoms along with Annual Performance Review.

The Forum of Regulators has recommended adoption of Model Tariff Regulations for all the State Commissions. It is expected that implementation of these Regulations would go a long way in resolving issues related to viability of distribution companies. The model tariff regulations are expected to address issues related to timeliness of tariff determination process, fuel purchase adjustment, untreated gap and regulatory assets. The model regulations squarely address issues such as the process of tariff fixation at the distribution level. This, when implemented, would go a long way in resolving the critical issue of viability of the distribution companies, which is central to sustained development of the sector and in the larger interest of consumers in term of ensuing quality of supply of electricity.

RETURN ON EQUITY

As per the UPERC (Terms and Conditions of Distribution Tariff) Regulations, 2006, return on equity is allowed at the rate of 16%. However the Discoms in the ARR Petitions upto FY 2013-14 have not asked for any return on equity. The Discoms have stated that they did not want to burden the consumers by proposing return on equity as it will further increase the gap.

However going forward from FY 2014-15 onwards, the Discoms would claim the return on equity as per the stipulations in the UPERC (Terms and Conditions of Distribution Tariff) Regulations, 2006.

INTEREST ON WORKING CAPITAL

The revenue gaps in respect of past years have been acknowledged by the UPERC in the FY 2012-13 tariff order dated 19th October 2012 wherein it has stated in Para 9.3.4 of the said order that “for meeting the carrying cost of the revenue gap and liquidation of revenue gap, the Commission would be introducing a regulatory surcharge in the future once the true ups have been done and the values of revenue gaps / regulatory assets have been approved by the Commission”. The true-up petitions for the financial years 2000-01 to 2007-08 have already been filed before the UPERC and the order on the same is awaited. The distribution companies were constrained to borrow short term working capital loans from Banks and Financial Institutions like PFC, REC, etc to meet the revenue



gaps. UPPCL being the holding company also resorted to short term borrowing and overdraft facilities to meet the power purchase liabilities of the distribution companies and to avoid a default situation. Since the interest cost incurred BY UPPCL is consequent to the borrowings done on behalf of the Discoms, it is fit and prudent that such cost be loaded on to the account of the Discoms through an internal adjustment in the ratio of their respective power purchase bills during the year.

It is proposed that the Discoms would request the UPERC that such mechanism of internal adjustment of interest costs may be provided to UPPCL/Discoms as automatic pass through basis.

TARIFF INCREASES

The distribution companies have different distribution loss levels, consumer mix, financial losses, borrowings, and loss reduction trajectories. The above would result in variation in the tariff increase required in each year. In this business plan, the tariff increases for each consumer category are considered to be uniform across all Discoms; this being the consistent philosophy of the UPERC. The tariff trajectory has been set to meet the following objections:

i. Tariff rationalisation across consumer categories

ii. Compliance with the provisions of the Tariff Policy, 2006

iii. Considering service of all debts towards short term loans and power purchase dues in a timely fashion

iv. The distribution companies achieve revenue surplus by FY 2017-18

Table 42: Average Tariff Increase Considered in the Plan

Particulars FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

Average Tariff Increase 20.93% 9.03% 10.30% 8.30% 8.96% 9.93% 8.75% 8.00% 8.00% 8.00% 7.50% 7.00%

Category wise proposed average billing rate and year on year growth in billing rate are shown in tables below:



Table 43: Category wise Tariff over the Plan Period (Rs/kWh)

Consumer Category


Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Rural Domestic 1.25 2.06 2.33 2.52 3.18 4.30 5.12 6.19 6.56 7.13 7.79 8.19

Single Point 3.69 5.20 5.98 6.88 7.91 8.09 9.00 9.89 10.46 11.08 11.85 12.76

Urban Domestic 4.46 5.13 5.55 6.12 6.91 7.87 9.10 9.68 10.25 10.96 11.81 12.67

Lifeline/BPL 2.23 2.25 2.57 3.17 3.95 4.53 5.27 5.41 5.75 6.22 6.64 7.04

Rural Commercial 2.13 2.84 3.18 3.76 4.29 5.16 6.23 7.19 8.00 8.69 9.43 10.07

Urban Commercial 6.18 7.11 7.94 8.57 8.69 8.72 9.00 9.49 10.28 11.06 11.66 12.41

Public Lamps 4.97 6.13 6.81 7.83 8.27 8.70 9.03 9.40 10.29 11.12 11.84 12.64

Institutions 6.09 7.20 7.67 8.35 8.55 8.69 9.06 9.31 10.25 11.08 11.89 12.62

PTW 0.82 1.55 1.95 2.31 2.82 3.52 3.67 4.30 5.26 5.84 6.64 7.10

Small & Medium Power 6.09 6.79 7.71 8.38 8.63 8.66 9.06 9.53 10.44 11.03 11.79 12.69

Public Water Works 5.19 6.22 6.84 7.76 8.02 8.33 8.91 9.50 10.17 11.09 11.80 12.63

STW 3.56 4.57 6.08 7.47 7.88 8.58 9.01 9.50 10.30 11.25 11.98 12.49

Temporary Supply 5.22 6.98 7.57 8.49 10.70 12.66 13.47 14.26 15.15 16.10 17.17 18.23

Departmental Employees 1.68 1.74 2.59 3.14 4.13 4.73 5.54 6.25 6.69 7.17 7.67 8.06

Non-Industrial Bulk Loads 6.07 7.31 7.68 8.00 8.49 8.63 8.90 9.32 10.26 10.96 11.54 12.36

Large Industries 6.39 7.36 7.87 8.21 8.73 8.84 8.95 9.35 9.97 10.84 11.43 12.40

Railway Traction 5.74 7.73 8.27 8.44 8.44 8.53 8.96 9.41 10.34 11.37 11.83 12.72

Lift Irrigation 6.27 7.43 8.14 8.29 8.35 8.43 8.90 9.30 10.16 11.26 11.77 12.54

Bulk & Extra State 2.66 2.91 3.47 4.49 5.81 7.32 7.88 8.49 9.14 9.85 10.63 11.45

Total 4.11 5.05 5.57 6.03 6.57 7.23 7.86 8.49 9.17 9.90 10.64 11.39



Table 44: Cost Coverage (%)

Consumer Category


Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Rural Domestic 19% 29% 33% 35% 45% 60% 70% 81% 81% 81% 81% 79%

Single Point 55% 74% 83% 97% 111% 113% 120% 120% 120% 120% 120% 120%

Urban Domestic 67% 73% 77% 86% 97% 110% 120% 120% 120% 120% 120% 120%

Lifeline/BPL 33% 32% 36% 45% 56% 63% 72% 71% 71% 70% 69% 68%

Rural Commercial 32% 41% 44% 53% 60% 72% 85% 95% 99% 98% 98% 97%

Urban Commercial 93% 102% 111% 120% 120% 120% 120% 120% 120% 120% 120% 119%

Public Lamps 74% 88% 95% 110% 117% 120% 120% 120% 120% 120% 120% 120%

Institutions 91% 103% 107% 118% 120% 120% 120% 120% 120% 120% 120% 120%

PTW 12% 22% 27% 33% 40% 49% 50% 57% 65% 66% 69% 68%

Small & Medium Power 91% 97% 107% 118% 120% 120% 120% 120% 120% 120% 120% 120%

Public Water Works 78% 89% 95% 109% 113% 117% 120% 120% 120% 120% 120% 120%

STW 53% 65% 85% 105% 111% 120% 120% 120% 120% 120% 120% 120%

Temporary Supply 78% 100% 106% 120% 151% 177% 183% 188% 187% 182% 179% 175%

Departmental Employees 25% 25% 36% 44% 58% 66% 75% 82% 83% 81% 80% 77%

Non-Industrial Bulk Loads 91% 104% 107% 113% 120% 120% 120% 120% 120% 120% 120% 119%

Large Industries 96% 105% 110% 116% 120% 120% 120% 120% 120% 120% 119% 119%

Railway Traction 86% 111% 115% 119% 119% 119% 120% 120% 120% 120% 120% 120%

Lift Irrigation 94% 106% 113% 117% 118% 118% 120% 120% 120% 120% 120% 120%

Bulk & Extra State 40% 42% 48% 63% 82% 102% 107% 112% 113% 111% 111% 110%

Total 62% 72% 78% 85% 93% 101% 107% 112% 113% 112% 111% 109%



7.6 COLLECTION EFFICIENCY TRAJECTORY

Collection efficiency is one of the major efficiency parameters for a distribution company as it impacts the amount of receivables against supply of power. Currently the collection efficiency of all the Discoms together is about 81.80%. The distribution companies would achieve 100% collection efficiency by FY 2018-19.

The Discom wise trajectory of collection efficiency considered in the Plan is tabulated hereby:

Table 45: Collection Efficiency Targets

In % FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

Meerut Discom 91% 91% 94% 96% 96% 96% 96% 96% 96% 96% 96% 96% 96%

Agra Discom 76% 77% 80% 83% 89% 95% 96% 96% 96% 96% 96% 96% 96%

Lucknow Discom 78% 82% 85% 88% 92% 95% 96% 96% 96% 96% 96% 96% 96%

Varanasi Discom 67% 74% 85% 88% 92% 95% 96% 96% 96% 96% 96% 96% 96%

KESCO 84% 85% 88% 92% 96% 95% 96% 96% 96% 96% 96% 96% 96%

Bulk 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%

Consolidated Discoms 83% 83% 88% 91% 94% 96% 96% 96% 96% 96% 96% 96% 96%



8. LOAN RESTRUCTURING SCHEME

The total outstanding liabilities towards power purchase dues (more than 60 days) and short term working capital loans as on 31st March 2012 are as per the table below:

Table 46: Outstanding Loans and Power Purchase Liabilities (> 60days) as on 31.03.12

Particulars Outstandings (Rs Crore) Short Term Working Capital Loans from Banks 16,126.56 Short Term Working Capital Loans from REC 1,610.44 Power purchase Dues (more than 60 days) 15,554.00 Total 33,291.00

Under the current scheme formulated in this plan, the short term working capital loans from REC are not being restructured.

The total eligible amount for restructuring under the GoI scheme is furnished below based on the information certified by the Discoms:

Table 47: Short Term Liabilities to be restructured (Rs Crore)

Particulars Eligible liabilities as per Discoms

Short Term Loans 16,126.56 Power purchase liability beyond 60 days 15,554.00 Total 31,680.56

As per the scheme formulated by the GoI, 50% of the loan liabilities and outstanding power purchase liabilities as on 31st March, 2012 subject to a ceiling of accumulated losses have to be taken over by the GoUP. The loans and accumulated liabilities are totalling to Rs. 31,680.56 crore, whereas the accumulated losses are to the tune of Rs. 33,600 crore. Therefore, 50% of these accumulated liabilities is i.e., Rs. 15,840 crore are eligible to be taken over by the GoUP.

8.1 IDENTIFICATION OF LOANS AND LIABILITIES FOR RESTRUCTURING

Cut-off date announced by GoI for considering the loans is March 31, 2012; however the last date of applying for the scheme is December 31, 2012 and the date of announcement is October 5, 2012. Due to the time gap between the cut-off date and announcement date, most of the short term liabilities as per the definition of the scheme would have changed from March 31, 2012 to December 31, 2012 i.e. short term loans outstanding as on March 31, 2012 would have been replaced by new short term loans and few of the loans would have been repaid. Hence it is interpreted that “only quantum of loans as on March 31, 2012 shall be considered for restructuring and the actual loans to be restructured would be considered as on the date of restructuring”

However considering that there is lack of clarity on the aforementioned issue, the current business plan considers the short term liabilities as on 31st March 2012. The business plan projections would be reviewed if the GoI allows the restructuring of loans as on the date of restructuring.



8.2 LOANS TO BE TAKEN OVER BY GOVERNMENT OF UTTAR PRADESH

As per the FRP scheme, Government of Uttar Pradesh has indicated that they shall take over the loans of the Discoms in four years starting from the FY 2015. Bonds shall be deep discount bonds at rate equivalent to the current borrowing rate of Government of Uttar Pradesh. Further it is envisaged that Government of India shall reimburse 25% of the principal amount for the loans repaid by Government of Uttar Pradesh.

9. RECOMMENDATIONS ON FINANCING AND LOAN RECAST STRATEGY

9.1 TRANSITIONAL LOANS REQUIRED

Based on the business plan projections, it is estimated that the Discoms require total operational working capital assistance in the form of new loans to the extent of Rs 26,823 crore. A part of these loans have already been taken by the Discoms in FY 2012-13 to the tune of Rs. 8,560 crore. The breakup of this requirement is as follows:

Table 48: Additional Working Capital Loans during the transition period

Particulars 2012-13 2013-14 2014-15 2015-16 Total Additional Working

Capital Loans to fund operational losses

9,899 7,042 6,123 3,759 26,823

• A transition requirement of about Rs 15,554 crore to pay outstanding power purchase, fuel and other bills.

• The moratorium period for the additional working capital loans borrowed (transition finance loans) will be 3 years and would subsequently be repaid over 7 years.

• The moratorium period for the loan borrowed for the payment of power purchase liabilities will be 3 years and would subsequently be repaid over 7 years.

• Interest rate for the restructured loans would be negotiated to reflect the appropriate interest rate for a government backed loan. For the purpose of the financial projections in FRP, a higher interest rate is assumed for the restructured loans.



9.2 RECOMMENDATION ON RESTRUCTURING OF LOANS

The following are the recommendations in restructuring the loans:

i. As stipulated by Government of India in the scheme of restructuring of loans for State Discoms, the following arrangement is required:

a) Conversion of short-term loans from different banks/ financial institutions into long- term loans.

b) Conversion of multiple banking arrangements to consortium banking arrangement

c) Discoms to issue bonds with GoUP guarantee to the extent of a uniform percentage of identified loans to match a total of Rs.15,840 crore.

d) Government of Uttar Pradesh to take over bonds issued by the Discoms during the next 4 years starting from FY 2014-15.

ii. The following support from Government of Uttar Pradesh should be requested:

a) Equity support of Rs. 51,388 crore during the period FY 2012-13 to FY 2023-24 towards capital expenditure in the distribution companies.

b) Subsidy support of Rs. 47,446 crore during the period FY 2012-13 to FY 2023-24 as per the Table below:

Table 49: Discom wise Subsidy Support from GoUP

Discom FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

Meerut 1,054 1,320 1,335 1,452 1,579 2,114 2,242 1,345 448 320 320 228 228

Agra 688 834 848 924 1,006 1,352 1,435 855 275 192 192 132 132

Lucknow 741 937 944 1,028 1,120 1,508 1,601 951 301 208 208 141 141

Varanasi 1,365 1,784 1,834 2,013 2,208 3,027 3,223 1,850 476 280 280 139 139

Kesco - - - - - - - - - - - - -

UPPCL 443 - - - - - - - - - - - -

Total 4,291 4,875 4,961 5,417 5,913 8,000 8,500 5,000 1,500 1,000 1,000 640 640

The subsidy would be provided directly to each Discom. The overall subsidy is allocated to each Discom on the basis of their proportionate share of connected load of Rural Domestic and Private Tubewells (Agriculture) consumers.



c) The release of subsidy would be based on feeder/distribution transformer meter data.

d) 100% retention of Electricity Duty allowed to Discoms.

e) State Govt Loans amounting to Rs. 1,719 crore to be converted into equity or repayment to be deferred.

f) GoUP to ensure regular payment of electricity dues from Government Department and Corporations.

g) Guarantee and/or letter of comfort for the loans required for transitional period as per the cash flows of the company.

h) Full administrative support to be provided to Discoms to prevent theft of electricity.

iii. The Discoms should initiate the regulatory process to request UPERC for either “removal of difficulties” or “amendment of regulations” to ensure that the following critical issues are addressed:

a) In principle approval of the FRP.

b) Adoption of the performance improvement trajectories stated in the FRP.

c) Request to allow the Return on Equity at the rate approved in the Tariff Regulations.

iv. Since GoI framework requires strict adherence to the FRP, the Discoms should ensure fiscal discipline and operational performance by the following steps:

a) Tight control of finances, computerization of financial control by implementing an ERP system is recommended.

b) Optimal power procurement by proper planning.

c) Periodic update of power procurement plan. The power procurement plan should be reviewed at updated periodically. If any of the planned capacities are expected to be delayed, the Discoms should take necessary action to identify alternate capacities. For example, if any of the State’s own generation projects are getting delayed due to reasons such as environmental clearances; long term procurement bids may be initiated.

d) Assess baseline level of losses based on a scientific study as directed by GoI framework and by UPERC.

e) Establish an effective energy audit mechanism

f) Develop loss reduction strategy focusing on high loss areas identified by energy audit mechanism



10. SUMMARY OF PROJECTIONS The additional revenue generated from various measures suggested in the FRP has been depicted in the table below:

Table 50: Additional Revenue Generated due to Measures Considered in FRP (Rs Crore)

Parameter FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

Additional Revenue from Increase in Tariff 4,516 2,947 3,182 4,520 6,492 7,083 7,946 9,596 11,150 11,943 12,378

Revenue on Sale of Additional Units on base rate (without tariff hike)

2,206 4,144 6,713 7,815 6,882 9,030 9,982 8,323 8,644 5,596 13,259

Increase in Revenue due to improvement in parameters 2,191 2,319 3,019 2,429 2,908 2,271 2,694 1,552 4 11 19

Based on the business plan projections assumptions and key assumptions regarding the financial projections, the Income Statement and Cash Flow Statement for the consolidated Discoms including UPPCL is provided in the Tables below

Table: Meeting the Gap: ACS vs ARR in Rs/kWh

Parameter FY 11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

Average Cost of Service 5.87 6.35 6.67 6.99 7.17 7.09 7.10 7.15 7.36 7.59 8.10 8.82 9.60 10.40

Average Revenue Billed 3.59 3.44 4.11 5.05 5.57 6.03 6.57 7.23 7.86 8.49 9.17 9.90 10.64 11.39

Gap 2.29 2.91 2.56 1.94 1.60 1.06 0.52



Table 51: Consolidated Discoms including UPPCL – Income Statement (Rs Crore)

Particulars FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 INCOMES Revenue from Sale of Power 22459 31396 40580 52853 67724 83905 102966 124347 144535 165062 183257 209855

GoUP Subsidy 4875 4961 5417 5913 8000 8500 5000 1500 1000 1000 640 640 Other Misc Receipts 129 135 142 149 157 164 173 181 190 200 210 220

Support from GoUP 0 1663 1557 1142 726 310 0 0 0 0 0 0

Total Incomes 27463 38155 47696 60057 76607 92879 108139 126028 145725 166262 184107 210715 EXPENSES Power Purchase Cost 29609 34317 40509 49334 59600 69508 81536 95848 110684 126962 143566 168120

O&M Expenses 3152 3531 3954 4429 5182 5907 6734 7677 8982 10509 12611 15133 Provision for Depreciation 782 891 1011 1140 1283 1446 1625 1823 2042 2287 2562 2873

Bad Debts 780 930 1074 1199 1286 1374 1453 1562 1703 1872 2070 2290 Total Operating Expenses 34323 39669 46548 56103 67352 78236 91349 106910 123410 141630 160810 188417

Less: Expenses Capitalised 447 500 560 627 734 837 954 1088 1273 1489 1787 2144

Net Income before Interest -6413 -1014 1708 4581 9989 15480 17744 20207 23588 26121 25085 24443

Project Loans 314 282 258 245 242 230 204 178 155 128 102 86 Working Capital Loans 3133 5702 7524 8038 7835 6963 5703 4633 3514 2396 1454 813

Less: IDC 14 15 17 20 23 23 21 19 17 15 14 13 Finance Charges 53 58 66 78 89 98 108 118 125 133 137 147 Interest and Finance Charges 3486 6028 7831 8340 8144 7268 5993 4910 3777 2641 1680 1033

Revenue Surplus/(Gap) (9899) (7042) (6123) (3759) 1845 8212 11751 15297 19811 23480 23405 23410

Income Tax 0 0 0 0 0 0 1405 2156 3375 6806 6760 6886 Profit after Tax (9899) (7042) (6123) (3759) 1845 8212 10346 13140 16436 16674 16646 16524



Table 52: Consolidated Discoms including UPPCL – Cash Flow Statement (Rs Crore) Particulars FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 CASH INFLOWS Sale of Power 18676 27589 36999 49914 64678 80960 99343 119965 139435 159233 176783 202438 Subsidy Support 4875 4961 5417 5913 8000 8500 5000 1500 1000 1000 640 640 Misc Receipts 129 135 142 149 157 164 173 181 190 200 210 220 Project Loans 1121 1171 300 300 300 0 0 0 0 0 0 0 Additional Loan / Support for Payment of PP dues

15,554

Support from GoUP for Repayment of Existing WC Loan

0 1663 1557 1142 726 310 0 0 0 0 0 0

TOTAL 24801 51073 44416 57417 73860 89934 104516 121646 140625 160433 177633 203298 CASH OUTFLOWS Power Purchase 29609 34317 40509 49334 59600 69508 81536 95848 110684 126962 143566 168120 O&M 3152 3531 3954 4429 5182 5907 6734 7677 8982 10509 12611 15133 Repayment of Other than Bank Loans 1106 723 555 455 386 375 370 346 337 391 335 209

Interest on Loans Other than Banks 404 311 263 245 242 230 204 178 155 128 102 86

Repayment of Existing WC Loans 0 0 0 1152 1152 1152 1152 1152 1152 1152 0 0

Interest on Existing WC Loans 2298 1996 1890 1596 1173 806 544 389 233 78 0 0

Repayment of Additional WC Loans 0 278 78 1590 4233 5494 6588 7325 7325 7325 5813 3948

Interest on Additional WC Loans 745 3678 5629 6442 6663 6157 5158 4244 3281 2318 1454 813

Finance Charges 53 58 66 78 89 98 108 118 125 133 137 147 Payment of PP Dues 15,554 Capex 1121 1171 300 300 300 - - - - - - - Income Tax - - - - - - 1,405 2,156 3,375 6,806 6,760 6,886 TOTAL CASH OUTFLOWS 38488 61617 53244 65621 79020 89727 103799 119433 135649 155802 170778 195342

CASH SURPLUS/(GAP) (13687) (10544) (8828) (8203) (5159) 207 717 2213 4976 4631 6855 7956

The summary of the key financial statements for each distribution companies including UPPCL has been presented in Annex-1



11. MONITORING OF THE BUSINESS PLAN

The most important aspect of any business plan is its implementation and thereby monitoring of key activities is a pre-requisite. In this regard, two committees at State and Central levels respectively along with third party verifier are being constituted for effective implementation of the scheme. Also, the entire restructuring program shall be done under the overall monitoring of the Department of Financial Services for effective implementation in a time bound manner.

The structure and composition of the State Level Monitoring Committee (SLMC) and Central Level Monitoring Committee (CLMC) has been defined in the Scheme itself. The SLMC would review the progress on a quarterly basis till the turnaround of the Discoms and shall submit its report to the CLMC. The CLMC would review all the proposals and thereafter submit all the proposals received from the States to avail the benefits under the Transitional Finance Mechanism for further consideration by the Distribution Division in the Ministry of Power.

In addition to the above framework, considering the existing situation there is a dire need of assigning certain key performance indicators at the micro level of the distribution companies in addition to the monitoring mechanism defined under the Scheme.

Key Performance Indicators (KPIs) can be defined as the measures that focus on the aspects or areas of organisation’s performance that are critical or vital for the ongoing and future success of the business plan projections. In order to ensure that the designated objectives are attained, KPIs should be specific, measurable, agreed to, realistic, timely and aligned with the plan targets.

Key Performance indicators like distribution loss trajectories, collection efficiency trajectory, average tariff hikes, etc have to be monitored on a concurrent basis and are crucial for the successful implementation of the Plan.

It is suggested that a framework for Risk Management and Corporate Monitoring Committee may be formulated. This would provide the Board of Directors an oversight mechanism for periodic reporting and refinement of business plan strategy as it is implemented. The business plan would remain a rolling document and would be used to guide business-planning decisions and updated every year in the light of developments. To keep the business plan up to date, the Discoms would update and amend the business plan in the light of any uncontrollable changes in the completion schedule of generation capacities, need for augmentation, readjusting projections and reallocating/reprioritising expenditure accordingly. The rolling business plan would also reflect the changes made in the light of regular monitoring and reporting against new performance indicators.

The turnaround of the Discoms is possible over the Plan period, with significant contributions from all the stakeholders, viz. the Discoms themselves (management & employees), GoUP (as the shareholder of the electricity sector in UP, and in providing cash support to the Discoms as envisaged), the consumers (in agreeing to bear the tariff hikes as necessary under the plan), the Regulator (in approving the tariff proposals as may be submitted by the Discoms in accordance with this Plan) and most importantly the bankers and lenders of the Discoms (by supporting the financial restructuring and turnaround plan).



ANNEX-1

FINANCIAL STATEMENTS OF MEERUT DISCOM

Table 53: Meerut Discom– Income Statement (Rs Crore)!Particulars FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 INCOMES

Revenue from Sale of Power 6,542 8140 11098 13907 17685 22206 27033 33111 39989 46805 53836 60284 69450

GoUP Subsidy Support 1,031 1320 1335 1452 1579 2114 2242 1345 448 320 320 228 228

Other Misc Receipts 10 22 23 24 25 26 27 29 30 32 33 35 37

Total Incomes 7,582 9481 12456 15383 19289 24346 29302 34484 40468 47157 54189 60546 69715

EXPENSES

Power Purchase Cost 8,847 10199 11965 14452 17441 20477 23373 27145 31394 35932 41005 46428 54373

O&M Expenses 590 621 696 779 873 1021 1164 1327 1513 1771 2072 2486 2983 Provision for Depreciation 177 246 271 307 351 403 464 530 601 678 762 857 963

Provision for Bad Debts - 115 147 171 175 166 209 246 293 350 415 491 574

Total Operating Expenses 9,613 11181 13079 15709 18840 22068 25210 29249 33801 38729 44254 50261 58892

Less: Expenses Capitalised 156 93 104 117 131 153 175 199 227 266 311 373 447

Net Income before Interest -1,811 -1606 -518 -209 580 2431 4267 5435 6893 8693 10246 10658 11270

Project Loans(Int) 184 85 85 98 119 141 148 137 126 115 105 94 85

WC Loans(Int) 24 8 1 0 0 0 0 0 0 0 0 0

Less: IDC 3 4 5 8 13 17 19 18 17 16 15 14 13

Finance Charges 0 0 0 0 0 0 0 0 0 0 0 0 0 Interest and Finance Charges 181 106 89 91 106 124 129 120 109 99 90 81 73

Revenue Surplus/(Gap) -1,991 -1712 -607 -300 474 2307 4138 5315 6784 8594 10156 10577 11198

Income Tax 1,542 2,187 2,764 3,267 3,420 3,637

Profit After Tax -1,992 -1,712 -607 -300 474 2,307 4,138 3,773 4,597 5,830 6,889 7,157 7,560



Table 54: Meerut Discom– Balance Sheet (Rs Crore)

Particulars FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FIXED ASSETS Gross Fixed Assets 5900 6385 7179 8174 9369 10779 12409 14109 15938 17946 20175 22669 25473 Accumulated Depreciation 2375 2620 2892 3199 3550 3953 4416 4947 5548 6225 6988 7845 8808

Net Fixed Assets 3525 3764 4287 4976 5820 6827 7993 9162 10390 11720 13187 14824 16666 CWIP 164 727 1191 1493 1792 2115 2445 2549 2743 3012 3344 3742 4206 TOTAL ASSETS 3690 4491 5478 6469 7612 8942 10438 11711 13134 14732 16531 18566 20872 CURRENT ASSETS Inventories 301 218 357 448 538 635 733 765 823 903 1003 1123 1262 Sundry Debtors 2301 2933 3411 3505 3330 4173 4926 5859 6991 8310 9813 11470 13372 Cash and Bank Balances 623 196 229 277 334 393 448 521 602 689 786 890 1043

Loans and Advances 2 2 2 2 3 3 3 3 3 3 3 4 4 Other Assets 833 850 867 884 902 907 3852 6575 9710 13901 18857 24058 29526 TOTAL CURRENT ASSETS 4060 4199 4867 5117 5107 6110 9963 13722 18129 23806 30463 37544 45206

TOTAL ASSETS 7750 8691 10346 11586 12718 15052 20400 25434 31263 38538 46994 56111 66078 NET WORTH Equity 2102 2811 3536 4409 5459 6721 8137 9725 11504 13499 15735 18241 21049 Retained Earnings (Losses)/ Reserves -5195 -6907 -7190 -7491 -7016 -4709 -571 3202 7799 13630 20519 27676 35237

Project Loans 895 1113 1104 1291 1468 1656 1535 1399 1261 1136 1009 886 784 Working Capital Loans 425 112 24 0 0 0 0 0 0 0 0 0 0 Govt. Loans 132 0 0 0 0 0 0 0 0 0 0 0 0 Current Liabilities and Provisions 9390 11562 12872 13377 12808 11383 11300 11108 10698 10273 9731 9308 9008

TOTAL LIABILITIES 7750 8691 10346 11586 12718 15052 20400 25434 31263 38538 46994 56111 66078



Table 55: Meerut Discom– Fund Flow Statement (Rs Crore)

Particulars FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 SOURCES Net Income after tax -1992 -1712 -607 -300 474 2307 4138 3773 4597 5830 6889 7157 7560 Add: Depreciation 177 246 271 307 351 403 464 530 601 678 762 857 963 Total Internal Resource -1815 -1466 -336 7 825 2710 4602 4303 5198 6508 7652 8014 8523

GoUP Equity 263 577 725 873 1050 1263 1416 1587 1780 1995 2236 2506 2808 Net Loan 16 74 227 163 177 189 -122 -136 -138 -125 -127 -123 -102 Total Sources -1536 -815 616 1043 2052 4162 5895 5755 6840 8378 9761 10397 11230

APPLICATION Capital Expenditure during the Year 784 1048 1258 1298 1494 1733 1959 1804 2023 2276 2561 2892 3269

Non-Cash Working Capital

Change in Current Liabilities 2743 2172 1310 505 -568 -1426 -83 -191 -410 -425 -542 -423 -299

Current Assets 498 737 634 202 -68 945 3798 3687 4325 5590 6560 6977 7509 Net increase in Non-cash Working Capital

-2245 -1435 -676 -303 501 2370 3881 3879 4736 6015 7102 7400 7809

Cash Opening Balance 698 623 196 229 277 334 393 448 521 602 689 786 890 Change in cash during the year -74 -428 34 48 57 58 56 72 81 87 97 104 152

Closing Balance 623 196 229 277 334 393 448 521 602 689 786 890 1043 TOTAL APPLICATIONS -1536 -815 616 1043 2052 4162 5895 5755 6840 8378 9761 10397 11230



FINANCIAL STATEMENTS OF AGRA DISCOM

Table 56: Agra Discom– Income Statement (Rs Crore)

Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 INCOMES

Revenue from Sale of Power 3,528 4240 6334 8286 10999 14594 18696 22850 27709 32164 36672 40831 46888

GoUP Subsidy Support 627 834 848 924 1006 1352 1435 855 275 192 192 132 132


Total Incomes 4,167 5095 7204 9233 12030 15972 20158 23734 28014 32387 36897 40998 47057

EXPENSES


O&M Expenses 538 633 709 794 890 1041 1187 1353 1542 1804 2111 2533 3040

Provision for Depreciation 150 180 201 224 247 271 299 329 363 402 445 494 550

Provision for Bad Dets - 157 192 239 289 330 343 355 373 398 428 465 507



Net Income before Interest -2,677 -4009 -3220 -3239 -2872 -1700 45 1020 1964 2830 3439 3443 3286

Interest Expenses

Project Loans 163

98 86 72 59 48 39 30 24 18 10 2 0

Working Capital Loans 20 6 1 0 0 0 0 0 0 0 0 0

Less: IDC 0 8 7 6 5 4 3 2 2 1 1 0 0

Finance Charges 0 0 0 0 0 0 0 0 0 0 0 0 0 Interest and Finance Charges charged to Operations

163 111 85 67 53 43 35 28 22 17 10 2 0

Revenue Surplus/(Gap) -2,840 -4,120 -3,305 -3,306 -2,925 -1,743 10 992 1,942 2,813 3,430 3,440 3,286

Income Tax

Profit After Tax -2,840 -4,120 -3,305 -3,306 -2,925 -1,743 10 992 1,942 2,813 3,430 3,440 3,286



Table 57: Agra Discom– Balance Sheet (Rs Crore)Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FIXED ASSETS Gross Fixed Assets 4265 4749 5325 5881 6464 7109 7829 8635 9539 10557 11705 13007 14486

Accumulated Depreciation 1397 1577 1779 2003 2250 2521 2820 3149 3513 3915 4360 4854 5404

Net Fixed Assets 2868 3172 3546 3879 4214 4588 5009 5486 6027 6642 7346 8153 9083

CWIP 573 726 864 834 873 968 1080 1209 1356 1527 1723 1952 2219 TOTAL ASSETS 3441 3897 4411 4713 5087 5557 6090 6695 7382 8169 9068 10105 11302

CURRENT ASSETS Inventories 640 218 259 250 262 291 324 363 407 458 517 586 666 Sundry Debtors 3141 3844 4783 5782 6606 6867 7099 7455 7952 8568 9301 10133 11121 Cash and Bank Balances 369 158 181 217 261 310 354 400 460 522 590 661 770

Loans and Advances 8 9 9 9 10 10 11 12 12 13 13 14 15

Other Assets 582 594 606 618 630 643 656 669 682 696 710 724 739 TOTAL C. Assets 4740 4822 5838 6877 7769 8121 8444 8899 9513 10257 11131 12118 13309

TOTAL ASSETS 8182 8719 10249 11590 12856 13678 14534 15594 16895 18426 20200 22223 24611 NET WORTH Equity 2622 2976 3309 3710 4192 4772 5423 6152 6970 7886 8913 10065 11355 Retained Earnings (Losses)

-9459 -13579 -16641 -19948 -22873 -24616 -24606 -23614 -21672 -18859 -15430 -11989 -8704

Project Loans 1029 1163 1078 941 802 682 569 458 374 288 151 73 31 W. Capital Loans 404 85 17 0 0 0 0 0 0 0 0 0 0

Govt. Loans 89 0 0 0 0 0 0 0 0 0 0 0 0 Current Liabilities and Provisions

13497 18074 22487 26887 30735 32840 33148 32598 31224 29111 26565 24074 21929




Table 58: Agra Discom– Fund Flow Statement (Rs Crore)

Particulars FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

SOURCES

Net Income after tax -2840 -4120 -3305 -3306 -2925 -1743 10 992 1942 2813 3430 3440 3286

Add: Depreciation 150 180 201 224 247 271 299 329 363 402 445 494 550 Total Internal Resource -2690 -3940 -3104 -3082 -2678 -1472 309 1321 2305 3215 3875 3934 3835

GoUP Equity 307 265 333 401 482 580 651 729 818 917 1027 1151 1290

Net Loan 369 -2 89 -153 -139 -120 -113 -111 -84 -86 -136 -78 -42

Total Sources -2013 -3677 -2682 -2835 -2335 -1011 846 1940 3039 4045 4766 5008 5083

APPLICATION Capital Expenditure during the Year 638 636 715 526 621 741 832 935 1051 1189 1345 1531 1746


Change in Current Liabilities 3340 4576 4413 4400 3848 2104 308 -550 -1374 -2112 -2547 -2490 -2145

Current Assets 688 474 993 1003 848 303 279 408 554 682 806 916 1083 Net increase in Non-cash Working Capital

-2652 -4102 -3420 -3398 -3000 -1801 -29 959 1928 2795 3353 3407 3228

Cash

Opening Balance 369 369 158 181 217 261 310 354 400 460 522 590 661 Change in cash during the year 0 -211 23 37 44 49 44 46 60 62 68 70 109

Closing Balance 369 158 181 217 261 310 354 400 460 522 590 661 770 TOTAL APPLICATIONS -2013 -3677 -2682 -2835 -2335 -1011 846 1940 3039 4045 4766 5008 5083



FINANCIAL STATEMENTS OF LUCKNOW DISCOM Table 59: Lucknow Discom– Income Statement (Rs Crore)

Particulars FY 12 FY 13

FY 14

FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24

INCOMES Revenue from Sale of Power 3,316 4278 5929 7840 10286 13268 16292 19582 23423 27143 30873 34015 38800

GoUP Subsidy Support 658 937 944 1028 1120 1508 1601 951 301 208 208 141 141


Total Incomes 3,992 5236 6896 8892 11432 14802 17921 20561 23754 27383 31114 34191 38978

EXPENSES


O&M Expenses 673 734 822 920 1031 1206 1375 1567 1787 2090 2446 2935 3522

Provision for Depreciation 121 159 189 218 246 275 306 341 379 423 471 527 589

Provision for Bad Debt 39 139 172 208 244 273 290 306 327 353 386 424 465



Net Income before Interest -1,624 -1,500 -1,322 -985 -391 658 1,740 2,436 3,009 3,877 4,549 4,354 4,306

Interest Expenses

Project Loans 152

52 45 35 27 22 18 15 13 10 7 3 0

W C Loans 21 6 1 0 0 0 0 0 0 0 0 0

Less: IDC 11 1 1 1 1 1 0 0 0 0 0 0 0

Finance Charges 0 0 0 0 0 0 0 0 0 0 0 0 0

Interest and Finance Charges 102 72 50 36 26 21 18 15 12 10 7 3 0

Revenue Surplus/(Gap) -1765 -1572 -1371 -1021 -418 637 1722 2421 2997 3867 4542 4351 4305

Income Tax 740 1,523 1,475 1,474 Profit After Tax -1765 -1,572 -1,371 -1,021 -418 637 1,722 2,421 2,997 3,127 3,019 2,876 2,831



Table 60: Lucknow Discom– Balance Sheet (Rs Crore) Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY23 FY24 FIXED ASSETS Gross Fixed Assets 3610 4349 5107 5797 6489 7236 8058 8971 9992 11139 12434 13901 15570 Accumulated Depreciation 1278 1438 1627 1845 2091 2365 2671 3012 3391 3813 4285 4812 5401



TOTAL ASSETS 14123 15164 16670 17913 19127 20242 21398 22748 24333 26151 29216 31549 35239 NET WORTH Equity 2780 3219 3592 4040 4579 5227 5954 6769 7683 8707 9856 11142 12585 Retained Earnings (Losses)/ Reserves -5651 -7224 -8163 -9184 -9602 -8965 -7243 -4823 -1826 1302 4321 7197 10028

Project Loans 743 918 708 604 520 449 383 322 263 203 142 67 31 Working Capital Loans 404 86 17 0 0 0 0 0 0 0 0 0 0

Govt. Loans 142 0 0 0 0 0 0 0 0 0 0 0 0 Current Liabilities and Provisions 15704 18164 20517 22453 23630 23531 22304 20479 18213 15938 14898 13143 12595




Table 61: Lucknow Discom– Funds Flow Statement (Rs Crore)

Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 SOURCES Net Income after tax -1765 -1572 -1371 -1021 -418 637 1722 2421 2997 3127 3019 2876 2831 Add: Depreciation 121 159 189 218 246 275 306 341 379 423 471 527 589 Total Internal Resource -1644 -1413 -1182 -803 -172 912 2028 2761 3376 3550 3491 3402 3421

GoUP Equity 178 296 372 448 539 648 727 815 914 1024 1148 1287 1442 Net Loan -143 46 152 -120 -85 -71 -66 -61 -59 -59 -62 -74 -36 Total Sources -1609 -1071 -658 -475 283 1489 2689 3515 4231 4515 4577 4615 4826 APPLICATION Capital Expenditure during the Year 490 700 789 587 694 830 934 1050 1182 1338 1515 1727 1970


Change in Current Liabilities 2424 2459 2353 1937 1177 -99 -1227 -1824 -2267 -2274 -1041 -1755 -548

Current Assets 357 1154 881 845 730 519 493 607 736 856 1970 1080 2227 Net increase in Non-cash Working Capital

-2068 -1305 -1473 -1091 -446 619 1720 2432 3003 3130 3011 2835 2775

Cash Opening Balance 609 578 112 137 166 201 241 276 310 355 402 453 506 Change in cash during the year -32 -466 26 29 34 41 35 33 46 47 51 53 81

Closing Balance 578 112 137 166 201 241 276 310 355 402 453 506 587 TOTAL APPLICATIONS -1609 -1071 -658 -475 283 1489 2689 3515 4231 4515 4577 4615 4826



FINANCIAL STATEMENTS OF VARANASI DISCOM

Table 62: Varanasi Discom– Income Statement (Rs Crore)

Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 INCOMES Revenue from Sale of Power 3,467 4502 6418 8517 11274 14550 18300 22871 27955 32510 37155 41137 46906

GoUP Subsidy Support 1,280 1784 1834 2013 2208 3027 3223 1850 476 280 280 139 139 Other Misc Receipts 9 22 23 24 25 26 27 29 30 32 33 35 37 Total Incomes 4,756 6308 8275 10554 13507 17603 21550 24749 28462 32822 37469 41311 47082 EXPENSES Power Purchase Cost 6,134 7087 8362 10326 12674 15233 17480 20145 23275 26458 29942 33444 38931 O&M Expenses 634 780 874 978 1096 1282 1462 1666 1900 2222 2600 3120 3744 Provision for Depreciation 121 171 202 233 266 302 342 388 439 497 562 636 719

Provision for Bad Debts 57 286 332 363 395 420 433 445 465 494 529 572 619 Total Operating Expenses 6,947 8325 9769 11901 14431 17237 19716 22644 26079 29671 33634 37771 44013


Net Income before Interest -2,086 -1900 -1363 -1200 -759 558 2053 2354 2668 3484 4225 4008 3630

Interest Expenses Project Loans

161 70 58 46 35 28 23 18 15 11 6 2 0

Working Capital Loans 24 8 1 0 0 0 0 0 0 0 0 0 Less: IDC 3 1 1 1 0 0 0 0 0 0 0 0 0 Finance Charges 0 0 0 0 0 0 0 0 0 0 0 0 0 Interest and Finance Charges charged to Operations

158 93 66 47 35 27 22 18 15 11 6 2 0

Revenue Surplus/(Gap) -2,244 -1993 -1429 -1248 -794 531 2031 2336 2653 3474 4219 4006 3630

Income Tax 961 1,414 1,313 Profit After Tax -2,244 -1,993 -1,429 -1,248 -794 531 2,031 2,336 2,653 3,474 3,258 2,591 2,317



Table 63: Varanasi Discom– Balance Sheet (Rs Crore)Particulars FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FIXED ASSETS

Gross Fixed Assets 3915 4657 5441 6225 7067 8019 9090 10297 11654 13184 14911 16865 19082 Accumulated Depreciation 1230 1402 1604 1837 2103 2404 2747 3134 3573 4070 4632 5268 5986


Other Assets 105 107 109 -889 -1906 -2945 -4003 -5083 -5185 -5289 -5395 -5503 -5613 TOTAL CURRENT ASSETS 6532 7212 7888 7553 7114 6438 5720 5153 5748 6492 7387 8399 9629

TOTAL ASSETS 10345 11579 12901 13117 13343 13479 13672 14125 15864 17901 20255 22929 26051 NET WORTH Equity 2850 3326 3855 4492 5258 6180 7213 8371 9670 11125 12757 14586 16635 Retained Earnings (Losses)/ Reserves -7395 -9388 -10621 -11869 -12663 -12133 -10102 -7766 -5113 -1639 1619 4211 6528

Project Loans 773 837 721 611 515 443 374 316 257 195 130 72 44 Working Capital Loans 417 112 24 0 0 0 0 0 0 0 0 0 0

Govt. Loans 55 0 0 0 0 0 0 0 0 0 0 0 0

Current Liabilities and Provisions 13645 16692 18922 19882 20233 18989 16187 13203 11050 8219 5749 4061 2844




Table 64: Varanasi Discom– Funds Flow Statement (Rs Crore)

Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 SOURCES

Net Income after tax -2244 -1993 -1429 -1248 -794 531 2031 2336 2653 3474 3258 2591 2317 Add: Depreciation 121 171 202 233 266 302 342 388 439 497 562 636 719 Total Internal Resource -2123 -1822 -1227 -1014 -529 832 2373 2724 3092 3970 3820 3227 3036

GoUP Equity 328 421 529 637 766 921 1033 1158 1299 1456 1632 1829 2049 Net Loan -89 -93 -9 -134 -96 -72 -69 -57 -60 -62 -65 -59 -28 Total Sources -1884 -1493 -706 -511 141 1682 3337 3825 4331 5364 5387 4997 5058 APPLICATION Capital Expenditure during the Year 553 726 848 784 931 1114 1253 1408 1583 1789 2022 2297 2611


Change in Current Liabilities -3870 3047 2231 960 351 -1244 -2802 -2984 -2153 -2831 -2470 -1688 -1217

Current Assets -6381 1311 652 -373 -484 -725 -761 -619 535 683 828 945 1125 Net increase in Non-cash Working Capital

-2511 -1735 -1578 -1333 -835 519 2041 2365 2688 3514 3299 2633 2341

Cash Opening Balance 546 620 136 160 198 243 292 335 386 446 507 574 641 Change in cash during the year 74 -484 24 38 45 49 43 51 60 61 67 67 105

Closing Balance 620 136 160 198 243 292 335 386 446 507 574 641 747 TOTAL APPLICATIONS -1884 -1493 -706 -511 141 1682 3337 3825 4331 5364 5387 4997 5058



FINANCIAL STATEMENTS OF KESCO DISCOM

Table 65: KESCO Discom– Income Statement (Rs Crore)

Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 INCOMES Revenue from Sale of Power 1,017 1300 1616 2029 2608 3106 3583 4553 5271 5913 6526 6991 7811

Other Misc Receipts 6 22 23 24 25 26 27 29 30 32 33 35 37 Total Incomes 1,023 1321 1639 2053 2633 3132 3611 4582 5301 5945 6559 7026 7848 EXPENSES Power Purchase Cost O&M Expenses 1,207 1534 1650 1954 2350 2596 2832 3378 3806 4227 4678 5120 5828 Provision for Depreciation 173 209 234 262 294 344 392 447 509 596 697 837 1004 Provision for Bad Debts 16 23 26 28 31 34 38 41 46 50 55 61 67 Total Operating Expenses - 82 88 93 97 97 99 101 104 108 113 120 126

Less: Expenses Capitalised 1,396 1849 1998 2337 2771 3071 3361 3967 4465 4982 5544 6137 7025

Net Income before Interest - 31 35 39 44 52 59 67 76 89 105 126 151

Interest Expenses Project Loans 11 9 8 6 5 4 3 2 1 1 1 0 0 Working Capital Loans 0 0 0 0 0 0 0 0 0 0 0 0 0 Less: IDC 0 1 1 0 0 0 0 0 0 0 0 0 0 Finance Charges 0 0 0 0 0 0 0 0 0 0 0 0 0 Interest and Finance Charges charged to Operations

11 8 7 6 5 3 2 2 1 1 0 0 0

Revenue Surplus/(Gap) -384 -504 -331 -251 -99 108 306 679 911 1052 1120 1014 973

Income Tax 353 350 340 Profit After Tax -384 -504 -331 -251 -99 108 306 679 911 1,052 767 664 633



Table 66: KESCO Discom– Balance Sheet (Rs Crore)Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY23 FY24 FIXED ASSETS Gross Fixed Assets 563 610 668 736 811 895 986 1086 1194 1314 1447 1597 1766 Accumulated Depreciation 237 261 286 314 345 379 417 458 504 554 609 670 737 Net Fixed Assets 326 349 382 422 466 515 569 627 690 760 838 926 1029 CWIP 45 70 88 102 113 125 137 149 163 180 199 224 255 TOTAL ASSETS 370 419 470 524 579 640 706 777 854 940 1037 1150 1284 CURRENT ASSETS Inventories 26 11 13 15 17 19 21 22 24 27 30 34 38 Sundry Debtors 1644 1758 1859 1932 1940 1986 2016 2079 2165 2269 2391 2523 2678 Cash and Bank Balances 71 29 32 37 45 50 54 65 73 81 90 98 112 Loans and Advances 47 50 52 55 58 60 63 67 70 73 77 81 85 Other Assets 0 0 0 0 0 0 0 0 1200 1224 1248 1273 1299 TOTAL CURRENT ASSETS 1788 1847 1956 2040 2060 2115 2154 2233 3532 3675 3836 4009 4212

TOTAL ASSETS 2158 2267 2426 2563 2639 2755 2860 3009 4386 4614 4873 5160 5496 NET WORTH Equity 163 211 251 293 336 379 423 468 514 561 609 657 707 Retained Earnings (Losses)/ Reserves -1963 -2468 -2798 -3049 -3148 -3039 -2733 -2054 -1143 -91 676 1340 1973

Project Loans 349 339 328 317 305 293 288 283 278 274 272 271 271 Govt. Loans 7 0 0 0 0 0 0 0 0 0 0 0 0 Current Liabilities and Provisions 3601 4184 4645 5003 5146 5123 4882 4312 4736 3871 3316 2891 2545




Table 67: KESCO Discom– Funds Flow Statement (Rs Crore)

Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 SOURCES Net Income after tax -384 -504 -331 -251 -99 108 306 679 911 1052 767 664 633 Add: Depreciation 16 23 26 28 31 34 38 41 46 50 55 61 67 Total Internal Resource -368 -481 -305 -223 -68 143 344 721 957 1102 822 725 700 GoUP Equity 5 40 41 42 42 43 44 45 46 47 48 49 50 Net Loan -8 -10 -11 -11 -12 -12 -5 -5 -5 -4 -2 -1 -1 Total Sources -371 -451 -275 -192 -37 174 383 761 998 1144 868 773 749 APPLICATION Capital Expenditure during the Year 1 72 77 81 87 95 103 112 122 136 152 174 200

Non-Cash Working Capital Change in Current Liabilities 439 583 461 358 144 -23 -241 -570 424 -865 -555 -425 -346 Current Assets 52 101 107 78 12 51 35 68 1291 135 153 165 189 Net increase in Non-cash Working Capital -387 -482 -354 -280 -132 74 276 638 867 1000 707 590 535

Cash Opening Balance 56 71 29 32 37 45 50 54 65 73 81 90 98 Change in cash during the year 15 -42 2 6 8 5 5 10 8 8 9 8 14

Closing Balance 71 29 32 37 45 50 54 65 73 81 90 98 112 TOTAL APPLICATIONS -371 -451 -275 -192 -37 174 383 761 998 1144 868 773 749



FINANCIAL STATEMENTS OF UPPCL Table 68: UPPCL – Income Statement (Rs Crore)

Particulars FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 INCOMES Revenue from Sale of Power 26614 31620 37157 45162 54770 65090 74352 85219 98225 111688 126565 141931 165523


Support from GoUP for Interest payment on Existing WC Loan

1663 1557 1142 726 310 0 0 0 0 0 0

Total Incomes 26632 31640 38842 46741 55935 65840 74688 85246 98254 111718 126597 141964 165558 EXPENSES Power Purchase Cost 25672 28368 32912 38935 47572 57627 67298 79060 93076 107579 123483 139671 163757

O&M Expenses 150 175 196 219 246 288 328 374 426 498 583 700 840 Provision for Depreciation / other provisions

1125 2 2 2 2 2 2 2 2 2 2 2 2

Total Operating Expenses 26947 28545 33110 39157 47820 57916 67628 79436 93503 108079 124068 140372 164598

Net Income before Interest 315 3096 5732 7585 8115 7924 7060 5810 4750 3640 2528 1591 960

Interest Expenses

Working Capital Loans 2356 3043 5674 7519 8038 7835 6963 5703 4633 3514 2396 1454 813

Finance Charges 50 53 58 66 78 89 98 108 118 125 133 137 147 Interest and Finance Charges charged to Operations

2406 3096 5732 7585 8115 7924 7060 5810 4750 3640 2528 1591 960

Revenue Surplus/(Gap) -2722 0 0 0 0 0 0 0 0 0 0 0 0



Table 69: UPPCL – Balance Sheet (Rs Crore)

Particulars FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FIXED ASSETS

Gross Fixed Assets 47 47 47 47 47 47 47 47 47 47 47 47 47 Accumulated Depreciation 21 23 25 27 29 31 32 34 36 38 40 42 44



TOTAL ASSETS 40907 52657 65437 74188 79650 79425 72780 65041 56566 48090 39614 33802 29856

NET WORTH

Equity 33514 35233 35233 39193 43153 47113 51074 51074 51074 51074 51074 51074 51074

Retained Earnings (Losses)/ Reserves -29437 -29437 -29437 -29437 -29437 -29437 -29437 -29437 -29437 -29437 -29437 -29437 -29437

Working Capital Loans 16127 27301 39793 48543 54004 53779 47133 39393 30916 22439 13962 8149 4201

Govt. Loans/ Bonds Isuues 1719 0 15840 11880 7920 3960 0 0 0 0 0 0 0

Current Liabilities and Provisions 18984 19560 4007 4008 4008 4009 4010 4011 4012 4013 4015 4016 4017




ANNEX-2

Table70: Category-wise Energy Sales forecast for Meerut Discom (MU)

Consumer Category


Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Rural Domestic 2139 2178 2538 3213 3938 4433 5247 5892 6379 6829 7080 7658 Single Point 136 146 156 183 192 196 219 227 267 290 325 360 Urban Domestic 1868 3491 4963 6490 7964 9517 11407 13533 14904 15722 16045 17237 Lifeline/BPL 171 20 26 33 40 47 48 54 59 63 66 72 Rural Commercial 166 194 239 304 363 422 448 506 550 591 616 670 Urban Commercial 823 946 1089 1330 1515 1679 1827 1997 2104 2193 2254 2333 Public Lamps 197 208 251 316 371 417 487 548 594 638 664 722 Institutions 216 261 321 409 496 584 630 720 794 866 914 1008 PTW 2260 2289 2414 2966 3528 3810 4542 4947 5195 5394 5423 5690 Small & Medium Power 923 1082 1293 1627 1903 2173 2390 2683 2906 3113 3232 3502 Public Water Works 281 285 337 440 555 636 805 930 1038 1144 1223 1363 STW 218 223 224 271 317 336 394 422 435 445 446 454 Temporary Supply 59 72 87 114 135 157 189 219 245 272 291 326 Departmental Employees 105 120 151 160 166 184 200 200 201 207 222 237 Non-Industrial Bulk Loads 819 852 886 921 958 996 1036 1078 1121 1166 1212 1261 Large Industries 6066 6602 7187 7823 8516 9270 10093 10988 11964 13026 14184 15445 Railway Traction 44 47 50 53 57 61 65 70 75 81 88 95 Lift Irrigation 0 0 0 0 0 0 0 0 0 0 0 0 Bulk & Extra State 337 337 337 337 337 337 337 337 337 337 337 337 Total 16831 19356 22549 26991 31350 35257 40364 45353 49168 52378 54622 58767



Table 71: Category-wise Energy Sales forecast for Agra Discom (MU)

Consumer Category





Table 72: Category-wise Energy Sales forecast for Lucknow Discom (MU)

Consumer Category





Table 73: Category-wise Energy Sales forecast for Varanasi Discom (MU)

Consumer Category





Table 74: Category-wise Energy Sales forecast for KESCO Discom (MU)

Consumer Category


Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Proj Rural Domestic - - - - - - - - - - - - Single Point 43 48 57 69 73 82 97 104 105 106 102 105

Urban Domestic 1227 1219 1433 1831 2026 2142 2645 2922 3051 3083 2977 3029

Lifeline/BPL 52 12 14 17 18 20 24 25 26 26 25 26 Rural Commercial - - - - - - - - - - - -

Urban Commercial 286 318 382 459 490 544 647 696 702 706 681 699

Public Lamps 59 65 72 79 87 96 105 116 127 140 154 170

Institutions 29 31 32 34 36 37 39 41 43 45 42 50

PTW - - - - - - - - - - - -

Small & Medium Power 273 300 330 363 399 439 483 532 585 643 708 778

Public Water Works 42 46 49 53 57 62 67 72 78 84 91 98

STW - - - - - - - - - - - - Temporary Supply 1 1 1 2 2 2 2 2 2 3 3 3

Departmental Employees 32 34 37 40 43 47 50 54 59 63 69 74

Non-Industrial Bulk Loads 120 130 140 152 164 177 191 206 223 238 260 281

Large Industries 421 454 491 530 572 618 668 721 779 833 908 981

Railway Traction - - - - - - - - - - - -

Lift Irrigation - - - - - - - - - - - - Bulk & Extra State - - - - - - - - - - - -

Total 2585 2658 3038 3629 3967 4266 5018 5491 5780 5970 6020 6294


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