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Partnership venture to streamline power sector -- APERC inks pact with US bodies

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The Chief Minister, Mr N. Chandrababu Naidu, said that he wanted to completely streamline the State power utilities and had sought USAID and USEA cooperation for adopting the world's best practices in the power sector.

Mr Aaron Wilson, Commissioner, Pennsylvania Public Utility Commission, looking at his presentation copy with Mr G.P. Rao, Chairman, APERC, looking outside the window before the MoU signing ceremony in Hyderabad on Friday.


A MEMORANDUM of understanding has been entered into by the Andhra Pradesh Electricity Regulatory Commission, the Pennsylvania Public Utility Commission and the United States Energy Association (USEA) for a partnership programme involving all aspects of regulatory operations and administration.

The MoU was signed here on Friday by the APERC Chairman, Mr G. P. Rao, and the PAPUC Commissioner, Mr Aaron Wilson, in the presence of the Andhra Pradesh Chief Minister, Mr N. Chandrababu Naidu.

Apart from the three organisations which signed the MoU, the US Agency for International Development (USAID) will also play a role in the two-year programme. The MoU expresses the USEA invitation to APERC and PAPUC to participate in the USAID and USEA India Energy Partnership Programme (IEPP). The precise manner of participation in IEPP will be specified by the parties as the programme progresses.

IEPP is stated to have designed to transfer experience and information from US utilities and regulatory agencies to Indian utilities and regulatory agencies.

This cooperation will cover areas such as management, restructuring, finance, accounting independent power, marketing, customer service, bulk power transactions, power dispatching, power system operation and control, energy management systems, transmission and distribution system operation and strategic planning.

USEA will assist APERC and PAPUC to cooperate with each other through participation in seminars, visits and exchanges. The association, with funding provided under the USAID Cooperative Agreement, will also reimburse APERC and PAPUC for expenses related to IEPP.

For their part, APERC and PAPUC will provide personnel resources, expertise, pertinent written materials and facilities as necessary to be an effective partner.

Mr Chandrababu Naidu said that he wanted to completely streamline the State power utilities and had sought USAID and USEA cooperation for adopting the world's best practices in the power sector. "Once the AP electricity system is streamlined, the other States in the country will also fall in line'', he added.

Emphasising his commitment to power sector reforms, Mr Naidu said that his political career depended upon the successful implementation of reforms in the State. The Government could save Rs 85 crore per annum if the efficiency of the power utilities were improved by just 1 per cent, he added.

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