The Hindu Business Line : APTransco to cut T&D losses, to invest Rs 1,454 cr next fiscal

ENTHUSED with the positive performance in power sector relating to the reduction of losses, the Andhra Pradesh power utilities have announced the finalisation of an action plan to further reduce transmission and distribution (T&D) losses.

In a press release here on Sunday, the Transmission Corporation of Andhra Pradesh Ltd (APTransco) said the action plan was to reduce the T&D losses to around 18 per cent in the next couple of years from the level of 21.11 per cent achieved till the end of December last year.

According to APTransco, this amounts to saving of around Rs 300 crore at around Rs 100 crore per each one per cent reduction in T&D losses. The corporation claimed that the reduction by 10 per cent in the past four years at an average of 2 to 3 per cent per annum was the best achieved so far in the country by any State power utility.

Reviewing the performance and progress report of APTransco and distribution companies (DisComs) for the last calendar year during a video conference here on Sunday, the Corporation Chairman and Managing Director, Ms Rachel Chatterjee, expressed satisfaction over the loss reduction of around Rs 1,000 crore achieved during the past few years. According to her, this reduction facilitated the utility in arresting increase in power tariffs.

The reduction in T&D losses resulted in maintaining tariff without any increase during the last three consecutive tariff orders in the State despite severe drought situation and badly affected hydel generation on account of poor water inflows into the reservoirs, she said.

Ms Chatterjee said that the power utilities did not propose any hike in tariffs in the very recent proposals submitted to the AP Electricity Regulatory Commission for the year 2004-05.

"This was possible with the successful reduction of commercial and technical losses in general and also the unstinted support from the Government of Andhra Pradesh by providing sufficient subsidy to the extent of around Rs 2,400 crore per annum on an average," Ms Chatterjee said.

Meanwhile, Ms Chatterjee announced that APTransco and DisComs were planning to invest Rs 1,454 crore during the next fiscal in thrust areas such as erection of number of sub-stations to further improve quality and reliability of supply besides reducing losses.

The Rural Electrification Corporation has agreed to provide further amount of Rs 1,072 crore for the fiscal 2003-04, she said.

Through reforms process, the State has become eligible for incentive from the Centre to the tune of Rs 8,000 crore to be shared by the qualified/selected States.

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