Uttar Pradesh today ushered in its maiden public-private partnership (PPP) model in the beleaguered power sector as Torrent Power took over the power distribution function in Agra city.
This came amid agitation by the UP Power Corporation Limited (UPPCL) employees and engineers protesting the franchisee-based distribution model.
Torrent was selected through competitive bidding process last year to function as input-based franchisee to manage the entire electricity distribution network and related activities for a period of 20 years in Agra and Kanpur.
“PPP is the only way forward for infrastructure development, hence UPPCL has embarked upon an ambitious power generation plan to meet the desired per annum per capita availability of 1,000 units in a time-bound manner,” Corporation CMD Navneet Sehgal said here.
Torrent will not only spruce up the existing power distribution of Agra, but invest Rs 150 crore to further improve the system.
“Similarly, in distribution sector, input-based franchisee model has been implemented to bring in efficiencies associated with the private sector and transfer of power distribution system in Agra is the first step in this direction,” Sehgal added.
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UPPCL additional MD Narendra Bhooshan said strategy had been formulated to transform UP into a power surplus state by 2014 by inviting private sector investment in all segments of the power sector.
Many other projects based on PPP model are in the pipeline and being implemented under robust monitoring. These include Bara (3x660 Mw) and Karchana (2x660 Mw) power plants near Allahabad, which have been awarded under the competitive bidding route, he added.
In the transmission sector also, setting up of substations through PPP route is underway. UPPCL is taking steps to improve the transmission network including use of IT to adopt advanced automation technology with proactive participation of private expertise.