1. MAHAVITARAN Mumbai 06.06.2006 ( 6 th June 2005 to 5 th June 2006) Performance and Future Vision

2. Slide 2 Issues inherited by MSEDCL (June ’05) Demand Supply Gap of 3500 to 4000 MW High T&D Loss – 35.2% (04-05) Low Collection Efficiency – 85.2% Deteriorated Distribution Infrastructure (Aged & overloaded transformers & S/S) Pending applications for connections Loss making Entity (Rs. – 998 Cr. In 2004-05) Poor consumer response

3. Slide 3 Action Plan to Resolve the Issues MSEDCL’s Mission Statement 10 Point Action Plan Communication Plan Organizational Changes

4. Slide 4 Summary of Performance

5. Slide 5 Annual Plan for 2006-07 Physical Targets 280 Nos. 33/11KV, 22/11KV, 22KV Sw Substations Connections to 90,000 pumps 6 Lakh unmetered Ag. consumers to be metered Metering of 95,394 DTCs LTLM scheme for 62,666 DTCs Fixed capacitors for 19,900 DTCs 10,653 Nos. new DTCs to be installed & 19000 Nos. for 3-Phase HVDS 25,164 Nos. Single Phase HVDS transformers proposed 5000 Nos. DTCs for Gaothan feeder separation 19,000 Km 11KV (HT) line proposed

6. Slide 6 VISION MAHAVITARAN – FY 2006-07 & 2007-08 THEMEPARAMETERVISION / TARGET Loss Reduction Implementation of HVDS SchemesScheme for 10 Circles for Rs.49.33 Cr. By Mar 2007. Improvement in Collection Efficiency 89% in FY 2006-07 91% in FY 2007-08 DTC MetersAll DTC's to be metered by 2006-07 (2.25 Lakhs) Automated Meter ReadingFor 20,000 high revenue consumers - Sept. 2007 Metering of Agricultural Consumers 6 Lakh metered by 2006-07 All 16.65 metered by 2007-08 Network Improvement HT: LT Ratio 1: 1.95 in FY 2006-07 1: 1.65 in FY 2007-08 1: 1.25 in 2010 DTC Failure Rate 13.5% for FY 2006-07 11.50% for FY 2007-08 Infrastructure Plan Rs.7720 Cr. By FY 2008-09 Rs.11703 Cr. By 2011 Implementation of SCADA10 cities by Sept. 2006 MIS Phase-I (EA / FABC / Stores / IT)To be completed by Sept 2007

7. Slide 7 VISION MAHAVITARAN – FY 2006-07 & 2007-08 THEMEPARAMETERVISION/ TARGET Consumer Servicing Estabislment of Call Centers 10 by 2006-07 All Districts by 2007-08. Consumer Grievance Redressal 50 Single Windows at Sub-Div Level by 2006- 07 Single Windows at all Sub-Divisions in 2007- 08 Demand Side Managem ent Single Phasing Scheme Balance2502 Villages by Dec. 2006 4515 Villages (Rs.170 Cr.) in FY 2006-07 Gaothan Feeder Separation Scheme 2000 villages by Mar 2007 Balance 8232 villages by Sept. 2009 Installation of LT capacitors on DTCs62500 DTCs by September 2008 Installation of LT capacitors on Agricultural Pumps1.35 Lakh by September 2008

8. Thank You

9. Slide 9 1.We, as a professional company, rededicate ourselves to serve all our customers by extending reliable and quality power supply at reasonable and competitive tariffs so as to boost agricultural, industrial and overall economic development of Maharashtra. 2.We commit to Honesty, Integrity and Transparency in actions to achieve higher standards of Consumer Satisfaction. 3.We aim at achieving technological excellence and financial turnaround for the overall benefit of the customers. MSEDCL’S MISSION STATEMENT

10. Slide 10 4.We will strive hard for system improvement and stress upon preventive maintenance. 5.We will ruthlessly curb the theft of electricity. 6.We will encourage and support energy savings activities and Demand Side Management thereby optimizing the use of electricity. 7.We will fulfill our commitment to society by improving quality of life. MSEDCL’S MISSION STATEMENT cont….

11. Slide 11 “10 Point Action Plan” 1. Preventive maintenance 2. Distribution network planning 3. Consumer Grievances Redressal Systems 4. Distribution system loss reduction 5. Improvement in Collection efficiency 6. Circles to act as profit centers 7. Efficient use of Technology 8. Improved services to Ag. Consumers 9. Improving working conditions of employees 10. Demand Side Management

12. Slide 12 Summary of New Initiatives taken 1. Infrastructure Work plan for Rs. 12,500 Crores( 5 Years) & Rs. 7500 crores (3 years) finalized 2. Load Management Capacity Addition Programme of 18,000MW against load growth of 10,000MW (in 5-6 years) DSM – Akshya Prakash Yojana (4379 Villages), single phasing (7461 Villages), Gaothan feeder separation, use of CFLs (4.5 Lakhs), capacitor installation on DTCs and at sub-stations 3. Distribution Loss reduced by 3.38 %after restructuring( June 05 to Mar 06) -From 30.56% to 27.18% - Energy accounting Report generated for 49,255 DTCs -Detection of 26,572 theft cases (from April to Mar ‘06) 4. Collection increased by 15.10 % From Rs. 12105.65 Crs. in June – May’ 05 to Rs. 13933.85 Crs in June – May’ 06 RCI Arrears reduced from Rs.1466 Crores to Rs.1360 Crores

13. Slide 13 Summary of New Initiatives taken 5. DTC failure Rate reduced From 18.52% in 04-05 to 16.62% in Apr – Mar’ 06 6. Consolidated distribution Automation plan prepared – SCADA, AMR, e- billing, computerization of all subdivisions 7. Formation of Quality control cell to ensure purchase of best quality material 8. Four S.Es nominated as M.D’s representatives for monitoring various activities of the MSEDCL in the field 9. 3 Call Centres (Pune, Nagpur, Bhandup), 5 CFCs commissioned, all consumer bills on internet

14. Slide 14 Communication Plan Communication Strategy Communication Focused towards internal Employees Communication of reforms to consumers Means of Communication Workshops with field staff and with unions Workshops conducted by Unions for members Staff Meetings at Division/Circle Level House Journal (E-magazine) – “Maha Vitaran Veej Varta” Video message on Ten Point Program Articles in Newspapers

15. Slide 15 Organizational Changes Four S.E’s nominated as M.D’s representatives for monitoring various activities of the MSEDCL in the field Posts of area wise Executive Directors created and filled in for proper monitoring. Formation of Quality control department to ensure purchase of best quality material. Formation of Material specifications Cell

16. Slide 16 1822* 1016 2421 2042 3045 Demand Supply Gap for Mahavitaran (at Peak Demand in MW) 4205* 3432 * Deficit was maximum at 4622MW on 9 th Feb ‘06 due to non-availability of adequate supply to cater to high peak demand

17. Slide 17 Repatriation (Rs. Crores) June to March FOCA: Rs. 958 Crores FOCA 2004-05: Rs.592Cr. 2005-06: Rs.1118Cr.

18. Slide 18 Distribution Losses(in %) 04-0505-0606-07 ParticularsTargetAchievedTarget Distribution Loss31.1428.0027.9825.00 Distribution losses after formation of MSEDCL June 04- Mar 05June 05 – Mar 06Improvement Distribution Loss30.5627.18-3.38

19. Slide 19 Comparison of T & D loss, Distribution loss for Two Years Particulars April – March Rise 2004-20052005-06 Mus Total Input (MU)67289.0969274.98 1985.89 EHV System Loss6.01%6.39% 0.38% Total Sale (MU)43549.7846704.51 3154.73 Dist. Loss31.14%27.98% -3.16% T & D Loss35.28%32.58% -2.70%

20. Slide 20 DTC Losses

21. Slide 21 Theft Cases Detected In Rs lakhs

22. Slide 22 Infrastructure Work Plan Main Objectives Infrastructure Work Plan to cater the estimated Load profile Proactive Planning Planning at Micro Level FY06-07FY07-08FY08-09FY09-10FY10-11 Infrastructure Work Plan Outlay (Rs. Crs.) 13783980358817951768 Distribution Loss (%)2522201817 Collection Efficiency with Ag(%) 8991939597 DTC Failure rate (%)13.511.59.587 Normal Billing (%)100

23. Slide 23 Infrastructure Work Plan Five year sub-division wise load profile prepared by each SDO; Five year subdivision wise Infrastructure requirement to match the load profile prepared by SDO; Five year financial plan prepared; DPRs prepared for the 3 year plan; Infrastructure Work Plan: Activities Undertaken

24. Slide 24 MAHADISCOM Financial Plan for (FY 06-07 to FY 08-09) Capital works (New Works): Rs. 5802.58 Cr. R&M Works: Rs. 1765.5 Cr. Total Plan: Rs. 7,568.08 Cr. Year Wise Outlay: YearAmount (Rs. Cr.) FY 06-071513.62 FY 07-083027.23 FY 08-093027.23 Total7568.08

25. Slide 25 Infrastructure Plan for 3-Years (2006-07 to 2008-09) R&M Works Amount in Rs. Lakhs

26. Slide 26 Infrastructure Plan for 3-Years (2006-07 to 2008-09) Capital Works Amount in Rs. Lakhs

27. Slide 27 Objectives Infrastructure Work Plan should match with the Load Profile prepared for the next five years. i.e. the proposed Infrastructure should be able to meet the anticipated increase in load; HT - LT Ratio Improvement:

28. Slide 28 Objectives Reduction in Distribution Losses For Circles above 40% Distribution losses -3% reduction in every year For Circles having losses between 30% to 40% -3% reduction in every year for three years and 1.5% in next two years For Circles having losses between 25% to 30% -3% in first two years and 1% in next three years For Circles having losses between 20%-1.5% in first two years to 25% and 1% in next three years

29. Slide 29 Objectives Improvement in Standards of Performance Infrastructure Work Plan should bring about reduction in interruptions; SAIFI, SAIDI, CAIDI to be brought from the existing level to the following levels by 2008. Reduce loading of the Distribution Transformers to 80% in the Horizon year from the present level ranging from 100% to 150%; Include use of SCADA, Call Centers, Consumer Facility Centers in all Municipal Corporation areas; Meet the Standard Of Performance given by MERC – e.g. Voltage Regulation - +6% to -9% for 11 KV and 22 KV Bring down the DTC failure rate to - Urban- 5% - Rural- 7% Bring down RCI pending connections to one month in a year; Bring down the Ag. pending connections to one month in five years; Include GIS mapping of all Consumers in Urban areas;

30. Slide 30 Objectives Availability of Reactive Power Management Plan as follows: -Power Factor to be brought to 0.90 in Rural areas; -Power Factor to be brought to 0.95 in Urban areas; -Power Factor to be brought to 0.99 in Industrial areas; ( By installing Capacitors at Sub-Station/DTC/ Lines.) Maximum emphasis on HVDS schemes especially as follows:- -HVDS to be taken up in all slums and non paying areas; -HVDS to be taken up in high Ag. Consumption areas; Ensure a positive IRR for the project;

31. Slide 31 DTC FAILURE 2004-0518.52% 2005-0616.62%

32. Slide 32 Steps undertaken to reduce Transformer failures Constructional features improvement -Use of completely self protected (CSP) transformers with built-in circuit breakers. -Use of Amorphous metal core transformers to reduce no load loss. Improvement in procurement procedures -Guarantee period increased from 24 to 60 months -Type test reports from NABL and ERDA compulsory. Improvement in testing procedures -10 of offered lot to be tested at factory. -Tests to be carried out for all transformers supplied with modern testing equipment. Action plan for reducing transformer failures -Providing effective earthing. -Providing lightening arrestors to all transformers. -Reduction of overloading of transformers through construction work plan. (loading upto 80)

33. Slide 33 Capacity Addition Firmed Projects

34. Slide 34 MAHAGENCO's Phase-II Projects,IPP,Ultra Mega Power Projects

35. Slide 35 DSM and Load management 2005-062006-07 TargetAchievedTargetsAchieved No. of APY villages20003984 villages Load relief 924.79 MW 10,000 Villages4379 Villages (918.03 MW) up to 31 st May 06 Special Gaothan feeder separation Scheme (1) (2) Pune & Satara Distt. 10232 villages 1650 feeders 713 Crores 1449 Villages 36 feeders 95 MW load relief (Oct ’05) All feeders will be completed by Sept 09 Single Phasing Scheme 9963 Villages 235 Crores/Sep 06 7461 Villages 230 crores 4515 Villages 279 Crores/ Mar’08 Capacitors( Substation / DTCs) 62,500 DTC 1,35000 AG Pumps LTLMS Existing Capacitors100 to be in service DSM/ Energy Conservation3 lakh CFLs4.5 Lakh10 lakh

36. Slide 36 Number of Villages under Akshay Prakash Yojana (As on 31st May 2006) - 4379 Villages + Warora Town Nos./ MW