Power board asked to separate SLDC
Rakesh Lohumi
Tribune News Service

Shimla, August 26
The state electricity regulatory commission has directed the state electricity board to separate the State Load Dispatch Centre (SLDC) and incorporate it as an independent company within four months in accordance with the recommendations of the Union Power Ministry.

The committee on “Manpower Certification and Incentive for System Operation and Ring Fencing Load Dispatch Centres” set up by the ministry had recommended functional autonomy for the SLDCs for taking decisions without being adversely influenced by extraneous issues originating from the company management or any other market player. This can be achieved by providing independent governance structure, separate accounting, adequate skilled manpower having high ethical standards and driven by altruistic values along with adequate infrastructure.

Accordingly the commission has directed the board to formulate and develop methodology for separation of the SLDC from the state transmission utility to provide ring fencing and functional autonomy, including separation of assets, manpower and accounts. It should also prepare CAPEX (capital expenditure) plan for 2011-14, business plan and strategic plan related and formulation of tariff petition, filing it with the commission within 12 months.

It includes separation of manpower, assets, accounts and financial statement by determining appropriate transfer scheme, within nine months of issuance of this order.

The commission has decided to introduce automatic meter reading (AMR) as a step in the direction of creating Advanced Metering Infrastructure (AMI) in the state. It has asked the board to submit a detailed proposal in this respect considering the fact that a pilot project was already under implementation, successfully under the operation circle, Solan, covering 460 large industrial consumers.

A provision of Rs 6.91 crore has been made in the aggregate revenue requirement (ARR) for the proposal under which all large industrial power supply consumers will be covered by March 31, 2010, in the first phase and for small and medium consumers having connected load above 50 KW by March 31, 2011, in the second phase.

The commission also directed the board to renegotiate or invite tenders from the GSM communication providers, within the state, to minimise the communication costs, considering the economies of scale such bulk connections would provide.