Accelerated Power Development and Reform Programme
 

     The Government of India provides financial assistance to State Government for strengthening of distribution network in all such Circles and Towns identified under the APDRP schemes as 50% of project cost, of which 25% is a grant and 25% is a loan. The balance 50% is to be arranged by the State Government as counter part funding from financial institutions.

2.  Five circles and some towns in various areas of operation of the Distribution Licensees were identified to be covered under Accelerated Power Development and Reform Programme (APDRP) for strengthening of sub-transmission and Distribution system. The Commission, in order to know the physical status of projects sanctioned and under progress in all the three Distribution Companies has registered a Suo-Motto Petition in this matter. The Discoms have now reported the status to  the Commission.

3.  An abstract of Company ‘s status on APDRP projects is given as below: 

EAST DISCOM:
 

    The scheme for 19 towns of the Company has been prepared under APDRP. Further, 3 more towns Sidhi, Annuppur & Umariya have also been included and the schemes for these towns are under sanction. The following towns have been considered under APDRP schemes:

(i) Sagar (ii) Damoh (iii) Jabalpur (iv) Chhindwara (v) Katni (vi) Seoni (vii) Narsinghpur (viii) Balaghat (ix) Mandla (x) Rewa (xi) Satna (xii) Shahdol (xiii) Chhatarpur (xiv) Panna (xv) Waidhan (xvi) Tikamgarh (xvii) Orcha (xviii) Niwari and (xix) Morwa.

    The scheme for first 12 towns was sanctioned on 27.11.2002 while the scheme for other 7 towns was sanctioned on 05.06.2003.The time period for each scheme has been fixed as 2 years. The works are under progress.

The nature of works in each town is as given below:

•     Renovation of 33/11 KV substations including protective equipments.

•     Renovation of DTRs.

•     Erection and bifurcation of 33 KV and 11 KV lines .

•     Augmentation of conductors of 33 & 11 KV lines.

•     Erection of new LT lines.

•     Installation of new 33/11 KV Power transformers.

•     Installation of new Distn. Transformers.

•     Distribution transformer metering.

Accelerated Power Development and Reform Programme

     The Company has given town wise quantum of works sanctioned under APDRP along with the cost of each work, which is annexed as annexure. The status of each work as to whether it is completed or not has not been given by the Company .

     The Company has broadly mentioned that the works are under progress while the time period fixed for the schemes has been over by now. Turnkey contracts of works have been awarded to the following firms:

     The Company has submitted that the total cost of schemes is Rs 124.24 crore. The East Discom has received an amount of Rs 15.00 crore only from MPSEB during 28^th Sept ’04 to 30^th Dec’05 out of which the Company has paid Rs 14.31 crore to various firms mentioned above against mobilization advance & R.A bills while Rs 0.92 crore has been paid to these firms by MPSEB.It is stated by the Company that the loan/ grant for APDRP being received through State Govt. directly and not through any financial institution.  

West Discom:   

(A)  The Company has submitted in its reply that the following circles and towns were identified under APDRP schemes:

        (i) Indore City circle   (ii) Indore (O&M) Circle   (iii) Ujjain (O&M) Circle

        (i) Khandwa Town (ii) Burhanpur Town  (iii) Khargone Town  (iv) Dhar Town

        (v) Ratlam Town (vi) Dewas Town (vii) Mandsaur Town (viii) Neemuch Town

        (ix) Shajapur Town (x) Shujalpur Town

(B)    The nature of works being undertaken under APDRP scheme are almost similar to those shown in case of East Discom except the following additional works in West Discom:

(a)    Consumer indexing and Asset coding

(b)    Renovation and modernization of consumer services.

(c)    Computerisation and interlinking billing and call centers 

(C)  The Company has further submitted that the schemes/works under APDRP were to be executed under turnkey contract within 18 to 24 months after release of funds but the concept of turnkey being altogether new for the company, therefore, it took time for acquaintance. Therefore, this has resulted delay in finalisation of scheduling plan for design, manufacturing resource mobilization, erection, testing and commissioning of material. However, the Company has awarded the following works under turnkey contract:-

 All above works have been awarded to various agencies as given below:-

       It is evident from the above table that no work has been completed under any package. 

(D)  The company has further submitted that the contractors to whom some of the turnkey contracts were awarded earlier had not shown willingness in executing the works hence, the contracts were subsequently cancelled. The contracts for the works to be executed in ten APDRP towns could not be finalized due to high rates quoted by the contractors in spite of calling tenders three to four times. In view of the above, the Company has decided to execute following works departmentally by arranging the required materials.         

        This Company has not shown amount in exact figures received from GoI and GoMP through MPSEB.The Company has utilized only Rs 79.06 crore out of Project cost of Rs. 341.71 crore i.e, 23.14% only. The physical provision and achievement of works in different circles and towns is annexed as annexure wherein the achievement is very less in most of the works.

Central Discom:

(A)    The Company has submitted in its reply that schemes worth Rs.204 crore was sanctioned under APDRP for various towns in Bhopal & Gwalior Region. These towns are Gwalior, Shivpuri, Bhopal, Vidisha, Hoshangabad, Itarsi, Pipariya, Harda , Mandideep,Guna & Ashoknagar. Out of total schemes worth Rs 204 crore , turnkey contracts of Rs. 114 crores has been awarded to various firms which are under progress and likely to be completed by June’06.These firms are as given below:

(i)      M/s Narmada transmission Ltd (ii) M/s L&T Ltd, Mumbai (iii) M/s IVRCL Hyderabad. (iv) M/s Govind Agarwal, Gwalior (v) M/s Mahan Electricals (vi) M/s BHEL, Bhopal (vii) M/s Sanfield India Ltd , Bhopal (viii) M/s ARK Electricals, Bhopal (ix) M/s NESCL Noida (x) M/s Ess Engg. 

(B)    The Company has undertaken the balance works of Rs 90 crores departmentally, out of which works of Rs 61.54 crore have been completed. The target for completion of balance works is June 2006.

(C)     The main reason of non-utilization of fund is the bid conditions wherein, contractor payments are to be released only after completion and commissioning of complete work of one substation or one Km line. Most of the contractors have supplied 80% of material and commissioning is under process.

(D)    The process of awarding turnkey contracts took about 6 to 9 months and completion period of further 12 months allowed in the contract .The work on turnkey contract basis being first experience with the organization took time in finalizing quality issues and other formalities in process of various approvals. The works are expected to be completed by June 2006.

The Company has submitted the status of works in each town which shows that most of the works are either uncompleted or not yet taken up. The town wise position of works is annexed as annexure.

Status of funds received by MPSEB as loan and grant and rate of interest payable: The amount released by Govt of India and GoMP and received by MPSEB from 2000-01 to 2005-06 (up to 31^st Jan 2006) along with rate of interest on loan part is given as below: