Questions:

APDRP
1. What are the Objectives of APDRP?
2. Who will fund the ower sector rojects under APDRP?

!. What are the si" level intervention strate#ies in ower sector under Distribution
Refor$s?
%. What are the develo$ents of Distribution &ircles as centers of e"cellence under APDRP?
'. Procedure for release of (unds under APDRP?
). What is the role of *+P& , Power -rid under APDRP?

.. What is the s/ste$atic aroach to ascertain incentives clai$ of 012s34tilities under
APDRP?
5. What is the role of (inancial 6nstitutions under APDRP?

7. 8ow do accountabilit/ , associated resonsibilit/ and authorit/ $easured in deter$inin#
the rofit centers in distribution sectors under APDRP?

19. Who are the Accredited a#encies for roject for$ulation: roject evaluation: roject
$onitorin#: 6$le$entation: ener#/ audit under APDRP?

11. 8ow does caacit/ buildin# e"ercise hels 012 ersonnel in rearin# detailed
rojectreorts for each distribution3circle within 012s34tilities?

12. Who will for$ulate the Detailed Project Reort;DPR: assist in technical , $ana#erial
s<ills:
and conduct caacit/ buildin# e"ercise for 012s34tilities under APDRP?
1!. Who will araise the DPR; +echnical , (inance under APDRP?
1%. What are the $easures ta<en to reduce the technical loss reduction under APDRP?

1'. Who will assist in technical secification , standardi=ation of e>ui$ents used in the
distribution section?

1). What is the action lans acceted under &hief ?inisters *ational Action lan @&?*APA
for ower
sectors?
1.. What are the factors involved in anal/=in# the load factor?
15. 8ow does the enact$ent of 1lectricit/ Re#ulator/ co$$ission Act;1775 hels?
1lectricit/ Act
17. What are the $ain objectives of 1lectricit/ Act;299!?
29. 6s 1lectricit/ Act;299! e"tended to whole of 6ndia?
21. What does the ter$ Dedicated +rans$ission lines $eans?
22. What does the ter$ Distribution licensee $eans?
2!. What does the ter$ Power 0/ste$s $eans?
2%. What does the Re#ional Power &o$$ittee do?
2'. What do /ou $ean b/ 0tand;alone s/ste$?
2). What do /ou $ean b/ +rans$ission lines?
2.. Who will reare , ublish *ational 1lectricit/ Polic/ and tariff olic/ Plan?
25. 8ow does an/ erson trans$it or distribution or under ta<e tradin# in electricit/?
27. What is the networ< for +rans$ission of 1lectricit/ in the countr/?
!9. What are the resonsibilities of Re#ional Boad Disatch &entre?
!1. What are the resonsibilities of 0tate Boad Disatch centre?
!2. What are the features available under 1lectricit/ Act;299! for 1lectricit/ 2ill;299!?
APDRP
Question: 1.

What are the Objectives of APDRP?
Answer:

+he $ain objectives of APDRP are
1A6$rovin# financial viabilit/
2AReduction of +,D losses to around 19C
!A6$rovin# custo$er satisfaction
%A6ncreasin# reliabilit/ of ower sul/
'A6$rovin# >ualit/ of sul/
)AAdotin# s/ste$s aroach with ?60
.A2rin#in# +ransarenc/ throu#h co$uteri=ation
Question: 2.

Who will fund the ower sector rojects under APDRP?
Answer:

Power sector rojects are funded b/ ?inistr/ of (inance: -overn$ent of 6ndia under the advice
fro$
?inistr/ of Power. +he a/$ent would be &hannelised throu#h a desi#nated a#enc/ as identified
b/
?OP for s$ooth i$le$entation of the ro#ra$$e.
Question: !.

What are the si" level intervention strate#ies in ower sector under Distribution
Refor$s?
Answer:

?inistr/ of ower has for$ulated a si" level intervention strate#/ to rejuvenate the ower sector:
ri$aril/ to $a<e it viable. 1fforts are to focus on refor$s in the distribution sector to i$rove
accountabilit/ , revenue reali=ation in the for$ of increased $eterin# conversion of un $etered
connections to $etered connections: addition of fresh connections: hi#her billin# and collection
efficienc/.
+echnical: co$$ercial: financial: 6+: or#ani=ational interventions have beendevised as art of the
si" level intervention strate#/.
+hese strate#/ for Distribution refor$s would envisa#e interventions at the followin# levels:
*ational Bevel 6nterventions
+he basic issues at national level are related to olic/ issues: le#islation: unifor$ standards: and
ener#/ conservation: accountin# standards.
0tate Bevel 6nterventions
+he basic issues confrontin# the state level interventions are for$ation of 01Rc: issuance to
re#ular tariff orders: rovidin# le#islative suort for involvin# local bodies in $ana#e$ent of
Distribution business: re$oval of tariff ano$alies: subsidies and bud#etar/ suort.
012 Bevel 6nterventions
+he basic issues confrontin# the 012 level interventions are Restructurin#: accountabilit/:
co$$ercial accountin#: inte#rated $ana#e$ent infor$ation s/ste$: #rid disciline and +OD
$eterin#.
Distribution &ircle Bevel
6nterventions+he basic issues at Distribution &ircle Bevel are related toD
6ncrease in inco$e:
6ncreasin# the billin#: reduction of ilfera#e: $ore re$unerative ricin# of the co$$odit/
@ener#/A and oti$u$ utili=ation of h/sical assets and brand value of the sulier.
Reducin# the 1"enditure:
0ourcin# of the least cost ener#/ and reducin# the ener#/ $ana#e$ent or ener#/ 8andlin#
cost.6n order to achieve the objectives of a retail business $odel it is roosed to convert the
circle as a indeendent identifiable business unit of the D60&O?.
(11D1R Bevel 6ntervention
11 <E (eeders are the basic source of inco$e to an electricit/ utilit/. +he issues confrontin# it are
?eterin# and 2illin#: 2ill collection: Abnor$al Eolta#e: se#re#ation of losses and over all ensurin#
>ualit/ of ower sul/.
&onsu$er Bevel 6ntervention
+he basic issues at &onsu$er level are related to ?andator/ $eterin#: co$liance of billin#:
consu$er satisfaction: ener#/ conservation.
Question: %.

What are the develo$ents of Distribution &ircles as centers of e"cellence under
APDRP?
Answer:

?inistr/ of ower after detailed deliberation with the e"erts: has identified for each circle certain
short , lon# ter$ $easures which are considered essential to achieve distribution refor$ to
$a<e the
circles as centers of e"cellence.
1A A sche$e was launched in 2999;91 with initial rovision of Rs.1999 cr.: for reoriented with
introduction of refor$s ele$ent.
2A +he -ovt. has aroved the roosal of ?inistr/ of ower for the si" level intervention
strate#ies
for distribution refor$s.+he aroval envisa#es an e"enditure of Rs.%9:999 crore durin# tenth
five
/ear lan under APDRP sche$e.
!A An outla/ of Rs.29:999 cr has been rovided as central lan assistance under APDRP to
state #overn$ents for i$le$entin# the u #radation and $oderni=ation of sub
trans$ission and distribution sche$e under invest$ent co$onent.
%A Rs. 29:999 cr has been rovided for incentive to the erfor$in# states b/ wa/ of reduction
in cash losses.
Question: '.

Procedure for release of (unds under APDRP?
Answer:

+he Projects sche$es araised b/ *+P&3POW1R-R6D are ut u to APDRP sub $onitorin#
co$$ittee of ?inistr/ of Power. On advise of ?inistr/ of Power: ?inistr/ of (inance releases the
funds to resective states for the aroved rojects under APDRP in accordance with the
rocedure for disburse$ent as #iven below.
D 2'C of the APDRP a$ount; u front on aroval of roject under APDRP and on issue of
sanction letter b/ the (inancial 6nstitutions.
D Release of $atchin# fund b/ financial institutions @(isA
D After 0endin# 2'C of the roject cost @i.e 2'C APDRP F 2'C of loan co$onent fro$ (isA:
'9C of the APDRP a$ount would be released.
D Pro#ressive release: the balance '9C of the APDRP a$ount b/ (6sD
. After sendin# .'C of the roject cost @i.e .'C APDRP F .'C of loan co$onent fro$ (6sA
balance 2'C of the APDRP a$ount will be released.
D Pro#ressive release of the balance 2'C of the APDRP a$ount b/ (6s.
Question: ).

What is the role of *+P& , Power -rid under APDRP?
Answer:

+he roles of *+P& , POW1R -R6D under APDRP are:
1A Advise and hel 012s34tilities in rearation of DPRs and wherever re>uested secificall/ b/
utilit/: the/ shall reare DPR for states as consultant.
2A Assist 012s34tilities in rioriti=ation of sche$es for urban areas in distribution circles and
ran<in# of rojects for i$rove$ent in revenue collection and increase in custo$er satisfation.
!A Assist ?onitorin# co$$ittee for review of techno econo$ic araisal of the DPR reared
b/ utilities
%A Assist ?OP in rioriti=ation of available funds to be allocated to states34tilities under APDRP
sche$es
'A ?onitor eriodicall/ the h/sical and financial ro#ress of various distribution circles for which
APDRP funds have been allocated and disbursed.
)A Advise ?OP in devisin# #uidelines for unifor$it/ of aroach in rearation and evaluation of
roject roosals and disse$inatin# infor$ation on best ractices under APDRP sche$e.
Question: ..

What is the s/ste$atic aroach to ascertain incentives clai$ of 012s34tilities under
APDRP?
Answer:

6n order to follow s/ste$atic aroach to ascertain the incentive clai$s of 01234tilities: +he
followin# #uidelines for calculatin# incentive clai$ for cash losses reduction has been wor<ed out.
;(inancial /ear;2991;92 shall be considered as a base /ear for co$arison of incentive.
;All future loss reductions would be with reference to the base /ear to start with.
;As the #a or loss reduction has to be $acro and over;all basis: the su$ total of the losses for
all entities will be co$ared with the base /earDhe cash loss reduction shall be calculated without
the subsid/ suort of the state #overn$ent both in the base /ear as well as the subse>uent
/ears.
;Once an incentive has been drawn for i$rove$ent that would beco$e the bench$ar< to
co$are for future i$rove$ents and therefore an/ deterioration thereafter: in the erfor$ance
would be i#nored to incentivise the stead/ i$rove$ent.
;Onl/ cash sales are to be considered for the calculation of cash loss reduction. +hus an/
deterioration in the a$ount of sundr/ debtors will have to be ta<en out fro$ the urview of
loss3rofitD
;+he accounts should be audited and &,A- should certif/ this account.
Question: 5.

What is the role of (inancial 6nstitutions under APDRP?
Answer:

+he (inancial 6nstitutions would be articiatin# in financial vettin# of thesche$es for ensurin#
their
ban<abilit/. +he/ would also review the rovisional and audited rofit and loss accounts and
balance
sheets for the urose of release of incentive and other ara$eter li<eD
;&oncurrent roject $onitorin# , reortin#D
;Eerification of technical secificationsD
;&aacit/ buildin#D;Qualit/ chec<s durin# e"ecutin#D
;Post roject benefit evaluation
Question: 7.

8ow do accountabilit/ , associated resonsibilit/ and authorit/ $easured in
deter$inin#
the rofit centers in distribution sectors under APDRP?
Answer:

6n the co$etitive $ar<et environ$ent of toda/s business cannot survive unless there is total
accountabilit/ and associated resonsibilit/ and authorit/. Distribution sector also needs to be
treated as a business entit/.?
;+he head of the business units will be e$owered to act and be held accountable for their
actions , erfor$ance.
;+he erfor$ance ara$eters as well as bench$ar<s are set.
;A sense of ownershi and co$etition is created+he se#re#ation of business units of utilities is
done on business accountin# basis and financial ractices adoted on the followin# lines?
;6nut 1ner#/ handled3sold.
;Revenue reali=ed fro$ sales and cost incurred on urchase of inut ener#/.
;1"enditure incurred on O,?: reairs: sares: sulies: consu$ables etc.
Question: 19.

Who are the Accredited a#encies for roject for$ulation: roject evaluation: roject
$onitorin#: 6$le$entation: ener#/ audit under APDRP?
Answer:

A co$$ittee is for$ed with $e$bers fro$ *+P&: P-&6B: P(&: &1A: 01234tilities: &redit ratin#
a#encies: (6s etc will constitute to accredit reuted a#encies for the urose of roject evaluation:
roject $onitorin#: 6$le$entation: ener#/ audit , accountin#.
Question: 11.

8ow does caacit/ buildin# e"ercise hels 012 ersonnel in rearin# detailed
rojectreorts for each distribution3circle within 012s34tilities?
Answer:

&aacit/ buildin# e"ercise hels 012 ersonnel b/
;+rainin# the $an owerD;1ner#/ audit , accountin# studiesD
;?a<in# the 012 officials collect relevant data fro$ each 11 GE feeder in the identified circles.
;Anal/sin# of the data usin# co$uter tools to reare feeder wise co$uter aided least cost
roject reort.
;0uervision of 6$le$entation.
Question: 12.

Who will for$ulate the Detailed Project Reort;DPR: assist in technical , $ana#erial
s<ills:
and conduct caacit/ buildin# e"ercise for 012s34tilities under APDRP?
Answer:

+he ?inistr/ of Power identified *+P& , Power -rid &ororation Bi$ited asthe lead Advisor;cu$;
consultants and brou#ht &PR6: ?1&O* under the char#e of *+P& , WAP&O0:*P&:1RDA under the
char#e of Power -rid.
+he Advisor cu$; consultants shall assist 012s34tilities as follows.
;Assists in for$ulatin# Detailed Project Reorts.
;Oversee the 6$le$entation of the Project.
;Assists in +echnical , ?ana#erial 0<ills b/ focusin# on the re>uired activities.
;&onductin# caacit/ buildin# e"ercise.
Question: 1!.

Who will araise the DPR; +echnical , (inance under APDRP?
Answer:

+he DPR shall be forwarded to the ?OP for review and araisal. +he ?OP reserves the ri#ht to
#et
the DPR;+echnical reviewed b/ *+P&: PoW1R-R6D.After technical araisal the DPR shall be
forwarded to financial 6nstitutions for chec<in# the co$$ercial viabilit/ of the roosals.
Question: 1%.

What are the $easures ta<en to reduce the technical loss reduction under APDRP?
Answer:

+he followin# are the $easure
;6nstallation of caacitors at all levels.
;Re;conductin# of over loaded sectionD
;Re;confifuration of feeder lines , distribution transfor$ers so as to reduce the len#th of B+ lines.
;?a<e the s/ste$ less B+ oriented b/ installation of s$aller si=e ener#/ efficient distribution
transfor$ers so that each transfor$er sulies ower to 19 to 1' house holds onl/.
;Develo$ent of di#ital $ain# of the entire assets of distribution s/ste$D
;&o$uteri=ed load flow studies so that invest$ents could be underta<en for lon#;ter$
stren#thenin# of the distribution s/ste$.
Question: 1'.

Who will assist in technical secification , standardi=ation of e>ui$ents used in the
distribution section?
Answer:

+he 6ndian 1lectrical , 1>ui$ent $anufacturin# Association: the &onfederation of 6ndian
6ndustr/
, 2ureau of 6ndian standards will assist in technical secification , standardi=ation of
e>ui$ents
li<e electronic , static $eters: transfor$ers: caacitors: conductors: 6nsulators etc used in
distribution
sectors.
Question: 1).

What is the action lans acceted under &hief ?inisters *ational Action lan @&?*APA
for ower
sectors?
Answer:

+he action lan under &?*AP identified and acceted are
;1stablishin# indeendent re#ulator/ co$$issions at &entral and state levels.
;?ini$u$ of '9 aise er <wh to be char#ed as a#ricultural tariff in hases.
;Withdrawal of flat rates and $eterin# of all connections
Question: 1..

What are the factors involved in anal/=in# the load factor?
Answer:

Boad forecast is e"tre$el/ i$ortant in lannin#: distribution networ< and caacit/ addition.
+he factors involved in anal/=in# load forecast are
;Anal/sis of ast trends of #rowth in electricit/ de$and
;0/ste$ load forecast vi=. forecasts of load for the entire stud/ area
;0atial or s$all area load forecast @Division of 4tilit/ service 1area into sufficientl/ lar#e
nu$ber
of s$all areas and forecast for each s$all areaA
Question: 15.

8ow does the enact$ent of 1lectricit/ Re#ulator/ co$$ission Act;1775 hels?
Answer:

+his hels in avin# the wa/ for creation of indeendent re#ulator/ co$$issions at the center
and
in the states with a view to brin# in