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Praveer SinhaCEO & MD, Tata Power
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From where it all started…
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From where it all started…
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Leaving With Few Questions to Ponder Over…On The Challenge of Reform in New Delhi ..
Why did Indian SEBs* perform poorly as commercial entities, and how were they politicized?
What channels of collusion and corruption existed between Indian SEBs, their customers, and local government?
Who were the key stakeholders supporting and opposed to privatization? How were the concerns of opponents neutralized??
What are the key activities and responsibilities of regulatory institutions for utilities? Why are regulatory institutions important – why are these
activities not under the government’s purview?
What were the a) key risks and b) key opportunities to privatizing the DVB#
a. For the Delhi government? b. For Delhi residents?c. For investors?
*State Electricity Boards; #Delhi Vidyut Board
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51:49 Joint Venture of The Tata Power Company Limited
(Tata Power) and
the Government of Delhi in License Area: North and North West Delhi (510 sq. km)
“To be the most trusted and admired provider of reliable, competitive and sustainable power and services, using technology and innovative
solutions and be the utility of choice for all stakeholders”
Beginning of New Era….
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Improving Reliability and Quality of Power - Network / System
Revamping o Run-Repair-Replace Options – CAPEX Plan Preparation o Roadmap for Network Reliability & N-1 Redundancy
1
State of Art IT/OT Interface for enhanced Consumer Services and
Revenue Protectiono Automation & IT Roadmap
2
Understanding Customer Needs and Requirementso Customer Satisfaction Survey o Participation of Society / Meetings with Stakeholders
3
4 Commercial Process Reengineering – an industry first!
o 9 Module RCM o Consumer Segmentation
5 Performance Measurement and Managemento Peer Competition through Monthly Score Cards o Roles & Responsibilities through specific JDs & KRAs of individuals
6 Establish TATA Brand Imageo Govern in the psyche of the Employees by Developing a Sense of Assurance o Social Audit and Corporate Sustainability
Reforms Strategy
Focus on leveraging technology for effecting
disruptive change in Customer Experience
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we believe in ……..
MAKING A DIFFERENCEParameter Unit July ‘02 March‘18
% change
OPERATIONAL PERFORMANCE
AT&C Losses % 53.1 8.40 85%
System Reliability – ASAI -AvailabilityIndex
% 70 99.67 42%
Transformer Failure Rate % 11 0.71 95%
Peak Load MW 930 1852 85%
Length of Network Ckt. Km 6750 15378 128%Street Light Functionality % 40 99.41 150%
CONSUMER RELATED PERFORMANCE
New Connection Energization Time Days 51.8 2 96%
Meter Replacement Time Days 25 2.09 92%
Provisional Billing % 15 0.65 94%
Defective Bills % 6 0.34 98%
Bill Complaint Resolution Days 45 2 95%
Mean Time to Repair Faults Hours 11 1.3 87%Call Center Performance - Service Level % - 94Payment Collection Avenues Nos. 20 6725 33525%
Consumer Satisfaction Index % - 91
OTHERS
Capex (Cumm) Mn USD 187 1060 467%
ConsumersCount
Mn0.7 1.7 143%
Employees Count 5600 3283 41%
AT&C Loss Reduction
Consistently Exceeding Targets
• The cumulative savings to Delhi Government has been nearly Mn USD 9000 due to Delhi Discoms andMn USD 3400. on account of TPDDL. This has allowed the Government to utilize funds in otherinfrastructural development activities such as Metro rails, building elevated roads, flyovers,education support and social support.
• The total benefit of reduction of losses was passed on or used to offset the increase in procurementprice of power and benefit of this was passed to the consumers of Delhi by keeping power tariff low.
• Initial investment of USD 57 Mn out of which TPC is USD 29 Mn and USD 28 Mn by GONCTD• Payout out of cumulative dividend of USD 107 Mn (out which USD 55 Mn to TPC & USD 53 Mn to
GONCTD)
47.6 45.3540.85
35.3531.1
22 20.35 18.68 1713 12.5 11.5 11 10.8 10.5 10.4
47.7944.86
33.79
26.5223.73
18.56 16.74 15.16 13.75 11.49 10.78 10.5 9.78 8.88 8.59 8.40
10
20
30
40
50
60
FY 03 FY 04 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 FY15 FY16 FY17 FY18
Tata Power -DDL Loss Reduction Trajectory from 2002-03 to 2017-18
DERC Target Actual
One of the Most Successful Private Power Distribution Utility
Transformation At Glance…
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Support by Big
Data Analytics
Front runner in Technology Implementation to improve
efficiency and consumer service delivery
Integrated
CRM system
Firsts at Tata Power - DDL
Edison Award 2008 for GIS Implementation
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Lower No Current Complaints
Better Reliability Assessment
Estimated Restoration Time
Outage Prediction at Equipment level
Integrated GIS-OMS-SCADA-CRM
GIS
Details of the customer &
Customer Count
Information of an Outage
Details like repair history, Crew comments, ETR also
visible at SAP-CRM
OMS Integrated Monitoring
Interactive Voice Response (IVR) System
SAP - CRMOutage status updated on TPDDL website with estimated time of
restoration
Tata Power – DDL Initiatives
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Slums Around Tata Power-DDL Area: Context
Life in a SLUM 223 JJ clusters / Resettlement colonies under TPDDL area(90% on public land*)
Approx. 1 Million Residents in these slums
Primary occupation of residents - Daily wage earners,factory workers, rickshaw pullers, domestic help, hawkersetc. doing menial jobs to sustain their families.
Demographic Profile: Lack of Pure Drinking Water
Inadequate Sanitary facilities–unhygienic conditions(22% still do not have lavatory facility* )
Lawful electricity to more than 200 ThousandHouseholds provided by TPDDL
TPDDL working consistently on improving quality of Lifefor JJ residents : through CS interventions
* Source: Urban Slums in Delhi, 2012, DIRECTORATE OF ECONOMICS & STATISTICS
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Taking Care of Bottom of Pyramid
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HIGH END consumers who stole because of
Challenge of tackling low end slum consumer who were stealing for
Abandoned & neglected Segment
Low paying capacity
No ownership proof
Unsafe electrical network –Direct
hooking's
Political patronage-Vote bank
Low trust with utility
AT&C loss reduction thru Innovative business case by providing
“Identity”, “Affordability” &“CSR Interventions”to win over the Slum dwellers
Trigger for Innovation
Generating Smiles
Special Consumer Group
Social Innovation Group
TPPDL started Initiatives for• Health Care• Employment • Employability• Education• Entrepreneurship
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Overcoming Challenges in Supply of Electricity in Slums
1. No Property Ownership Record/Document
2. High Theft & High Hooking Practices
3. Low Paying Capacity4. Non Affordable Bill and
delivery of bills
5. Trust/ Relationship Building and Facilitation
Making New Connection affordable for the Slum
Cluster(SCG) consumers
1000+ Instant camps heldfor same day Meter installation.
Reduced New connectioncharges more than 50 % :From Rs. 3600 to Rs. 1550
Upfront payment Rs 350/-balance 24 EMI of Rs. 50.
Incentive of Accidentalinsurance cover of Rs 1 lac formetered connection.
Waiver of old unidentifiedand unclear dues
Socializing Risks and Cost
Technological Solns. for Safe Electrification
and Metering
Safe Electrification using LT ABC & Armored cables.
Customized Metering :
o Individual Meter
o Group metering
o Cubicle Metering
o Pole & Split Metering arrangements
Regular removal of hooking's.
Indexing of JJ Cluster Door to door indexing &
marking SCG Jhuggi’s Nos.
Indexed 1,80,000consumers
SCG Sequence Number :functional address forservicing the consumers.
GIS map from the indexeddata.
MLA Letter/Affidavit : Proofof occupancy
Ministers & MLA’s asambassador of change.
Billing for SCG Consumer
Introduced Monthly Online Spot Billing to ensure 100% delivery of bills on same day.
Due dates matching with salary/wage dates
Instant onsite billing clarifications if any.
Advocated subsidy of Rs. 1 per unit of electricity for low consumption
Pradhan Meet Like RWA meets, Pradhan
meets has been organized Information on Safety,
consumer centric and CSRinitiatives of the companyhas been shared
Approx. 300 Pradhan'sparticipated in thesemeets.
Spreading message incommunity
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Blood Donation
Drug Deaddiction
Camps
Tree PlantationHarit-ek-Pahal
Mobile Dispensary
van
Vocational Training
Adult Literacy Center for
Women
Tutorial Centers
Helping the Special AbledAwareness
Campaigns
Commitment to Affirmative
Action - E,E,E
Warm Clothes Donation
Support to Child Homes
Reaching out to People in Licensed Area through various Initiatives
Tata Power – DDL: Social Innovation
In a free enterprise, the community
is not just another stakeholder in
business, but is in fact the very
purpose of its existence- (Jamsetji
TATA).
We need to give back to the society
manifolds than what we get from it-
(JRD TATA).
Enhancing human excellence and
improving the quality of life is our
endeavor- (Tata perspective on CSR).
Guiding Principles
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INTENT
Imparting Computer based functional literacy to the illiterate women residing in JJ Clusters/ Resettlement colonies/ Villages through 350 Women Literacy Centres.
UNNATI - Women Education
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INTENT
• Imparting training in various skill generation trades to the underprivileged youth and school dropouts.
• Providing tutorial classes to support supplementary education needs of children from Class 1 to 10.
UNNATI - Vocational Training Programs Cum Tutorial Classes
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UNNATI - Abha (Earn While Learn)
Engagement in Commercial
activities
Each Abha aligned with 250-300
consumers
Leading Ladies –25-30 Abha’s
aligned
Improved Parameters –
CDI/AT&C/ Safety Index
Social and Financial Empowerment for
Slum Women
Consistent and Regular Training and Feedback
A Successful and Sustainable Social Innovation
Then Now
Slum Women Emerging Leader
5 841 1000
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SANJEEVANI- Providing Potable Drinking Water
INTENT
To provide clean drinking water at Govt. Schools, JJ Clusters & resettlement Colonies.
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SANJEEVANI - Mobile Dispensary
INTENT
Providing basic health services to communities residing in JJ clusters/Resettlement Colonies where finding qualified doctors and affordable apt health facilities is a
distant dream.
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SANJEEVANI - De-Addiction Camps
INTENT
Disseminating awareness about ill effects of drug addiction and free distribution of medicines.
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75045 84959
64911 172295347912
411126 420006 430000
75045160004
224915397210
745122
1156248
1576254
2006254
0
500000
1000000
1500000
2000000
2500000
FY 11-12 FY 12-13 FY 13-14 FY 14-15 FY 15-16 FY 16-17 FY 17-18 FY 18-19*
Social Innovation-Overall Beneficiaries
No. of beneficiaries(YTM) No. of beneficiaries (Cum.)
Creating a Business Case
Social Innovation has benefitted 2 Mn People till date and has improved the
overall business for Tata Power-DDL