NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd (A wholly owned subsidiary of NTPC)

NTPC Electric Supply Company Ltd.

VISION

To deliver quality power to the Nation by creating models of excellence and benchmarks in electricity distribution thereby achieving customer delight.

NTPC Electric Supply Company Ltd.

MISSION

To create a role model in the electricity distribution business by setting new benchmarks. To speedily plan and implement distribution networks using state-of-the-art technologies. To provide transparent, ethical and prompt services for enhancing customer delight. To adopt creative and innovative techniques for demand-side management and financial viability of the distribution businesses.

NTPC Electric Supply Company Ltd.

MISSION cont...

To provide reliable, uninterrupted and quality power at appropriate tariffs. To achieve effective energy accounting by ensuring accurate metering, timely billing and collection of revenues. To create competent and committed human resource by nurturing technological & commercial competence for organisational growth and excellence.

NTPC Electric Supply Company Ltd.

NESCLs Core Competency

In house skills in Engineering, Procurement, Execution and Financial Management. Proven Project Management Skills Ability to infuse new and state-of-the-art technology Experience gained from APDRP Assignment. Well established Quality Assurance & Inspection system Proven capability in Renovation and Modernization

NTPC Electric Supply Company Ltd.

Services Rendered By NESCL Planning and Scheduling Monitoring & Generation of MIS Quality Assurance & Inspection support. Engineering support. Contracts Management support. Preparation of project/ feasibility reports. System Compliance Study

NTPC Electric Supply Company Ltd. Outline

Rural Electrification Works (RGGVY) New Business opportunities Other Consultancy Assignments About RGGVY 2% Assignment Business Plan 2008-14

NTPC Electric Supply Company Ltd.

Rural Electrification Initiatives Rajiv Gandhi Grameen Vidhyutikaran Yojana (RGGVY)
Ministry of Power had introduced the scheme Rajiv Gandhi Grameen Vidhyutikaran Yojana (RGGVY) during the 10th Plan Period in April 2005, with the aim of providing electricity in all villages and habitations and access to electricity to all rural households. NTPC had been assigned turnkey execution of rural electrification works as an implementing agency on behalf of the state Govts covering more than 40,000 villages in the states of Madhya Pradesh, Chhattisgarh, Jharkhand, Orissa ,West Bengal, Kerala & Lakhsha Dweep. Under the scope of NTPC, during the 10th plan period 8 projects were approved and in the 11th plan period another 22 projects were approved after the cabinet sanction of the 11th plan scheme in Jan 2008. Work in all these projects under the scope of NTPC is in progress after the release of the awards as per the sanctions.

NTPC Electric Supply Company Ltd.

Rural Electrification Scope under NTPC
State No. of Projects allocated No. of Projects approved No. of Villages Covered No BPL HH to be Electrified under the scheme

Chhatisgarh
Jharkhand Madhya Pradesh

5
8 4

4
8 2

5271
12202 4024

290041
456641 98198

Orissa
West Bengal Kerala Laksha Dweep TOTAL

12
4 6 1 40

12
4 0 0 30

15962
3797 335 9 41600

1328638
615091 104353 2892962

As on now 2840 villages including 92000 BPL HH have already been electrified and the erection work is in progress in more than 9000 villages.

NTPC Electric Supply Company Ltd.

New Business opportunities

NTPC Electric Supply Company Ltd.

Status on KINFRA JVC

Signing of JVA on 24th July 2008 Name KINESCO Power and Utilities Private Limited approved by RoC on 3rd Sept08. KINESCO incorporated with RoC on 17th Sept08. as an Indian Non-Government Company (unlisted). The Registered Office is at KINFRA HOUSE, Sasthamangalam, Trivandrum. Transfer of license is under progress Expected to start operation from 1st Jan 2009

NTPC Electric Supply Company Ltd.

Retail Supply Distribution in SEZ area
Sl. No Developer Project Location Project Type/ Status Total Load Requirement Time Line (Completion Schedule) Initial Power Requirement

SEZ 01 Ansal API Greater Noida Notified Work in Progress SEZ 02 55 MW 2014-15 2009-10

Parsvanath Developers

Indore

Notified
Work in Progress

90 MW

2012-13

2009-10

SEZ
03

Unitech

Gurgaon

Notified
Work in Progress

20MW

2010

Dec 2009

NTPC Electric Supply Company Ltd.

WAY FORWARD
Activity Status/Time line

HOA with Ansal API, Parsvanath, Unitech

Completed

Phase-I Immediately start following three activities

simultaneously in Appointment of consultants for financial appraisal & technical consultant for preparation of FR/ DPR / Engg. Financial appraisal Preparation of FR/ DPR Signing of JV Agreement

IDFC appointed at consultant EIL is awarded for this job

Phase-II Take up the following activities

Sign GSA/ TS with GAIL Award of Work End of Jan 2009 Feb-mar 2009

Phase-III Project Implementation

December 2008 Feb/ March 2010

Back

NTPC Electric Supply Company Ltd.

Other Consultancy Assignment

NTPC Electric Supply Company Ltd.

Turnkey Consultancy Assignment
S L N o 1.

Particular
Design, Engineering, Procurement, Erection, Testing & Commissioning of 66/11 kV new substation at Manimajra & Associated 66 KV double circuit line.

Client
UT- Chandigarh Administration

Status
Completed

2.

Augmentation of 66/11 kV substation at Industrial Area Ph-II.

UT- Chandigarh Administration

Completed

3.

Conversion of three circuits of 66 kV overhead line by under ground cable

UT- Chandigarh Administration

Completed

Contd..

NTPC Electric Supply Company Ltd.

Turnkey Consultancy Assignment
S N o

Particular

Client
Department of Art, Culture, Sports & Youth Affairs; Govt. of Jharkhand Madhya Pradesh Madhya Kshetra Vidyut Vitran Company Ltd. (MPMKVVCL) BPCL-Kochi Refinery, Kochi

Status
Work is in the final stage of completion

4. Procurement ,erection, testing &

commissioning of 3x10 MVA 33/11kV Substation with allied equipment at Mega Sports Complex Hotwar and associated 33kV Line

Turnkey execution of APDRP works in the districts of Ashoknagar & Shivpuri in the state of Madhya Pradesh.

Work in Progress

Project management consultancy services for construction of 220kV switchyard and associated work

Work in progress

Contd..

NTPC Electric Supply Company Ltd.

Third Party Inspection on behalf of Utility

Utility

UPCL
Uttaranchal Power Corporation Ltd

MPPoKVVCL
M.P. Poorva Kshetra Vidyut Vitran Co. Ltd.

Agreement /Contract Date Inspection Man Days

22nd Mar-06 214

2nd Mar-07 271

Nos. of Inspection calls attended

Billed Amount (Rs.) Amount Received (Rs.)

107
34,42,892 26,87,408

169
49,54,817 21,99,486

Contd..

NTPC Electric Supply Company Ltd.

Preparation of Quality System Manuals/ Feasibility Report /Detailed Project Report
SL No

Particulars

NESCL Fee
(Rs.Lakhs)
Rs 10.5 plus actual expenditure on tour etc. Rs.5 Lakhs plus actual expenditure incurred on survey etc. Rs.9 Lakhs

Client

Status

1.

Preparation of Quality System Manuals

CPDCL through KPMG Cochin Port Trust

Completed. Rs. 10.5 Lakhs received. Contract closing is in progress. FR submitted and accepted by CPT. Payment Received.

2.

Carry out Feasibility study for Power Supply arrangement to Port based Special Economic zone at Vallapadam and Puthuvypeen. Preparation of DPR for Power Supply arrangement to Port based Special Economic zone at Vallapadam and Puthuvypeen.

3.

Cochin Port Trust

Detailed Project Report submitted and accepted by CPT. Payment Received.

NTPC Electric Supply Company Ltd.

RGGVY Assignment under 2% option Post Award Project Monitoring & Supervision of Quality of work during execution

NTPC Electric Supply Company Ltd.

RGGVY : Post Award consultancy work of Project Monitoring and Quality Assurance
Details
Site office
Date of Quadripartite Agreement Date of Supplementary Agreement Receipt of 1st installment Office Set-up No. of months completed Amount received (Rs. Crs) No. of employees posted No of Installments Released to UTILITY No of Installments Released to NESCL

Uttarakhand
UPCL
(Dehradun)
20th Mar-06 20th Mar-06 5th Sept-06 Dec-06 18 2.9 7 3 2

Madhya Pradesh
MPPoKVVCL
(Jabalpur)

Karnataka
(Bangalore)
1st oct-06 14th Feb-07 3rd may-07 Aug-07 10 1.89 2 3 1

MPPsKVVCL
(Indore)
12th Aug-05 12th Aug-05 21st July-06 Feb-07 15 0.37 3 1 1

12th Aug-05 12th Aug-05 11th Sept-06 Feb-07 15 2.16 3 2 2

NTPC Electric Supply Company Ltd. Post Award consultancy work of Project Monitoring and Quality Assurance Financial Details
Sl No State Total Nos of District No of Projects Where NESCL is involved
6 2 4 4 17 5 240 68.11 171.89 220.59 375.39 123.27

Project Cost (Rs. Crs.)

NESCL Service charges envisaged (Rs. Crs.) 2%

NESCL Service charges received (Rs. Crs.)

2.53 0.37 2.16 2.90 1.89

1 1.1 1.2 2 3 3.1

Madhya Pradesh (In 2 DISCOMs) Paschim Kshetra Poorva Kshetra Uttarakhand Karnataka (In 4 DISCOMs) BESCOM

32 13 19 13 23 6

4.8 1.23 3.59 3.81 7.50 2.47

3.2
3.3 3.4

HESCOM
GESCOM CESC

7
5 5

5
4 3

95.58
78.39 78.15

1.91
1.57 1.57

1.89

Total

83

27

1076

21

9.85

NTPC Electric Supply Company Ltd.

Business Plan 2008-14

NTPC Electric Supply Company Ltd.

MANAGEMENT AGENDA FOR 2009-14

Target (200914) 1200

Activity

Unit

Target (2009-10) 100

Distribution capacity

MW

Rural electrification No. of villages

32000

15000

NTPC Electric Supply Company Ltd. MAJOR STRATEGIES FOR 2009-14

Strategies Action Plan Leverage Sectoral Reform opportunities for maximizing the revenue. Execution of Rural Electrification Services are being work in various States under Rajiv provided after Gandhi Grameen Vidyutikaran Agreement Signing Yojana (RGGVY). for Projects of Xth & XIth Plan projects. Providing Consultancy services in Business Distribution Business and executing Development Group the works on Deposit basis for other is already active to Agencies. explore the possibilities of new Business in this area.

NTPC Electric Supply Company Ltd.

Other Key Targets for 2009-10 as per NESCL Business Plan 2009-14
Key Activity Village electrification Identification of new distribution areas Study and preparation of business proposals for identified distribution areas. Start of new consultancy assignments related to electricity distribution. SEZ identification and tie-up with SEZ for distribution Distribution Capacity addition Revenue from Various Assignments ( Project Consultancy Business / Project Turnkey Execution in Distribution / Rural Sector etc) (Subject to timely release of funds from REC, else target will be revised on pro-rata basis) Targets Electrification of 15,000 villages 2 Nos 2 Nos 2 Nos at least one Distribution Area 100 MW Rs. 100.5 Crores ( Approx.)

DISTRIBUTION CAPACITY ADDITION (IN MW)

Sl No
1

NTPC Electric Supply Company Ltd.

Activity
JV Greenfield Distribution Business in SEZs / New Industrial Areas via Captive Generation Total

200914 260

0910 20

1011 40

1112 40

1213 80

1314 80

940

80

80

100 340 340

1200

100

120 140 420 420

NTPC Electric Supply Company Ltd.

REVENUE SUMMARY
( Excluding Future Retail Distribution Business) (RS MILLIONS)
Sl No Activity Area 2009-14 1 RGGVY Turnkey Assignment 1141.76 2 RGGVY 2% assignment 8.69 3 Consultancy Assignment (Turnkey+ 3rd Party Inspection + Others) Total : 8.69 0.00 0.00 0.00 0.00 971.35 170.41 0.00 0.00 0.00 09-10 10-11 11-12 12-13 13-14

170.00

25.00

30.00

35.00

40.00

40.00

1320.44

1005.03

200.41

35.00

40.00 40.00

NTPC Electric Supply Company Ltd.

RGGVY PROJECT WISE REVENUE DETAILS
(RS MILLIONS)

RGGVY Turnkey Assignment

Sl No 1.1 1.2 Area RGGVY-West Bengal RGGVY-Chhattisgarh 2009-14 192.37 79.86 09 - 10 163.66 67.94 10 - 11 28.71 11.92 11 - 12 0.00 0.00 12-13 0.00 0.00 13-14 0.00 0.00

1.3
1.4 1.5 1.6

RGGVY-Jharkhand
RGGVY-Orissa RGGVY-Madhya Pradesh RGGVY-Kerala Sub Total (1)

400.57
468.95 0.00 0.00 1141.75

340.78
398.96 0.00 0.00 971.34

59.79
69.99 0.00 0.00 170.41

0.00
0.00 0.00 0.00 0.00

0.00
0.00 0.00 0.00 0.00

0.00
0.00 0.00 0.00 0.00

Note : Revenue related to RGGVY is subject to timely release of the funds from REC.

NTPC Electric Supply Company Ltd.

RGGVY PROJECT WISE REVENUE DETAILS
(RS MILLIONS)
Sl No Area 2009-14 09 - 10 10 - 11 11 - 12 12-13 13-14

RGGVY 2% assignment Sub Total (2)

8.69 8.69

8.69 8.69

0.00 0.00

0.00 0.00

0.00 0.00

0.00 0.00

Sl No 3

Area Consultancy Assignment Sub Total (3)

2009-14 170.00 170.00

09 - 10 25.00 25.00

10 - 11 30.00 30.00

11 - 12 35.00 35.00

12-13 40.00 40.00

13-14 40.00 40.00

Note : Revenue related to RGGVY is subject to timely release of the funds from REC.

NTPC Electric Supply Company Ltd.

VILLAGES ELECTRIFICATION PLAN

Year Villages

2009-10

2010-11

2011-12

2012-13

Grand Total

15000

17000

32000

Note : Village Electrification targets are subject to timely release of the funds from REC.

NTPC Electric Supply Company Ltd.

NESCL Service Charges from Consultancy Business (Rs Millions)
Sl No Area
1 3rd Party Inspection & 20.79 Others e.g. Preparation of Manuals/ FR / DPR 2 Turnkey Execution Sub Total 152.06 22.06 25.00 30.00 35.00 40.00 172.85 42.85 25.00 30.00 35.00 40.00 20.79 0.00 0.00 0.00 0.00

2008-13 08 - 09 09 - 10 10 - 11 11 - 12 12-13

NTPC Electric Supply Company Ltd.

DISTRIBUTION CAPACITY ADDITION
Sl No Activity
1 2
(IN MW)

Area

2008-13

08-09 09-10 10-11 11-12 12-13

20 0 20 80 40 100 40 110 80 110

JV
Greenfield Distribution Business in SEZs / New Industrial Areas via Captive Generation Acquisition/ Management Control of Distribution Area

KINFRA 200 400

400

100

100

100

100

Total

1000

20

200

240

250

290

ASSUMPTIONS KINFRA: The JV will be incorporated after approval from Kerala State Govt # - Other expected areas of Retail Distribution Business: Ghaziabad, Meerut of Uttar Pradesh & Ranchi in Jharkhand
Note : Capital requirement / revenue from this area will be given after the Finalisation of concern Business Proposal

NTPC Electric Supply Company Ltd.

Thank You.

NTPC Electric Supply Company Ltd.

SL No Site Office 31-03-08 1 2 3 4 5 6 7 8 9 Date of Quadripartite Agreement Date of Supplementary Agreement Office Set-up Duration for approved Cost sheet (months) No. of months completed after office setup till Mar08 NESCL service charges (Rs Crs) Amount received till date from REC (Rs. Crs) Expenditure approved as per cost sheet (Rs. Crs) Prorata approved expenditure as per Cost sheet till Mar-08 (Rs Crs) Actual expenditure (including employee and Office establishment cost) upto Mar-08 (Rs Crs.) Employee cost @ Rs 1 Lakh/Employee/Month (Rs Crs) Other Site Cost (Rs Crs) Projected profit (Rs Crs) (6 - 8) Saving w.r.t. approved expenditure Till Mar -08 (Rs Crs) (9-10)

Expenditure Details MPPoKVVCL (For MPPsKVVCL (For 3 (for 4 distt.)

4 distt.) distt.) 20-Mar-06 20-Mar-06 Dec-06 24 16 4.41 2.9 3.87 2.61 12-Aug-05 12-Aug-05 Feb-07 18 14 4.43 1.08 3.02 2.37 12-Aug-05 12-Aug-05 Feb-07 24 14 2.68 0.37 2.19 1.29

Uttrakhand

Madhya Pradesh

Karnataka Bangalore (For 17 distt.) 01-Oct-06 14-Feb-07 Aug-07 30 8 12.27 1.89 9.86 2.66 23.79 6.24 18.94 8.94 Total (Rs Crs)

10

1.33

0.59

0.57

0.26

2.75

10.1 10.2 11 12

1.13 0.200 0.54 1.28

0.42 0.167 1.41 1.78

0.42 0.146 0.49 0.72

0.16 0.098 2.41 2.40

2.14 0.610 4.85 6.18

NTPC Electric Supply Company Ltd.

Chandigarh S/S Pic-1

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

Chandigarh S/S Pic-2

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

Chandigarh S/S Pic-3

NTPC Electric Supply Company Ltd.

Chandigarh Cable Assignment

NTPC Electric Supply Company Ltd.

Chandigarh Cable Assignment-2

NTPC Electric Supply Company Ltd.

Chandigarh Cable Assignment-3

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.

NTPC Electric Supply Company Ltd.