ndpl

NDPL ConsultingNorth Delhi Power Limited

5 years of 5 years of Sustained Efforts Towards Sustained Efforts Towards

Business Excellence Business Excellence

Sunil WadhwaSunil WadhwaChief Executive OfficerChief Executive Officer

NDPLNDPL

FICCIFICCI25 July, 200725 July, 2007

5 years of Sustained Efforts towards Business Excellence

Structure of PresentationStructure of Presentation

•• NDPL profileNDPL profile

•• Initiatives towards consumer affectionInitiatives towards consumer affection

Network Reliability Improvement

Reduction in AT&C Losses

Consumer care initiatives

•• Team NDPL Team NDPL –– Change Management InitiativesChange Management Initiatives


Geographic DescriptionGeographic Description

NDPLNDPL

BSES BSES RajdhaniRajdhani

BSES BSES YamunaYamuna

NDMCNDMCMESMES

Joint Venture of TATA Group with Delhi Govt.Joint Venture of TATA Group with Delhi Govt.51:4951:49%%


NDPL ProfileNDPL Profile

1055 MW1055 MWPeak LoadPeak LoadRs. 2052 Cr Rs. 2052 Cr (enhanced from Rs 1100 in FY 03)(enhanced from Rs 1100 in FY 03)Turnover (FY 2006Turnover (FY 2006--07)07)

1245 (National Average of 500,1245 (National Average of 500,Mumbai Mumbai –– close to 850)close to 850)

Per Capita Consumption (Units)Per Capita Consumption (Units)

07% / 05% 07% / 05% Load / Energy Growth Load / Energy Growth 0.620.62Employees per Mn. Unit inputEmployees per Mn. Unit input1784 (Only Registered)1784 (Only Registered)Number of consumers per Number of consumers per Sq.KmSq.Km

4.5 Mn. 4.5 Mn. Population serviced in Network area (approx)Population serviced in Network area (approx)510 Sq Kms510 Sq KmsAreaArea3700 (5600 in July 2002)3700 (5600 in July 2002)Number of employeesNumber of employees0.91 Mn. (Actual estimated 1 Mn.) 0.91 Mn. (Actual estimated 1 Mn.) Total registered consumers Total registered consumers (0.743 Mn on T/o)(0.743 Mn on T/o)

5950 Mn. Units5950 Mn. UnitsAnnual energy requirement (FY 2006Annual energy requirement (FY 2006--07)07)


Strategic RoadmapStrategic Roadmap –– pillars for 2002pillars for 2002--0707

Lack of Performance Lack of Performance OrientationOrientation

Electricity Supply Electricity Supply systemsystem on the verge of on the verge of

collapsecollapse

No concept ofNo concept ofconsumer service & IT consumer service & IT

InterfaceInterface

AT&C LossesAT&C Losses>50%>50%

What NDPL had inheritedWhat NDPL had inherited

Performance Performance OrientationOrientation through through Change ManagementChange Management

System ReliabilitySystem Reliability to to be comparable with be comparable with

best utilities in India. best utilities in India.

Consumer service & IT Consumer service & IT InterfaceInterface to be to be

comparable with world comparable with world standardsstandards

AT&C Losses AT&C Losses <25%<25%

Strategy for 2002Strategy for 2002--0707

>50%>50% 1,00,000 1,00,000 backlog backlog

complaintscomplaints

No planned exp. No planned exp. on infrastructure on infrastructure

improvement improvement past 3yrspast 3yrs

5400 erstwhile DVB staff 5400 erstwhile DVB staff withwith

Unfavorable working Unfavorable working conditionsconditions










Initial Challenges in July 2002Initial Challenges in July 2002 –– Power SupplyPower Supply

Transformers’ failure w.r.t. installed capacity was as high as 11%

Reduced to insignificant level of 0.76% at presentReduced to insignificant level of 0.76% at present

48% Streetlights FunctionalIncreased to 99%Increased to 99%

•• NDPL inherited an old dilapidated Network, which was characterizNDPL inherited an old dilapidated Network, which was characterized ed by the following attributes: by the following attributes:


Power Supply ImprovementPower Supply Improvement -- InitiativesInitiatives

•• Interventions undertaken as a comprehensive integrated plan of:Interventions undertaken as a comprehensive integrated plan of:Run-Repair-Replace Options –– CAPEX Plan prepared till FY08CAPEX Plan prepared till FY08Roadmap for Network Reliability & N-1 Redundancy (66 & 33 kV Network (66 & 33 kV Network is on Nis on N--1)1)Automation & IT Roadmap (formulated in association with M/s KEMA, USA)(formulated in association with M/s KEMA, USA)

Revamped Substations


Breakthrough InitiativesBreakthrough Initiatives

•• Unmanned Automated 66 kV, 33 kV Grid Stations.Unmanned Automated 66 kV, 33 kV Grid Stations.

•• State of the art SCADA centerState of the art SCADA center

•• High Voltage Distribution system.High Voltage Distribution system.

•• ArcArc--proof Package Units at 11kV Networkproof Package Units at 11kV Network

•• Remote operated GSM based Street Lighting switches.Remote operated GSM based Street Lighting switches.

•• 24x7 Operational Stores, material delivery at site.24x7 Operational Stores, material delivery at site.

NDPLNDPL’’s SCADA Center s SCADA Center DelhiDelhi’’s first packaged stations first packaged station

DelhiDelhi’’s first unmanned grids first unmanned grid


Network AugmentationNetwork Augmentation

46463771377125782578kmkmTotalTotal

73735787578733543354MVAMVATotalTotal

44443232323222452245kmkm11 kV11 kV

8787291291156156kmkm33 kV33 kV4040274274176176kmkm66 kV66 kV

Transmission LinesTransmission Lines

11 kV11 kV

33 kV33 kV

66 kV66 kV

LevelLevel

28372837

15001500

14501450

20072007

17031703

791791

860860

On takeoverOn takeoverJul 2002Jul 2002

6767MVAMVA

9090MVAMVA

6969MVAMVATransformation Transformation CapacityCapacity

% Change% ChangeUnitUnitParticularsParticulars

Capital works of over Rs 1350 Crores commissioned in just 5 years

NDPL has met highest ever demand of 1055 MW this Summer!!


GIS GIS –– Salient FeaturesSalient Features

•• Complete Geography Complete Geography mapped. mapped.

•• Accurate Land base Accurate Land base to the extent of 1 to the extent of 1 meter accuracymeter accuracy

•• Network at all Network at all voltage level mappedvoltage level mapped

•• Grid and Substation Grid and Substation Internal Equipment Internal Equipment MappedMapped

•• More than 0.8 More than 0.8 MnMnConsumers mappedConsumers mapped


GISGIS--Application & UsageApplication & Usage

•• Technical Feasibility & all new and augmentation Technical Feasibility & all new and augmentation Scheme PreparationScheme Preparation

•• Fault ManagementFault Management•• Premises location for Revenue RecoveryPremises location for Revenue Recovery•• Map for Right of Way ApprovalMap for Right of Way Approval•• Project MonitoringProject Monitoring•• Other commercial applicationsOther commercial applications-- New connections, New connections,

metering, dues checking etcmetering, dues checking etc

NDPL has won the “PC Quest Best Information Technology Implementation Award 2007” under the category of “Most Challenging Project” for Successful Implementation

of GIS


ResultsResults –– Transformer failure rateTransformer failure rate

11%

3.52%

0.76%0.89%

5.04%6.43%

0%

2%

4%

6%

8%

10%

12%

Takeover 2002-03 2003-04 2004-05 2005-06 2006-07

Transformer failure rate reduced to insignificant levels


Reaching out to consumers..Reaching out to consumers..

Call Received at Call Centre

Consumer informed & Call closed

Complaint attended & Call

Centre informed

SMS Sent to concerned crew

K.R. Kalra32B RohiniNo Current

15mins

SMS based Fault Management System SMS based Fault Management System --significantly improved the fault Restoration timesignificantly improved the fault Restoration time

Advance Intimation to consumers Advance Intimation to consumers --load shedding schedule in event of Grid Shortagesload shedding schedule in event of Grid Shortages


Revamped Revamped ––Project Last MileProject Last MileDilapidated Condition of Poles Dilapidated Condition of Poles










AT&C Loss Trend Pre-Privatisation

Comparison of AT&C TargetComparison of AT&C Target & Actual& Actual

40.85

33.79

35.35

31.1

53

47.79

44.86

26.5223.7

20

25

30

35

40

45

50

55

Pre Pre Opening FY 02-03 FY 03-04 FY 04-05 FY 05-06 FY 06-07Year

Perc

enta

ge A

T&C

Los

ses

Bid Loss Levels Actual Loss LevelTarget Loss Level

AT&C Loss Trend Pre-privatisation

VICTORY CURVE


Comparison of Tariff Envisaged & Actual TariffComparison of Tariff Envisaged & Actual Tariff

43%

0%

5%

21%

33%

39%

10% 18.00%14.00% 18.00%

0%5%

10%15%20%25%30%35%40%45%50%

2002-03 2003-04 2004-05 2005-06 2006-07

FY

% C

umul

ativ

e In

crea

se

% Cumulative Increase in Tariff envisaged % Cumulative Increase in Actual Tariff

% Cumulative Increase in Tariff


Saving to GovernmentSaving to GovernmentPower Sector Reforms Through Privatisation

Transitional Support Vs Continuing With Financial Loss

22%

27%

32%

37%

42%

47%

52%

57%

62%

67%

AT&

C L

oss

(%)

Scenario II -Cumulative Saving Rs. 2745 Cr

Scenario III

Rs. 400 Cr Rs. 550 Cr Rs. 570 Cr

Pre-privatisation losses burgeoning

Scenario I: Losses growing at same trend as in pre-privatisation Scenario II: Losses maintained at the same level as of privatisation.Scenario III: Losses lowered post privatisation.

Jul 02Apr 01

Post-privatisation:Lowering Losses leading to reduced subsidy

Mar 03 Mar 04 Mar 05 Mar 06

23.7%

Rs. 600 Cr

Mar 07

26.52%

33.79%

44.84%

51.09%

53.40%Rs. 625 Cr

Scenario II

Scenario I

Rs. 380 Cr Rs. 116 CrRs.307 Cr

Rs.170 Cr.Rs.93 Cr.

Rs.549 Cr.

Rs. 51 Cr

Rs.354 Cr.

Rs.625 Cr.

In 2002, Power Theft was about In 2002, Power Theft was about RsRs 4 4 crorescrores per day in NDPL areaper day in NDPL area-- Now it is at 1.6 Cr./dayNow it is at 1.6 Cr./dayIncrease in NDPL paying capacity reduced Increase in NDPL paying capacity reduced TranscosTranscos dependence on Govt. to NILdependence on Govt. to NIL

Domestic Tariff continues to be same since July 2004Domestic Tariff continues to be same since July 2004


AT&C LossesAT&C Losses –– Initial ChallengesInitial Challenges

•• Deficiencies/Inadequacies in Metering Deficiencies/Inadequacies in Metering systems/Technologysystems/Technology –– major cause of Revenue leakages

•• Erroneous consumer database Erroneous consumer database ––discrepancies resulting in non delivery of Bills/disconnection notices etc.

•• Collection inefficienciesCollection inefficiencies –– absence of consumer friendly payment avenues

•• Organized Theft of PowerOrganized Theft of Power –– ineffective process to deal with defaulters

Worsening the situation was the fact that the processes were prone to manipulation and hence resulted in unethical practices


Metering SystemsMetering Systems –– plugging the Revenue leakagesplugging the Revenue leakages

•• Meter Repository System Meter Repository System -- each Meter is issued against a specific K No. based on a random selection through a customized application.

this eliminates the probability of misuse & installation at misdirected place – institutional institutional check on manipulation.check on manipulation.

MRS Screen shotMRS Screen shot• 60% of the Revenue gets generated through

Automated Meter Reading Automated Meter Reading (all high end consumers > 15 kW)

•• Pre paid Metering Pre paid Metering –– enables consumers to track and monitor their consumption.

GSM Modem with meterGSM Modem with meterPrepaid meter Prepaid meter


Power Theft ControlPower Theft Control –– InitiativesInitiatives

•• Electrification on HVDS and LT ABC network Electrification on HVDS and LT ABC network –– To prevent tapping in theft prone areas and reduce technical losses

•• New Connection Camps in slumsNew Connection Camps in slums

•• DT wise Energy Accounting for calculation of DT wise Energy Accounting for calculation of Transformer wise AT&C LossesTransformer wise AT&C Losses HVDS at BasaidarpurHVDS at Basaidarpur

Removal of Hookings & New Connection camps for slum dwellersRemoval of Hookings & New Connection camps for slum dwellers










CMG RRG RDGMRG RBG RCGMMG

RAG

Policy Regulatory Bench Data Revenue Infrastructure User& System Advocacy Compliance Marking Analysis Protection Support Administration

Consumers

Call Center Customer care Center Website E ail letters Drop boxes

CCG

SAMBANDHSAMBANDH –– Integrated Commercial Package softwareIntegrated Commercial Package software-- Industry First!!Industry First!!

Business Process ReengineeringBusiness Process Reengineering


Consumer Feedback Consumer Feedback -- IMRB Quarterly SurveyIMRB Quarterly Survey

76.5070.25

63.00

75.5075.00

NDPL HCB HRB KCG Xpresss

Consumer Feedback is Key to our Improvement Initiatives


New ConnectionsNew Connections -- Home Delivery Home Delivery

New Connection at Door stepNew Connection at Door step

•• Field Service Executive (FSE)Field Service Executive (FSE)visits the consumers’ premises and completes all formalities for new connections.

•• Meter Installation through VAN ModelMeter Installation through VAN Model –initiative towards enhanced output, each Van installs about 7-8 meters per day.

Meter Installation Van Meter Installation Van

Initiatives towards expediting energization period of new connections


Average Energization period of New connectionsAverage Energization period of New connections

58.3

41.6833.9

14.8 13.9

51.8

36.5

26.4

9.5 90

10

20

30

40

50

60

70

2002-03 2003-04 2004-05 2005-06 2006-07

days

from date of application from date of payment

Attribute changes done within 48 hours


IT EnablementIT Enablement –– ushering in an era of transparencyushering in an era of transparency

•• SUGAMSUGAM –– Billing database of 100% of Billing database of 100% of consumers on website consumers on website –– first time in Indiafirst time in India, , institutionalized transparency from the very institutionalized transparency from the very beginning. SUGAM enables consumers to:beginning. SUGAM enables consumers to:

View BillView BillView Consumption GraphView Consumption GraphPrint Duplicate Bill.Print Duplicate Bill.

Screen shot from SUGAMScreen shot from SUGAM


Payment AvenuesPayment Avenues –– Consumer convenienceConsumer convenience

•• Payment avenuesPayment avenues increased from 20 at the time of takeover to 1100+ now.

•• State of the art Collection centersState of the art Collection centersinstituted with all civic amenities.

•• Payment of Energy Bills through Payment of Energy Bills through website alsowebsite also –– by credit cards –website certified as secure by ‘Verisign’.

• Consumer comfort redefined with Automatic Cash/Automatic Cash/ChequeCheque CollectionCollectionmachines


Consumer Relationship Consumer Relationship -- Segment wise approachesSegment wise approaches

RWA meetings in progressRWA meetings in progress

Structured Approach to Consumer Structured Approach to Consumer RelationshipRelationship –– CROs, Client A/c CROs, Client A/c Managers, Eminent Citizens, RWA & Managers, Eminent Citizens, RWA & IWA InteractionsIWA Interactions

Public Hearing ForumsPublic Hearing Forums-- Concerns Concerns addressed at Door step of Consumeraddressed at Door step of Consumer

‘‘Meet the Public Representative Meet the Public Representative ‘‘ scheme launched










Initial Challenges in July 2002Initial Challenges in July 2002 -- (Admin. & HR)(Admin. & HR)

Inherited a huge workforce of 5638 employees ––apprehensive with regard to their future in the changed apprehensive with regard to their future in the changed scenario.scenario.

Training – privy to only the privileged few privy to only the privileged few –– seen as paid seen as paid vacations.vacations.

No effective Corporate Structure –– No clear Roles & No clear Roles & Responsibilities with reference to JDs & KRAs.Responsibilities with reference to JDs & KRAs.Employee grievances – took long to resolvetook long to resolvePoor Working Conditions and unhygienic Building environment

The foremost priority was to earn the Right to Govern by developing a sense of assurance in their combined ability.


Organization Structure & ManpowerOrganization Structure & Manpower

•• Organization StructureOrganization Structure with clear Manpower with clear Manpower Planning for each departmentPlanning for each department

•• Induction of New TalentInduction of New Talent –– ETs & MTs as ETs & MTs as catalysts for the Change Management. catalysts for the Change Management.

Corporate set up in place – focus on Roles & Responsibilities through specific JDs & KRAs of individuals


Employee Competency DevelopmentEmployee Competency Development

•• Training Need IdentificationTraining Need Identification through the through the Performance Appraisal system itself.Performance Appraisal system itself.

•• Institution of CENPEIDInstitution of CENPEID –– in association with in association with USAID to cater to the training needs of its USAID to cater to the training needs of its own and other SEB’s employees.own and other SEB’s employees.

•• Training Policy formulatedTraining Policy formulated –– 6 days for 6 days for executives and 2 days for non executives.executives and 2 days for non executives.

•• Initiation of CFT approachInitiation of CFT approach –– for for handling critical concerns cutting handling critical concerns cutting across departments.across departments.


Employee CommunicationEmployee Communication

•• Joint Interaction ForumsJoint Interaction Forums constituted for constituted for effective two way communication.effective two way communication.

•• LGIE in association with ACCORDLGIE in association with ACCORD ––participation across all levels of employees.participation across all levels of employees.

•• Introduced Town Hall MeetingsIntroduced Town Hall Meetings ––unstructured reviews aimed at two way unstructured reviews aimed at two way communication.communication.

•• SURKHIYANSURKHIYAN –– monthly news bulletin for monthly news bulletin for employees.employees.

•• SARTHI SARTHI –– forum for resolution of forum for resolution of Grievances instituted. Grievances instituted.

Policies on Ethics, Harassment & standardization of Employee rules


Corporate Social ResponsibilityCorporate Social Responsibility


Corporate Social ResponsibilityCorporate Social Responsibility-- Energy ClubsEnergy Clubs

Energy Conservation Camps Energy Conservation Camps implemented in schoolsimplemented in schools with 15000 children participation

Urja Melas are regularly Urja Melas are regularly organizedorganized where competitions are held between participating schools.

Energy Club is now a nation wide phenomenon as NDPL has partnereEnergy Club is now a nation wide phenomenon as NDPL has partnered d with CII to replicate the success of this model in neighboring swith CII to replicate the success of this model in neighboring states also.tates also.


Corporate Social ResponsibilityCorporate Social Responsibility-- Glimpses of few initiativesGlimpses of few initiatives

SoS, an NGO has adopted BawanaSoS, an NGO has adopted Bawanaas one of the 131 villages across India,

in association with NDPL.

Organization of free Health camps for Industrial workersIndustrial workers in NDPL

areas such as Bawana, Narela, Wazirpur etc.

Active support to MSSIMSSI patients in NDPL area

NDPL is a signatory to the UNNDPL is a signatory to the UN’’s Global Compact Charter covering Corruption, Human s Global Compact Charter covering Corruption, Human Rights, Environment & Labor StandardsRights, Environment & Labor Standards


Corporate Social ResponsibilityCorporate Social Responsibility-- Glimpses of few initiativesGlimpses of few initiatives

•• Blood Donation Camps: Blood Donation Camps: Regular Regular Blood Donation camps organized in Blood Donation camps organized in association with Red Cross Society.association with Red Cross Society.

NDPL PROJECT NDPL PROJECT

MEGAWATT SMILEMEGAWATT SMILE

Initiative towards improvement of quality of life of Slum dwellInitiative towards improvement of quality of life of Slum dwellers in Ners in N--NW DelhiNW Delhi


Awards & RecognitionsAwards & Recognitions.. .. to name a fewto name a few

•• NDPL has been conferred with the NDPL has been conferred with the National Award for Meritorious National Award for Meritorious PerformancePerformance for two consecutive for two consecutive years 2004years 2004--2005 & 20052005 & 2005--2006. 2006.

•• NDPL created history by being the NDPL created history by being the first first TATA Group organizationTATA Group organization to have to have surpassed the 500 barrier in surpassed the 500 barrier in Tata Tata Business Excellence Model (TBEM),Business Excellence Model (TBEM),scoring scoring 516516 in its very in its very first attemptfirst attemptitself.itself.

HonHon’’ble PM presenting the awardble PM presenting the award

MrMr RatanRatan Tata presenting the awardTata presenting the award


Public Lok Adalat Award for the 10000 settlements in 2 ½ years

AWARD FOR BEST BILLING

SYSTEM

Transparencyin Billing System

Intelligent Enterprise AwardFor IT initiatives

Award forCorporate Social Responsibility

Awards & RecognitionsAwards & Recognitions.. .. to name a fewto name a few


YOUNG NDPL … Mature achievements YOUNG NDPL … Mature achievements Settlements through DLSASettlements through DLSA

Achiever’s Award for Record Settlements Achiever’s Award for Record Settlements (10,000 cases) (10,000 cases)

in Two & half yearsin Two & half years––Award instituted by DLSAAward instituted by DLSA

““When we studied the DLSA website, it is indeed When we studied the DLSA website, it is indeed reassuring to know the successful settlement of more than reassuring to know the successful settlement of more than

10,000 cases pertaining to 10,000 cases pertaining to North Delhi Power LtdNorth Delhi Power Ltd,, in the in the period Oct 2003 to July 2006, at the aegis of DLSA, preperiod Oct 2003 to July 2006, at the aegis of DLSA, pre--

litigation stagelitigation stage””Dr A.P.J Abdul Kalam, Dr A.P.J Abdul Kalam, 1010thth November 2006November 2006


Leveraging our Knowledge base..Leveraging our Knowledge base..

•• NDPL has undertaken the following Prestigious consultancy projecNDPL has undertaken the following Prestigious consultancy projects:ts:

Setting up of a Call Center for Paschimanchal Vidyut Vitaran Nigam Ltd (PVVNL), Noida in association with M/s CMC Ltd.

Restructuring of Transmission & Distribution sector of Mauritius in association with M/s TCS Ltd.

Capacity building program in Nigeria for effective management of a distribution company.

•• NDPL is in the process of taking up consultancy projects in leadNDPL is in the process of taking up consultancy projects in leading ing utilities based on the following core areas:utilities based on the following core areas:

Network & Reliability ImprovementAT&C Loss MitigationEnergy Audit & AccountingConsumer care initiatives


Thank YouThank YouThank You

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