Six power utilities including four from Gujarat, one each from Haryana and Punjab were ranked A plus grade while seven utilities A grade, 7 B plus grade, 9 B grade, 7 C plus grade and 5 C grade in the ranking for 2018-19 by ICRA and CARE Ratings report prepared by the Power Finance Corporation. The report was released on Friday by the union minister of state for power RK Singh at the power minister’s virtual conference.
The operational and reform parameters including aggregate transmission and commercial losses, efficiency of power cost, digital payment facility carry weightage of 51%. The financial parameters including cost coverage ratio, payables, receivables and timely submission of audited accounts carry weightage of 34% while external parameters relating to regulatory environment, state government subsidy support have been assigned weightage of 15%.
Dakshin Gujarat Vij Company, Madhya Gujarat Vij Company, Uttar Gujarat Vij Company, Paschim Gujarat Vij Company, Dakshin Haryana Bijli Vitran Nigam and Punjab State Power Corporation were ranked A plus for very high operational and financial performance capability. Further, the Maharashtra State Electricity Distribution Company and six others ranked A for high operational and financial performance capability.
The West Bengal State Electricity Distribution Company and six others were ranked B plus for moderate operational and financial performance capability. The Jaipur Vidyut Vitran Nigam and eight others were ranked B for below average operational and financial performance capability. Madhya Pradesh Poorv Kshetra Vidyut Vitaran Company and six others were ranked C plus grade for low operational and financial performance capability. Moreover, Assam Power Distribution Company and four others were ranked C grade for very low operational and financial performance capability.
The report said cost coverage ratio for 23 discoms remained low less than 0.90 due to higher expenses and non-cost reflective tariffs. Haryana, Gujarat, Jerala, Himachal Pradesh, Assam discoms and Mangalore Electric Supply Company were the best performers on cost coverage (greater than 1.0). Meghalaya Power Distribution Corporation and Madhya Pradesh Madhya Kshetra Vidyut Vitaran Company have shown over 15% improvement on cost coverages.