Strategies for sustainability of power utilities in India

Abstract

Power utilities in India are primarily involved in the distribution of electricity across the concerned area. There are a number of public and private organizations involved in it. There are many companies emerging strong in Power Utility sector. But off lately the performance of the companies in this sector has not been up to the standards as it was expected. If we compare the performance of Power Utility sector in India from the period of 2009-2012, we will find that overall the sector is not flourishing in terms of financial stability. Therefore it emerges a need to study the ways in which these financial losses can be minimized. The primary objective of this study is to identify interrelationships between factors affecting power utilities distribution system and develop potential solutions to help distribution companies to overcome financial losses. Although there are large number of distribution systems existing in India, but still current reforms in India are not viable enough to fill the gaps between the required and available capacity. It is a need of an hour to have a utility model to ensure viable business entity with least financial burden on Government and effective distribution of power. The study aims to create awareness of the problem faced by Distribution power utility in the current scenario and formulate strategies & policies to regulate the supply and simultaneously control the cost of power function. The prime objective of this study is to recommend strategies to improve the Business Sustenance of Power Utility in India.