In Centre’s ratings, PSPCL slips from A grade to B+

Haryana power utilities have moved up from B grade to B+

PATIALA:The Punjab State Power Corporation Limit (PSPCL) has slipped from A grade to B+ in the latest ratings of power distribution companies announced by the Union power ministry recently.

However, the PSPCL has improved its rank from last year’s 13th to 11th, even as it could not regain A+ grade, which it held for two consecutive years.

Meanwhile, Haryana power utilities have moved up from B grade to B+.

Uttar Haryana Bijli Vitran Nigam (UHBVN) and Dakshin Haryana Bijli Vitran Nigam Limited (DHBVN) have been placed at 10th and 13th ranks, respectively. They have improved their ranks from 22nd and 24th, respectively.

In case of PSPCL, the key concerns are its absolute dependence on the state government for the subsidy being given in lieu of free power to agriculture and delay in receipt of subsidy and on account of high employees cost. The strengths of PSPCL are low AT&C losses.

In case of Haryana, the key concerns are high AT&C losses at 32% for UHBVN and 29.09% for DHBVN, low billing efficiency, high power purchase cost at Rs 4.76 per unit and high employees cost.

The strength is timely payment of subsidy and reduction in debt level.

For the sixth year in a row, the four state power utilities of Gujarat along with Uttarakhand Power Corporation topped the annual rankings.

At the same time, four out of five power distribution companies of Uttar Pradesh (UP) have not moved out of the lowest grade. All the three discoms of Rajasthan are in the B rank category due to high power purchase costs and low bill collection efficiency.

Out of 41state power utilities, there are five utilities with A+ grade, two with A grade 13 with B+ grade, 11 with B grade, two with C+ grade and 8 with C grade.

HOWEVER, THE PSPCL HAS IMPROVED ITS RANK FROM LAST YEAR’S 13TH TO 11TH, EVEN AS IT COULD NOT REGAIN A+ GRADE