Mumbai (Maharashtra) [India], June 2 (ANI): Tata Power has taken over the management of Central Electricity Supply Utility (CESU) after receiving the letter of intent from Odisha Electricity Regulatory Commission (OERC) for distribution and retail supply of electricity in Odisha's five circles.
These five circles are Bhubaneshwar, Cuttack, Puri, Paradeep and Dhenekal. As per the order issued by the Odisha Electricity Regulatory Commission (OERC) on May 28, Tata Power will hold 51 per cent equity with management control and the state-owned GRIDCO will have remaining 49 per cent stake.
Tata Power has committed to improve and modernise the distribution system in the five circles. The priority of the company is to improve reliability, reduce aggregate technical and commercial losses and offer good customer service.
As per the agreement, the company will retain all the existing employees of CESU and will govern them by their existing policy structure. Tata Power said it will provide better opportunities and facilities to the employees to update their knowledge and skills along with exposure to best practices and cutting edge technologies as a part of change management in CESU.
"We are committed to providing reliable, affordable and quality power supply along with superior customer service, backed by innovative technology," said Managing Director and CEO Praveer Sinha.
"We constantly strive to become the most preferred distribution company in the country. The success of our Delhi, Mumbai and Ajmer distribution businesses are a testament to this fact," he said in a statement.
Tata Power has received a license for 25 years. Spread over 30,000 sq km, CESU has five electrical circles with a population of over 1.4 crores and consumer base of 25 lakh.
With CESU, Tata Power aims to expand its consumer base to 50 lakh consumers from the present base of 25 lakh across Mumbai, Delhi and Ajmer. The average demand of CESU is around 1,300 MW with the annual input energy of 8,400 million units (FY 2018). (ANI)