Torrent Power has announced the formal takeover of power distribution operations in the Union Territory of Dadra & Nagar Haveli and Daman & Diu (DNH&DD).
DNH&DD becomes the first Union Territory to be privatized under the Government of India’s ambitious program to privatize the distribution network in Union Territories through a competitive bidding process.
JV to serve 1.5 lakh consumers
The 1.5 lakh customers in the Union Territory will now be served by Torrent Power, through the newly formed company – Dadra and Nagar Haveli and Daman and Diu Power Distribution Corporation Limited (DNHDD Power Distribution Company); where Torrent Power will own 51 per cent stake and Hon’ble Administrator of the Union Territory of Dadra & Nagar Haveli, Daman and Diu will own the balance 49 per cent stake.
DNHDD Power Distribution Company will have a customer base of 1.5 lakh, annual sales of 9 billion units (kwh) of power and annual revenue of about Rs.4,500 crore.
Track record
Torrent Power in the past has acquired and successfully led turnaround of distribution network in the cities of Ahmedabad, Gandhinagar and Surat in Gujarat; Bhiwandi, Shil, Mumbra and Kalwa in Maharashtra and Agra in Uttar Pradesh. Torrent Power has significantly improved power availability and reliability and reduced AT&C losses through investments in technology and improved operational efficiencies.
High standards of reliability
Speaking on the occasion, Varun Mehta, Executive Director – Distribution, Torrent Power, said “We are pleased to have the opportunity to serve the people of Dadra & Nagar Haveli, Daman and Diu and to bring to them the high standards of reliability and service that Torrent Power stands for. Over the course of the coming months, Torrent Power will strive to bring in a significantly better customer experience through improved reliability, operational efficiency and customer service. With the addition of Dadra & Nagar Haveli, Daman and Diu, Torrent Power has significantly strengthened its leadership position in the Power Distribution sector.”
Aggregate customer base
With the taking over of operations in Dadra & Nagar Haveli, Daman and Diu, Torrent Power will now have a total customer base of 3.8 million across 12 cities and annual sales of 24 billion units of power and a peak demand of 5000 MW across its licensed and franchised areas in Gujarat, Maharashtra, Uttar Pradesh and Dadra & Nagar Haveli and Daman & Diu.
Also read: Torrent Power Cuts T&D Losses Across Its Distribution Areas
Chronology of events
- May 2020: Centre decides to privatize power distribution in all Union territories
- February 2021: Torrent Power emerges frontrunner in taking over power distribution in the UT of DNH & DD.
- March 2021: Bombay High Court suspends tender process following the filing of a PIL
- July 2021: Supreme Court stays Bombay High Court order
- November 2021: Cabinet approves formation of Dadra & Nagar Haveli and Daman & Diu Power Distribution Corporation Ltd
- March 2022: Dadra & Nagar Haveli and Daman & Diu Power Distribution Corporation Ltd incorporated as a wholly-owned subsidiary of the UT Administration; Torrent Power signs agreements to acquire 51 per cent stake.
- March 2022: Torrent Power acquires 51 per cent stake in Dadra & Nagar Haveli and Daman & Diu Power Distribution Corporation Ltd.
- April 2022: Torrent Power formally takes over power distribution activities in DNH&DD.
Featured photograph shows a view of Silvassa, the capital of UT of DNH&DD. Photo: nativeplanet.com
