Torrent Power has reported lower T&D losses in all its licensed and franchised distribution areas, according to a company presentation filed on stock exchanges.
In the Ahmedabad licensed area, the largest in terms of peak demand in Torrent Power’s portfolio, T&D losses dropped to 3.36 per cent in FY22 (April 1 to December 31) from 5.84 per cent in the same period of FY21. Losses in the Surat licensee area were even lower at 3.28 per cent in the given period of FY22.
The franchisee areas of Bhiwandi, Agra, Shil-Mumbra-Kalwa (SMK) also saw a remarkable improvement in terms of lower T&D losses in FY22 (See table).
The SMK area saw losses of 40.92 per cent in FY22 (April to December), down from 45.13 per cent in the same period of FY21. This area is the latest franchise awarded to Torrent Power; it was taken over on March 1, 2020. In FY17, this area recorded AT&C losses of 47 per cent, which are expected to come down to 12 per cent over the next 15 years.
Torrent Power would be undertaking capital expenditure of around Rs.300 crore over the agreement period (up to February 2040), out of which Rs.150 crore is expected to be invested in the first five years (up to 2025).
Torrent Power is also the distribution licensee of the Dholera Special Investment Region (SIR) where operations have yet to start. Currently, Torrent Power is working towards building an efficient power distribution network in the 920 sqkm licensee area. Over the next ten years, Torrent Power has planned to invest around Rs.1,200 crore to cater to a power demand of around 425 MVA.
Also read: Torrent Power Cuts T&D Losses Across Its Distribution Areas
Supreme Court hearing
It may be recalled that Torrent Power has been named as the preferred bidder to take over power distribution in the Union territory of Dadra & Nagar Haveli and Daman & Diu (DNHDD). The matter is however currently sub judice. The Supreme Court hearing on the matter is scheduled to come up for hearing on March 7, 2022. (Read background)
