For a very long time, the supply of power to Delhi was a government undertaking. But after decades of losses, in 2002, the state government decided to reduce its hold and unbundle what was then called the Delhi Vidyut Board. BSES bid to take over the Board and about nine months later, Reliance Power bought over BSES. That left Delhi’s power distribution in the hands of a public private partnership between Reliance and the Delhi government. And the new entity’s biggest challenge was to corporatize the creaking government enterprise.
BSES went for massive technological upgradation including IT infrastructure to control losses. BSES invested Rs 4,000 crore in augmenting the utility’s infrastructure.
The IT project helped the organization reduce losses from 60 percent to 20 percent. It also lowered consumer complaint levels by over 89 percent with the grievance closure rate of 91 percent.
That has allowed BSES to turn into a self-sustaining enterprise and save the Delhi Government Rs 15,000 crore.
Business process re-engineering and IT project completely revamped the way the electricity utility functions. It curbed corruption, reduced power losses by over 40 percent—and saved the Delhi government crores. “The amount it saved the Government—by not doling out urban subsidies—played significant role in funding the Commonwealth Games,” says Singh K.B. Singh, VP-I.T, BSES who was responsible for transforming it into a modern and profitable electric utilities co..
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