1.      Introduction

The availibility of reliable and inexpensive power is critical for economic development of a state. Power is one of the critical inputs for economic development and growth in power consumption is an indicator of the industrial, agricultural and commercial growth of a state. Recognising this and considering the in-adequate attention to this Sector in pre-independence era, Power Sector Development was conceived through public.

At the time of formation of the Sate in 1949 the installed capacity was mere 13.27 MW and electricity supply was limited to the princely States and few Towns. The Power Sector in Rajasthan received impetus after the formation of RSEB on 1st July, 1957 and planned growth in installed capacity transmission net work and Rural Electrification took place with the State investing 28-30% of its plan out lay in the initial years in the Power Sector, so as to cover wider section of the society.

The State Grid as on March, 2003 has access to 4547 MW of installed capacity. Of this 2090 MW is exclusively owned and operated by a State Generating Company RVUN whereas the State has a share of 971 MW in the inter state partnership projects, both Hydel and Thermal, and has an allocation of 1426 MW in the Central Sector Power Stations and 60 MW from Non-Conventional Energy Sources. The Transmission and Distribution System covers a large geographical area of 3,42,000 Sq. kms., 2/3rd of which is desert with low population density, serving over 56 lacs. Consumers from different categories. Electricity sales have been growing at an Annual average of 11%.

Till 19th July, 2000 the Rajasthan State Electricity Board, a vertically integrated State owned utility constituted under the Electricity (Supply) Act, 1948, was the sole supplier of Electricity to the Consumers of the State. However, without availability of required Government’s sub vention, RSEB had not been able to achieve the rate of return of 3% on net fixed assets after interest, as stipulated in the Electricity (Supply) Act, 1948. As a result the debt burden kept on mounting and reached to a level of Rs. 5501 crs. in 1998-99 and quality of service worsened due to widening gap between demand and supply.

Govt. of Rajasthan decided to reforms its Power Sector with the objective of creating conditions for sustainable development of the Power Sector and improving efficiency and quality of service to the consumers by allowing private participation in the State Power Sector.

The Govt. of Rajasthan established Rajasthan Electricity Regulatory Commission (RERC) on 2nd Jan., 2000 to regulate the functioning of the Power Sector on sound commercial principles, to safeguard the interests of the Consumers in respect of quality, reliability and fair price for electricity and to set cost and efficiency based tariff to ensure credit worthiness and viability of the Power Sector so as to progressively eliminate tariff distortions and subsidies. The Commission is fully functional and regulating the State Power Sector utilities.

The Govt. of Rajasthan enacted Rajasthan Power Sector Reforms Act, 1999 w.e.f. 1st June, 2000 and accordingly the State Electricity Board was un-bundled in to five functional entities incorporated under Indian Company Act, 1956 as follow:-

One Generation Company - Rajasthan Rajya Vidyut Utpadan Nigam Ltd. This Company owns and operates the Thermal Power Stations at Kota and Suratgarh, Gas based Power Stations and Ramgarh, Hydel Power Stations at Mahi and Mini Hydel Stations in the State.

One Transmission Company - Rajasthan Rajya Vidyut Prasaran Nigam Ltd. This Company owns and operates all the 400 kV, 220 kV, 132 kV and 66 kV Electricity lines and system in the State and is responsible for procuring power from different agencies for sale to different distribution companies in the State.

Three Distribution Companies, Jaipur Vidyut Vitran Nigam Ltd., Ajmer Vidyut Vidyut Vitran Nigam Ltd. and Jodhpur Vidyut Vidyut Vitran Nigam Ltd. These companies operates and maintains electricity system below 66 kV in their respective areas. The districts and O&M Circles of erstwhile RSEB covered under these companies are given at Table – 1

(The districts and O&M Circles under Discoms)

Distribution Company

Districts Covered

O&M Circles Covered

Jaipur Vidyut Vitran Nigam Ltd. Jaipur, Alwar, Dausa, Bharatpur, Karauli, Dholpur, Sawai Madhopur, Tonk, Kota, Jhalawar, Baran and Bundi Jaipur City, Jaipur District, Alwar, Dausa, Bharatpur, Sawai Madhopur, Kota and Jhalawar
Ajmer Vidyut Vitran Nigam Ltd. Ajmer, Jhunjhunu, Sikar, Nagaur, Bhilwara, Chittorgarh, Udaipur, Rajsamand, Banswara and Dungarpur Ajmer, Jhunjhunu, Sikar, Nagaur, Bhilwara, Chittorgarh, Udaipur and Banswara
Jodhpur Vidyut Vitran Nigam Ltd. Jodhpur, sri Ganganagar, Hanumangarh, Churu, Bikaner, Jaisalmer, Barmer, Pali, Jalore and Sirohi Jodhpur City, Jodhpur District, Ganganagar, Hanumangarh, Churu, Bikaner, Barmer and Pali



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