Improving the financial health of DISCOM - a case study of Kerala

Abstract

India’s electricity sector has witnessed a great revolution over the years. The access to power distribution has increased over the scale. The contributions from renewable energies are also manifold. However, the distribution wing still suffers from inefficiencies and losses. This paper focuses on analyzing the financial viability of the distribution company (DISCOM), Kerala State Electricity Board Limited. The main focus is to study and understand the performance of DISCOM in terms of its controllable and uncontrollable factors like operational and maintenance costs, fuel purchase costs and so forth. A detailed analysis is showcased using the pre, post, and during the Covid-19 pandemic data, to summarize the performance of the company and the reforms enacted by it. Moreover, initiatives like smart metering, internet of things (IoT) and data analytic tools are also being inferred to improve the financial health in the operation of the DISCOM under study.