Tell us about your company and the solutions you provide.
Girish Kumar (GK): We started as a data processing company. The first center of data processing was in Uttar Pradesh and then we graduated to software services and then we started manufacturing transformers. We are the manufacturer and exporter of distribution transformers, isolation transformers, ultra isolation transformers, furnace transformers, and auto-transformers. We manufacture transformers up to 20 MVA, 33 kV class.
As the new generation is also representing Sai Computers, what kind of new idea does he bring to the company?
GK: Till now he has come with many solutions and idea in the software business.
Ayush Kumar (AK): Recently we have started the distribution franchise in Meghalaya. Basically, there the government DISCOM outsources the distribution of electricity to us. Also, we provide analytics services to DISCOMs which has increased their revenue nearly by 30 per cent a year. We are also trying to improve the processes in our manufacturing plant according to modern technologies like system-based manufacturing as everything earlier was done manually. So, currently, we are trying to digitalise our process.
What makes you to go to Meghalaya and start the distribution franchise?
AK: Distribution franchise looked like a challenge to us, we always wanted to do something like this. We have taken the most challenging area in Meghalaya. There was 87 per cent AT&C losses in that particular area and we bought it down to 27 per cent in 8 months duration. It is a small sub-division, with around 10,000 consumers. However, it has a significant impact.
How are you planning to scale this up?
AK: We are now looking for other projects and utilities as well as expansion in Meghalaya. In the coming years, we see more utilities will go into this kind of model. And that is how the business will grow.
It is a known fact that Indian DISCOMs are in poor financial conditions and AT&C loss is a major concern. So, what kind of solutions do you provide to address this issue?
AK: Our operations are system based on the initial days. The first thing we as a team did was to map all the consumers and network on a digital platform. We know the exact location of every consumer and to which pole that consumer is connected. We have complete tracking. We have also tried to improve the maintenance in that area. Earlier the supply disruption per consumer was around 200 hours per month; we have bought it down to less than 30 hours. This as well was a big achievement for us. Even the consumers saw that there is big improvement in supply so they are more willing to pay compared to the earlier scenario. Billing has also improved. We have provided doorstep collection services like collection vans, as some consumers are 40 kms away from the collection center. Collection vans have made things easy for them as well as for us. To scale up the business, we think that every area needs a different solution according to that particular area, there is no one magic solution.
Which are the segments you want your business to increase?
GK: We are into services. Now the central government has realized that the franchise model can be very effective to increase revenues of the DISCOMs. We need to provide this service for the next decade to increase more revenues. We need to scale this up very fast. We expect 35-40 per cent growth. Talking about data analytics, that will also increase revenues.
