After successfully steering one of the discoms in Odisha under the distribution franchise model, Feedback Energy Distribution Company Ltd (Fedco) has recently signed up with three discoms in Madhya Pradesh as management operator and is eyeing more such opportunities, including in Uttar Pradesh.
What started as a consultancy to shore up discom performance and revenues, for Fedco, a 100 per cent subsidiary of power distribution company Feedback Infra, managing the performance of state power discoms has become a potential business.
Following the company’s engagement with the Odisha government-owned Central Electricity Supply Utility, Fedco added five discoms in Madhya Pradesh and is also in the process of evaluating some more discoms in other states.
In the past few years since managing CESU, Fedco has increased collection from ₹200 crore to over ₹400 crore a year. This is a predominantly a rural utility with only 10 per cent area in urban segments.