Its a Hat-trick for SMART Wireless Limited - They won Sagar Distribution Franchisee also

'SMART Wireless Limited' is on a roll with its third successive bid win at Madhya Pradesh's Sagar city in Power Distribution Franchisee. The company's winning bid quote of Levelized Input Rate (LIP) was Rs. 3.726/unit. Compared to Gwalior and Ujjain, there were less number of participating companies in Sagar bids, totaling 6, out of which ACME disqualified due to some reason, against 9 in Gwalior and 10 in Ujjain      (see list of Technically qualified bidders for Sagar).

See our earlier blogs:

• Gwalior Distribution Franchisee Bid Results
• Ujjain Distribution Franchisee Bid Results

Key observations from Sagar price bid are:

• Minimum LIP was almost 35% less than the winning bid.
• Spanco, an existing Distribution Franchisee operator was 2nd with LIP of Rs. 3.050/unit, lower than  18% from the winning bid.
• Last bidder's rate was more than 30% lower than the winning bid.

Now, with the completion of Financial bid for all the three cities (Gwalior, Ujjain and Sagar), we look forward to see 'SMART Wireless Limited' taking over and managing distribution of electricity in those locations very soon to augment and catalyze the Distribution Franchisee model.  

Posted by: Kunjan Bagdia @ pManifold

pManifold's recent "Market Research Report on Input based Power Distribution Franchisee in India" is now available. The report is updated for 2012Q1. The report covers upcoming market opportunities in Distribution Franchisee, Competitive Landscape Assessment of existing operators, detailed previous bid analytics including recent MP bids, financial numbers and its sensitivity to different parameters, etc. For more details, see Table of Contents. You can place your order with us at kunjan.bagdia@pmanifold.com.