Performance Target Agreement (PTA)
PBSs, which can attain the set targets, are rewarded with incentive bonus up to 15% of the basic salary. On the other hand, PBSs which fail, have to face financial penalty. REB follows democratic principles of holding open discussion with the President and General Managers of the PBSs on financial, technical and administrative aspect of the PBSs. Attempts are being made to make the PTA parameters more realistic keeping in mind the consumer mix, geographical condition, power supply condition and operational complexity of the PBSs. Foreign dignitaries and development partners have highly praised the PTA as an extremely useful tool of measuring management performance and efficiency. PTA parameters against which targets are given are as follows:
1.(a) System loss-Grid meter(Lower better).
(b) System loss-S/S meter(Lower better).
2.Accounts Receivables (Lower better).
3. Collection Bill (CB) Ratio (%) (Higher better).
4. Collection Import (CI) Ratio (%) (Higher better).
5. Recovery of Amounts Written-off (Standard 10%) (Higher better).
6. Payment of Debt Service Liability (Higher better).
7. Annual Load Factor (Higher better).
8. O & M Expense/kWh (Lower better).
(Excluding Power cost, Depreciation & Amortization expense, Interest expense and Provision for
uncollectible Amount. i.e. 0.5% of sale of electricity)
9. Revenue Per KM of Line (Higher better).
10. Ration of inspection & Maintenance of distribution line (KM) against energized line (KM) (Standard 20%) (Higher better).
11. Ratio of damaged & repairable transformer (No.) against total installed transformer (No.) (Standard 2%) (Lower better).
12. Percentage of Damaged Transformer repaired (Higher better).
13. Ratio of connected consumers (over 90 days) against service in place-except irrigation (Lower better).
14. Store management performance (Higher better).
(a) Physical inventory of all stores under the PBS (WF-2)
(b) Timely close-out of Mini & Force work orders (WF-2)
15. Maintenance and Up-gradation of Equipment Record Card (Higher better),
16. Improvement of Power Factor (Higher better).
17. Action on Meter Report (Higher better).
18. Average Training hour per Employee (Hours) (Higher better).
19. Implementation of Annual Development Program.
(Issuance of Staking Sheet) (Higher better)
20. Timeliness to attend Consumer's complain.