The importance of electricity in the development of economy of the country and improving the way of life of the disadvantaged section of the community by way of augmenting their income and standard of living ranges top among the various development factors. As such, the power sector in the country demands effective and efficient management. With this view, under the process of restructuring of the Power sector, Dhaka Electric Supply Company Ltd. (DESCO) was created on November 3, 1996, under the Companies Act 1994 as a public limited company. Since then, DESCO is focusing ahead to be a role model electric supply company in the region using most dependable technologies and be a development partner in the continuous welfare of the society. 

The company started its operational activities at the field level on September 24, 1998, by taking over the Electric distribution system with a consumer strength of 71, 161 and a load demand of 90 MW. Very recently, on March 4, 2007 DESCO widen its service area by taking over Tongi Pourashava from DESA which comprises Tongi (East) & Tongi (West). It is presently supplying electricity to 3,39,738 number of consumers with the expansion of operational and fast increase in consumer strength and system load. It took up appropriate steps and created Nine Sales & Distribution (S&D) Divisions with field activities merged under the umbrella of each S&D Division such as Kallyanpur, Kafrul, Pallabi, Gulshan, Baridhara, Uttara, Dakshinkhan, Tongi (East) & Tongi (West). It also got listed with the Exchanges through offloading 25% of its paid up capital to the general public/ institutions.

The organization is moving ahead to serve the nation with a mission to provide reliable and uninterrupted power supply to its valued consumers, increase earning to become a profitable business entity, self sufficiency in every avenue and better working environment. It is committed to serve its consumers with utmost satisfaction through its service excellence and provide value for money. The company is also dedicated to provide congenial working environment for the employees. It believes in the importance of human resource development and employee participation in the maintenance of standards as well as growth of the organization. A good number of employees have received Refreshers' Training Course on " Consumer Service Year 2006-2007" under the arrangement of Training Cell. DESCO recently concluded an Energy Partnership Program with Sacramento Municipal Utility District (SMUD) and Clark Public Utilities (CPU) of U.S.A. under the assistance of USEA/USAID. The program largely contributed in building up cooperation, transfer information, share experiences and proven practices in the utility sector between the partner organizations.

At the beginning of the organization it was not a smooth sailing. DESCO management took pragmatic and corrective measures to improve the dismal picture through relentless and untiring efforts of all officers and employees. As a result, it was able to create its own identity and added value to its services, some of them are briefly described below: 
§ In order to establish consumer convenience, DESCO introduced 
One Stop Service Points in all its S&D divisions to render prompt and efficient 
Services.
§ The company has undertaken Spot Metering activities due to bring under billing network the prevailing unaccounted consumers dwelling specially in the slum areas and mushroom markets scattered all over its territory. This has contributed to further reduce the system loss and accelerate bill collection. 

System Loss Trend



Comparison of Sales & Collection

§ The concept of Electronic Banking System has been emerged with the development of information technology. DESCO has made arrangements with country's leading banks/financial institutions providing electronic payment facilities to the consumers. This has also enable the organization to obtain collection information from the bank through the Internet system.
§ DESCO has launched Prepaid Meter utilizing Smart Card technology that allows consumers to put money on a smart card which is then inserted and removed from the Prepaid Meter. Consumer can recharge their smart card by making payments at DESCO's vending stations. In order to facilitate continuous supply of Pre-paid meters in the future, the company has set up a "Manufacturing Unit" of its own with the technical assistance of BRTC, BUET in this respect. The addition of this project has helped DESCO improve revenue collections and system loss as well. Till now about 5000 pre-paid meters have been installed in sectors 4,6,& 8 of Uttara, while process to install another 5000 meters in the sectors 1,3,and 7 is underway. 

§ The Government of Bangladesh has taken a decision to run all utility business and management through E-Governance with a unified plan. The Company signed an agreement with IICT department of BUET to develop the management software for DESCO, part of which has been completed and is in test operation. However, installation of the desired network is in progress. DESCO and its valued consumers will experience an easy, fast and comprehensive IT based utility service in near future. 
§ DESCO has established Monitoring Cell directly reportable to the Managing Director with a view to identify bottle-necks in serving the consumers, functions relating to the commercial & system operation, financial and administrative matters of the Company and to make recommendations to resolve those. 

§ DESCO recently put into operation another new 33/11 KV, 2x 20/28 MVA sub-station at Gulshan-2, which was inaugurated by the Secretary, Power Division, MPEMR and Chairman, DESCO Board Mr. A.K.M Zafar Ullah Khan. Through the new project the consumers of Gulshan under circle -2 are expected to receive better service and uninterrupted power supply.

Scenario from Loss to Profit

It was a challenge thrown by the GOB and Donor agencies to see the viability of an utility Company incorporated under the Companies act 1994. The organization has accepted the challenge putting in its best and achieved growth and progress ever since its inception. Asian Development Bank (ADB) in a recent communiqué with DESCO acknowledged tremendous progress made by the Company and as a consequence expressed their willingness to provide sub-sovereign financing without recourse to a government guarantee. We perceive it as a prestigious offer and hope that with the support of all concerned DESCO can maintain the goodwill and reach high altitude of performance in all aspects of its venture. 


Saleh Ahmed: Managing Director, Dhaka Electric Supply Company Limited (DESCO)