Jammu & Kashmir state government is planning to award the power distribution in the Jammu and Srinagar cities by October 2013 on Public-Private-Partnership mode. These cities collectively account for about 60 per cent losses in the State. According to the state government, awarding the distribution on PPP mode will help in bringing down substantially the overall AT&C losses in the State.
AT&C losses in J&K were at 70.45 per cent in 2009-10 and were much higher than national average of 28 per cent. State had envisaged a reduction of 2 per cent in 2010-11 and 3 per cent in 2011-12. Collection efficiency has increased from 56 per cent to 90 per cent during this period. The power ministry indicated that AT&C losses for J&K during 2010-11 were 72.86 per cent while all India level was 26.14 per cent and that losses had actually increased since 2008-09.
State government had stated in the review that as a result of various measures, they expect these losses to come down by 5 per cent in 2011-12 and a substantial reduction of 8 per cent in AT&C losses in 2012-13. The power ministry has indicated that this data would only be available after August 2013.