South Asia Regional Initiative for Energy (SARI/Energy) WORKSHOP ANNOUNCEMENT: Managing Change in Distribution Utilities August 22 – 26, 2004 Dhaka, Bangladesh Course designed & implemented by Energy Group, Institute of International Education (IIE) In Association with Dhaka Electric Supply Company Ltd. (DESCO) In Collaboration with Nexant, Inc. Sponsored by the U.S. AGENCY FOR INTERNATIONAL DEVELOPMENT (USAID) Energy 1 WORKSHOP DESCRIPTION: The South Asia Regional Initiative for Energy Cooperation and Development (SARI/Energy) program was launched in 2000 to build mutually beneficial energy linkages among the countries of South Asia. Since then SARI/Energy has reached out to more than 3,500 participants in the region on clean energy trade, energy efficiency, rural energy supply, energy regulatory issues, energy statistics and private sector involvement. Currently, as the countries in the South Asian region embark upon the reform and restructuring of the electricity sector, the need for enhancing the capacity of executives and operational managers of the restructured distribution entities is emerging very clearly as a priority training area. In response to the need, USAID-sponsored SARI/Energy offers a five-day, country-specific training workshop on “Managing Change in Distribution Utilities” from Aug 22 26, 2004. The course aims to enhance the ability of the participants to manage the transition from an unbundled utility to commercial entities that are business oriented and consumer sensitive. The workshop will use case studies from SARI/Energy and other developing regions and will involve distribution management experts, guest speakers and lecturers to demonstrate real life success of change management. Workshop topics to be covered are: I. Overview - Electric Utility Restructuring: Change Management Planning - Reform Framework/Models: Commercialization, Corporatization, Privatization - Objectives and characteristics of each model, Road Maps - Country Strategy and Status on Reforms: key issues and challenges - Distribution Utility Change Management - Developing a Business Strategy & Transition Issues and Regional Case Study The impact of change on the various functions/ processes will be the focus of the following sessions: II. Technical and Operational Management - Operational excellence & performance measurement of distribution system - Technical aspect of upgrades and modernization of network: Automation in Distribution Systems (SCADA, customer information, communication systems GIS/MIS etc.) - Using of IT based MIS for monitoring and control III. Financial Management - Utility accounting and reports (Company law and financial management requirements; managing transition in Finance and AC/s to company utility accounting) - Financial and cost of supply for Discos - Activity based costing principles IV. Commercial Performance - Revenue cycle management - Technical and Commercial loss reduction V. Change Management - Internal stakeholders/employees & Human Resource Management: Work culture and reorientation; reorganizing manpower, performance management and incentives - External stakeholders & Customer Care: Customer care management, customer services and standards - Group Exercise in Change Management VI. Executive Seminar - Participation Presentation and Panel Discussion with decision makers 2 The last day of the workshop will incorporate a half-day Executive Seminar to present an overview of the course as, as well as the major issues and findings that arose during the workshop discussions. This conference-style seminar will bring executive/high-level decision makers together from relevant utilities, ministries, regulatory agencies, and other stakeholder organizations in the region. U.S./international experts in restructured energy sector leadership will facilitate sessions on change management issues, such as: restructuring for accountability; creation of profit centers; frameworks for change (structures, systems, people, and technology); transition issues; and models of change from utilities in the region and other countries. Regional utility leaders will also be invited to speak on their experiences and lessons learned. The seminar is also designed to gain the support of executives for change management within the targeted organizations. TARGET PARTICIPANTS: The course is primarily aimed at senior-mid level managers /engineers of distribution utilities and of unbundled Electricity Boards that are at the threshold of forming separate distribution entities. Limited seats are available for participants representing other stakeholder categories Participation is limited to 25 candidates. WORKSHOP SPONSORSHIP & MANAGAMENT: The workshop, under the SARI/Energy Program, is sponsored by USAID. The course is designed and implemented by: Energy Group Institute of International Education (IIE), which has been working in South Asia since 1994. In India, IIE has implemented four large training projects, including the India Private Power Initiative (IPPI), the India Energy Training Program (IETP) with focus on Regulatory Reforms and Training for Distribution Reforms and the Sustainable Energy Curriculum Development Project for Indian Administrative Services (IAS). In Bangladesh, IIE has implemented the Energy Training Program, which focuses on capacity building in power, oil and gas sector institutions in Bangladesh, with the objective of furthering the efficient development and reform of the energy sector. Similar projects are being carried out in Indonesia, Nigeria and Brazil. In association with: DESCO is a government owned public limited company, incorporated under the Companies Act 1994. It started its business in September 1998 by taking over of Mirpur distribution system from Dhaka Electric Supply Authority and at a later stage those of the areas under Gulshan, Uttara and Baridhara with a total coverage area of 165 sqkm having 2,39,230 consumers. The company is run by a small and effective management team headed by a Managing Director under guidance of a nine member Board of Director. DESCO envisages to run the system efficiently and progressively having its mission to distribute uninterrupted quality electricity using dependable technologies to the satisfaction of the consumers and to make the company a role model in electric distribution system in the region. RESOURCE PERSONS: The team of faculty for the course will include international experts and guest speakers and resource persons from the region. The team will be lead by Mr. Rafael Granja Mr. Granja holds a degree in Electrical Engineering and is the Manager of Distribution Planning for Florida Power and Light (FPL), one of the largest and fastest growing electric utilities in the United States, currently serving nearly 8 million people and managing a system that totals over 22,000 MW of power. He is also responsible for the implementation of the Distribution Automation Program, FPL’s flagship reliability improvement program. Mr. Granja has also served as an Executive Member of FPL’s Political Action Committee (Representing Power Systems), and as FPL’s Power Delivery’s Emergency Coordinator from 1991 to 1997. His key areas of expertise lie in post-restructuring corporate change management, regulatory relations, and the use of information technology (GIS, SCADA, etc.) in distribution planning and management. He has previously instructed for the Institute of International Education in Abuja, Nigeria. 3 DURATION, DATE & VENUE: The workshop will be held over five days from August 22 – 26, 2004. The workshop will be held at BRAC Centre Inn, BRAC Centre, 75, Mohakhali, Dhaka - 1212, Bangladesh, Tel: +880-2-9886681-2 or 9881265, Fax: +880-2-9886683. COURSE FEE AND EXPENSES COVERAGE Course Fee: There is no direct charge to attend the course and includes conference lunch and tea for all participants Boarding & Lodging: For outstation participants from the government and public sector organizations, full board and lodging will be provided at the BRAC Centre free of cost. For participants from other organizations, this facility will be made available on payment basis. Travel: The travel costs for all the participants will be borne by the respective organizations FOR NOMINATIONS: Nominations may kindly be sent to Mr. Narul Huda , at the following address latest by Aug 14, 2004 Mr. AHM Narul Huda Dhaka Electric supply Co. Ltd. House No. 3, Road No. 24, Block K Banani Model Town, Dhaka 1213, Bangladesh Tel: 8854648 Fax: 8812007 FOR FURTHER WORKSHOP INQUIRIES, PLEASE CONTACT: DESCO: USAID/Dhaka: Nexant/Dhaka Office: IIE/Delhi: Mr. AHM Narul Huda Mr. Md. Kamaruzzaman Mr. Bashirul Huq Ms. Anita Kochhar mddesco@bdcom.com mkamaruzzam@usaid.gov bhuq@sari-energy.org akochhar@sari-energy.org 4 Tel: +0880 2 8854648 Tel: +0880 2 882 4700 Extn: 2332 Tel: +0880 2 881373 Tel: +91 11 51663444