Business Model
IntelliSmart’s Business Model
IntelliSmart implements smart meter solution in the BOOT model – Build, Own, Operate, Transfer – that do away with upfront capex requirements from discoms or state governments. All investments related to installation and operation of the smart metering system over the entire contract period is undertaken by the company. Discoms are required to pay the monthly lease rentals only, that too out of the savings made from smart meters – much along the lines of Pay As You Save (PAYS) approach.
The competitive projects being secured by the IntelliSmart are being operated on DBFOOT -- Design, Build, Finance, Own, Operate and Transfer -- model of the Ministry of Power.
Benefits of Advanced Metering Infrastructure
Smart Metering solutions offer profound benefits to all stakeholders, including the discoms, state governments & consumers, and hence the deployment should take place in a fast-track mode.
Following are the benefits that discoms accrue from the smart meter system deployed via BOOT model:
- Enabling large-scale deployment coupled with benefits of economies of scale
- Elimination of risk of formation of digital islands
- Efficient procurement through competitive bidding
- Cost plus recovery with a nominal return on equity over contract period