Bhiwandi, a power loom city, had typical problems like rampant theft and non-payment. MSEDCL opted for an input-based franchisee model for electricity distribution. It has handed over Bhiwandi Circle to M/S Torrent Power on 26 January 2007. This experiment proved to be very successful and a trendsetter in the power distribution sector of the Country. Its later Distribution franchisee attempts for Aurangabad Urban I & II Divisions of Aurangabad Urban Circle (M/s GTL Private Limited) and Gandhibag, Civil Lines, and Mahal Divisions of Nagpur Urban Circle (given to M/s Spanco & later M/s Essel group) miserably failed after a few years of operation and MSEDCL has to take over these areas after facing huge loss of revenue from these two Metro Cities. Recently the company has appointed Distribution Franchisees for Malegaon town.
