Electricity (Rights of Consumers) Rules\, 2020: Consumer rights rules to be notified soon
New Delhi: Consumers will soon be entitled to a rebate on electricity bills that are not served in time and other compensation from power distribution companies which fail to timely address grievances such as on faulty meters and delayed connections.
The Centre is set to bring out the Electricity (Rights of Consumers) Rules, 2020, which will specify standards of performance to introduce corporate culture in distribution utilities, according to people in the government.
Currently, the Consumer Charter under the Electricity Act, 2003 provides a synopsis of rights of consumers but most states have not implemented these.
Analysis and advocacy organisation Prayas Energy Group’s coordinator, Shantanu Dixit, said there was an urgent need to improve the quality of electricity service to ensure meaningful access, and hence this was a welcome document.
“These rules are aimed at ensuring ease of doing business. These are rights of consumers and we are putting them as rules to make them obligatory,” a government official said. “Right now, a few states are following the consumer charter or earlier regulations issued by the CEA (Central Electricity Authority), but we want all the states to have some standards of performance.”
The draft rules have been finalised and are likely to be notified soon by the government after discussions with stakeholders, he said.
As per the draft rules, state regulatory commissions have to specify the maximum time period within which distribution utilities should provide new electricity connections. Also, distribution companies should replace meters found defective within 24 hours.
If a discom fails to bill consumers and later sends accumulated bills for two or more cycles, the consumer will be entitled to a minimum 5% rebate in the billing amount. The rebate percentage will be fixed by the state regulator.
Also, the distribution licensees shall not generate more than two provisional bills for a consumer in one financial year, except under extraordinary situations. The power distribution company should also supply 24x7 electricity to consumers other than those exempted by the regulator.
These rules will bring in uniformity across states, but the key lies in implementation on ground, Dixit said. “Discoms and states need to be prepared in terms of infrastructure, processes and focus on consumer service,” he added.
Dixit said certain provisions of the proposed draft were already mandated by various state regulatory commissions in the Standards of Performance and Consumer Grievance Redressal Forum regulations.
The draft rules aim to make stringent provisions regarding timeline for new connections, and mandates use of smart/pre-paid meters, etc. Another notable proposal is for automatic compensation for non-achievement of mandated supply quality.