The Hindu Business Line : Small industries protest TNERC's draft codes

THE National Confederation of Small Industry has said that some features in the draft distribution code and supply code, framed by the Tamil Nadu Electricity Regulatory Commission, are against the interests of low-tension customers.

Forfeiture of security deposit and development charges, except meter caution deposit, as also guarantee if any, to be recovered as applicable, for delay in availing supply only in the case of low tension customer is discriminatory and too harsh on the low-tension customer, according to the confederation. Reacting to the draft distribution and supply codes, Mr D.E. Ramakrishnan, President, National Confederation of Small Industry, said in a statement that the power given to the licensee to condone the delay on the customers' part in availing themselves of the supply should include low tension customers. He said no earnest money deposit should be demanded from low-tension customers along with registration fee for registering application, as the licensee would collect security deposit separately.

If an applicant backs out after paying all charges and executing agreement, the security deposit, development charges and meter caution deposit paid should not be forfeited in total. A token fee could be collected for preparing the estimates. These deposits or other charges should be commensurate with the expenditure incurred by the licensee and should not be used as a revenue garnering mechanism. On the draft supply code, Mr Ramakrishnan said that the concession extended to high-tension customers with regard to monthly minimum charges should be extended to low-tension customers also. For high-tension customers, recovery of monthly minimum charges was at a concessional rate of 20 per cent of the maximum billing demand or recorded demand, whichever was higher, under force majeure clause including lockout, strike or even temporary closure. However, for low tension customers monthly minimum charges were to be paid even if no electricity was consumed or for disconnected supply. Monthly minimum charges should not be made to be a revenue garnering exercise. Miscellaneous charges like meter caution deposit, name transfer of service and development charges were on the higher side, and had to be reduced suitably. The customer was entitled for compensation for deficiency in service by the licensee as stipulated in the Act vide an enforcement mechanism. The meagre compensations payable would not act as a deterrent to the licensee. This should be hiked suitably so that effective immediate action is taken whenever a complaint was lodged.

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