The Hindu Business Line : Expert group moots penalty for Bengal power utilities

POWER sector utilities operating in West Bengal may have to pay monetary compensation to their consumers in case they fail to meet certain standards vis-à-vis services.

The compensation varies from paying fines between Rs 100 and Rs 2,000 for delays in releasing new connections, attending to problems such as metering and unplanned interruptions in supply and even failure to keep appointments with consumers and or responding to consumer complaints.

These are the recommendations of an expert group set up after the Electricity Act, 2003, by the West Bengal Electricity Regulatory Commission (WBERC) to specify the electricity grid code for distribution licensees. It deals with matters such as recovery of electricity charges, intervals for billing, disconnection of supply, tampering, while also setting benchmarks for operational efficiency.

The three-member committee headed by the former CEA member Mr Badal Sengupta has embodied its recommendations in an approach paper.

WBERC sources said that consultations would now be held on these recommendations. "Based on the feedback received, the WBERC will specify standards of performance of licensees with proviso that failure will attract compensation payments," they said.

Prior to the Electricity Act, 2003 the conduct of the electricity supply business was governed by the Indian Electricity Act, 1910, the Electricity Supply Act, 1948, and the IE Rules, 1956.

However, it was now felt that in the global scenario, the electricity industry needed to be restructured. Other members were Mr R.R. Ganguly, ex-member WBERC, and Mr P.K. Das ex-chief engineer, DVC.

Mr Sengupta, the committee chairman is also a former chairman of the West Bengal Electricity Supply Board.

Given the fact that the utilities operating in West Bengal, have a sizeable backlog of applications for new connections, the committee has said that licensee would have to provide new connection within 30 days in areas where a distribution system is existent. Even where augmentation of the network is necessary, the connection would be provided within a given time-frame for domestic and commercial consumers.

The time limit varies between 45 and 75 days for industrial as well as agricultural connections, but what is important is that the licensee would have to keep the consumer informed of the developments according to the report.

Given the fact that industry in the state has been making frequent complaints about the quality of power, the panel laid down rules for combating this problem saying that the utility would have to visit the consumers' premises within 48 hours of receipt of complaint and inform them about action proposed to be taken to attend to the problem.

In case of unplanned interruption , except on grounds of natural calamities , the licensee would be required to adopt a time-bound approach , including temporary restoration of supply within six hours from adjacent network.

The expert committee has said that licensees would have to pay compensation of Rs 25 for each day of delay in responding to consumer complaints and Rs 50 for failure to keep appointments.

In order to enable the WBERC to monitor these performance standards, licensees have been asked to submit periodic detailed reports on its complaint redressal mechanism, which it said should be publicised.