THE MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF POWER
( SHRI JYOTIRADITYA M. SCINDIA )
(a) : The Electricity Act, 2003 has consolidated the laws relating to the
generation, transmission, distribution, trading and use of electricity and
generally for taking measures conducive to the development of electricity
industry promoting competition therein, protecting interest of consumers and
supply of electricity to all areas, rationalization of electricity tariff and for
matters connected therewith and incidental thereto.
The policy and regulatory framework facilitated by the Electricity
Act, 2003, has ushered in the following benefits in quality, production
and distribution of power:
(i) De-licensing of generation of electricity: Delicensing of generation
together with competitive bidding for power procurement has facilitated
investment in generation projects and reduced cost of generation
benefiting the ultimate consumers.
(ii) Open Access in Transmission/ Distribution Systems: Promotion of
competition through introduction of Open Access in power sector by the
Electricity Act, 2003 has provided choice to the consumers
(iii) Electricity Regulatory Commissions have been established in all States
and Union Territories to regulate the sector including award and revoking
of licences, tariff setting consistent with National Electricity Policy and
Tariff Policy defining and enforcing performance standards and quality of
service to consumers.
(iv) Establishment of Appellate Tribunal: An Appellate Tribunal has been
established for disposal of appeals against the order of the CERC and
State Electricity Regulatory Commissions so that there is speedy disposal
of such matters.
(v) Establishment of Consumer Grievances Redressal Forums and
establishment of Special Courts has empowered the consumers to
demand better quality and supply of power.
(b) & (c) : Under the Electricity Act, 2003, the Appropriate Commission which
includes Central Electricity Regulatory Commission (CERC), State Electricity
Regulatory Commissions (SERCs)/Joint Electricity Regulatory Commissions
(JERCs), Central Electricity Authority (CEA), the Load Despatch Centres and
District Committees have the responsibilities inter-alia of monitoring different
aspects of the working of various provisions of the Electricity Act. The relevant
provisions of the Act, viz., sections 79 and 86 deals with the functions of Central
Electricity Regulatory Commission (CERC) and State Electricity Regulatory
Commissions (SERCs) respectively, section 73 deals with the functions of CEA,
sections 28 and 32 deals with the functions of Load Despatch Centres and Section
166 (5) deals with the District Committees.
Further, the Appropriate Commission has powers under section 142
of the Act to impose penalty against any person for contravention of the
provisions of the Act, policies, rules and regulations framed under the Act. The
Commission has also the power under Section 143 of the Act to impose penalty on
any person for non-compliance of the directions of Regulation Load Despatch
Centre (RLDC).
(d) & (e): As per available information, a list of private distribution companies
operating in power sector in various parts of the country is given at Annex.
Section 19 of the Electricity Act, 2003 provides for revocation of
licence of the power distribution companies by the Appropriate Commission for
prolonged violation of provisions of the Act or rules or regulations made there
under. However, there is no such subsection 2(11) of section 19 of the said act as
mentioned in the question.
