(a) whether Confederation of Indian Industry has suggested to the Government to make changes in the Electricity Acts for making the private investment more attractive;
(b) if so, whether the Government propose to consider the said suggestions; and
(c) if so, the details in this regard?
THE MINISTER OF POWER
( SHRI P.R. KUMARAMANGALAM )
(a) to (c) : A Statement is laid on the Table of the House.
STATEMENT
STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (c) OF STARRED
QUESTION NO.56 TO BE ANSWERED IN THE LOK SABHA ON 28.2.2000
REGARDING CHANGES IN ELECTRICITY ACTS.
(a) : Yes, Sir. Confederation of Indian Industry (CII)
has made suggestions on changes in the Electricity (Supply) Act,
1948.
(b) & (c) : The Ministry of Power had asked the National
Council of Applied Economic Research (NCAER) as a consultant, to
suggest legislative changes if considered necessary to accelerate
the reform process. The suggestions made by CII were referred to
the NCAER.
The NCAER has submitted a draft Electricity Bill
to replace the existing three electricity laws (The Indian
Electricity Act, 1910, The Electricity (Supply) Act, 1948 and
The Electricity Regulatory Commissions Act, 1998). The draft
Bill suggests corporatisation of all the State Electricity Boards
and their restructuring into separate entities that would provide
for accountability based on profit centres, whether public or
private; and setting up or reinforcing the Regulatory Commissions
on the lines of the Electricity Regulatory Commissions Act, 1998.
It stresses the need for efficiency and competition with the
objective of providing reliable power supply to all consumers at
competitive prices. It also provides for a clear delineation of
roles and responsibilities.
In order to generate a national debate on the
issue and to evolve a consensus on the draft Bill suggested by
NCAER, its copies have been circulated to all concerned for their
comments, suggestions and advice.