NGO opposes amendments to Electricity Act

The Ahmedabad-based Consumer Education and Research Society (CERS) has protested the Ministry of Power's (MoP) recent amendment to the Electricity Act.

The society has alleged that the ministry has succumbed to pressures from the power companies to amend the Electricity Act, known as 'The Electricity (Amendment) Act 2007', effective June 15, 2007.

According to CERS, the Electricity Act 2003 was consumer-friendly and made the power companies accountable, gradually turning towards utility due to frequent amendments brought in by the ministry.

Highlighting certain amendments in a press release, CERS said that the provision of reduction and elimination of cross subsidies within a specified time as decided by the State Electricity Regulatory Commissions (SERCs) have been modified and the word elimination has been omitted which means cross subsidies will be reduced but not eliminated.

Moreover, Section 126 of the Electricity Act, which covers the unauthorised use of electricity where the assessment was for three months and six months for residential/agricultural consumers and other category of consumers respectively, has been revised to actual period or for a maximum of 12 months for all categories of consumers.

The act has become less consumer-friendly as it now requires a consumer, who wants to file an appeal before Appellate Authorities, to deposit 50 per cent of assessed amount instead of the earlier 33 per cent.

The society is of the view that the scope of power theft has also increased post-amendment. The scope of Section 135 i.e. theft of electricity has been further widened covering use of electricity through a tampered meter as well as use of electricity for purposes other than for which it is authorised i.e. malpractice or unauthorised use of electricity is also covered under the theft of electricity to help utilities.

"These amendments are introduced at the behest of electricity companies to raise more money from consumers in India. It is important to add that consumer-friendly regulations are not being implemented by electricity companies and the State Electricity Regulatory Commissions," the release further stated.