Last Updated on June 21, 2024 by Satish Mishra
ESTABLISHMENT AND CORPORATION OF STATE COMMISSION:-
Section 17 of The Electricity Regulatory Commissions Act, 1998 lays down the establishment and corporation of State Commission:-
- The State Government may, if it deems fit, by notification in the Official Gazette, establish, for the purposes of this Act, a Commission for the State to be known as the (name of the State) Electricity Regulatory Commission.
- The State Commission shall be a body corporate by the name aforesaid, having perpetual succession and a common seal, with power to acquire, hold and dispose of property, both movable and immovable, and to contract and shall, by the said name, sue or be sued.
- The head office of the State Commission shall be at such place as the State Government may, by notification in the Official Gazette, specify.
- The State Commission shall consist of not more than three members including chairperson.
- The Chairperson and the members of the State Commission shall be persons of ability, integrity and standing who have adequate knowledge of, and have shown capacity in dealing with problems relating to engineering, finance, commerce, economics, law or management.
- The Chairperson and the members of the State Commission shall be appointed by the State Government on the recommendation of a Selection Committee constituted bt the State Government.
- Notwithstanding anything contained in sub-section (5) or sub-section (6), the State Government may appoint any person as the chairperson from the amongst persons who is or has been a Judge of a High Court: Provided that no appointment under this sub-section shall be made except after consultation with the Chief Justice of that High Court.
- The Chairperson shall be the chief executive of the State Commission.
- The Chairperson or any other member of the State Commission shall not hold any other office.
POWERS AND FUNCTIONS OF THE STATE COMMISSION:-
Section 22 defines the functions of the State Commission are:-
- The State Commission shall discharge the following functions, namely:-
- To determine the tariff for electricity, wholesale, bulk, grid or retail, as the case may be, in the manner provided in the act.
- To determine the tariff payable for use of transmission facilities in the manner provided in the act.
- To regulate power purchase and procurement process of the transmission utilities and distribution utilities including the price at which the power shall be procured from the Generating Companies, generating stations or from other sources for transmission, sale, distribution and supply in the State.
- To promote competition, efficiency and economy in the activities of the electricity industry to achieve the objects and purposes of this Act.
- Subject to the provisions of Chapter 3 and without prejudice to the provisions of sub-section (1), the State Government, may by notification in the Official Gazette, confer any of the following functions upon the State Commission, namely:-
- To regulate the investment approval for generation, transmission, distribution and supply of electricity to the entities operating within the State.
- To aid and advise the State Government, in matters concerning electricity generation, transmission, distribution and supply in the State.
- To regulate the operation of the power system within the State.
- To issue licenses for transmission, bulk, supply, distribution or supply of electricity and determine the conditions to be included in the licenses.
- To regulate the working of the licenses and other persons authorized or permitted to engage in the electricity industry in the State and to promote their working in an efficient, economical and equitable manner.
- To require licenses to formulate perspective plans and schemes in co-ordination with others for the promotion of generation, transmission, distribution, supply and utilization of electricity, quality of service and to devise proper power purchase and procurement process.
- To set standards for the electricity industry in the State including standards relating to quality, continuity and reliability of service.
- To promote competitiveness and make avenues for participation of private sector in the electricity industry in the State and also to ensure a fair deal to the customers.
- To lay down and enforce safety standards.
- To aid and advice the State Government in the formulation of the State power policy.
- To collect and record information concerning the generation, transmission, distribution and utilization of electricity, to collect and publish data and forecast on the demand for, and use of, electricity in the State and to require the licenses to collect and publish such data.
- To regulate the assets, properties and interest in properties concerning or related to the electricity industry in the State including the conditions governing entry into, and exit from, the electricity industry in such manner as to safeguard the public interest.
- To adjudicate upon the disputes and differences between the licenses and utilities and to refer the matter for arbitration.
- To co-ordinate with environmental regulatory agencies and to evolve policies and procedures for appropriate environmental regulations of the electricity sector and utilities in the State.
- To aid and advise the State Government on any other matter referred to the State Commission by such Government.
- The State Commission shall exercise its functions in conformity with the national power plan.
APPEAL TO HIGH COURT IN CERTAIN CASES:-
Section 27 of the Act deals with cases where one can appeal in High Court:-
- Any person aggrieved by any decision or order of the State Commission may file an appeal to the High Court.
- Except as aforesaid, no appeal or revision shall lie to any Court from any decision or order of the State Commission.
- Every appeal under this section shall be preferred within sixty days from the date of communication of the decision or order of the State Commission to the person aggrieved by the said decision or order:
- Provided that the High Court may entertain an appeal after the expiry of the said period of sixty days if it is satisfied that the aggrieved person had sufficient cause for not preferring the appeal within the said period of sixty days.
This post is written by Dipti Prakash of Punjab University (2020 batch). For more info on subject, please dial 99888-17966.