Govt Amends Electricity Rules 2020; Will Empower Consumers, Says Minister

Govt Amends Electricity Rules; Will Empower Consumers, Says Minister

The government today approved an amendment to the Electricity (Rights of Consumers) Rules, 2020 which is expected to further reduce the timeline for getting new electricity connections for consumers.

Union Minister for Power and New & Renewable Energy R. K. Singh in his recent announcement stated that these amendments to the rule are expected to further reduce the timeline for consumers to get new electricity connections. It’s estimated to simplify the process of setting up rooftop solar installations. The Minister informed that these recent amendments could empower consumers living in multistoried flats to choose their connection type and ensure separate billing for common areas and backup generators in residential societies, thus enhancing transparency. The amendments also provide for check meters to be installed by distribution companies in case of consumer complaints, to verify electricity consumption.

The major amendments made are as follows.

Facilitating Easier and Faster Installation of Rooftop Solar Systems

The amendments have been made in the Rules, to facilitate faster installation and enhance the ease of setting up Rooftop Solar PV systems at the premises of prosumers. Additionally, technical feasibility studies for systems up to a capacity of 10 kW are exempted. The systems of capacity higher than 10 kW, are given exemptions for the requirement of technical feasibility study. The timeline for completing the feasibility study has been reduced from twenty days to fifteen days. Further, in case the study is not completed within the stipulated time, the approval will be deemed to have been given.

The revised rule mandated the distribution system to strengthen the rooftop solar PV systems up to 5 kW capacity at its own cost. Further, the timeline for the distribution licensee to commission rooftop solar PV systems has been reduced from 30 days to 15 days.

Separate Connections for Electric Vehicle Charging Stations

The rule also revised the mandate for consumers, using electric vehicles (EVs) charging by allowing them to obtain a separate electricity connection for charging their EVs. This aligns with the country’s goal of reducing carbon emissions and reaching Net Zero by the year 2070.

New Connections And Change In Existing Connections To Be Obtained Faster

The period for obtaining a new electricity connection under the Rules has been reduced from seven days to three days in metropolitan areas, from fifteen days to seven days in other municipal areas, and from thirty days to fifteen days in rural areas. However, in rural areas with hilly terrain, the time for new connections or modifications in existing connections will remain thirty days.

Additional Rights for Consumers in Residential Colonies and Flats

The Rules introduced provisions to enhance consumer choice and promote greater transparency in metering and billing. Under the revised rule owners residing in co-operative group housing societies, multi-storied buildings, residential colonies, etc., will now have the option to choose from the distribution licensee either individual connections for everyone or a single-point connection for the whole premises. The exercise of the option will be based on a transparent ballot to be conducted by the Distribution Company. Parity has also been brought in the tariff charged to consumers who get electricity supplied through single-point connections and to those who avail of individual connections.

Metering, billing, and collection will be done separately for (i) individual electricity consumption sourced from the distribution licensee, (ii) individual consumption of backup power supplied by the residential association, and (iii) electricity consumption for common areas of such residential associations, which is sourced from the distribution licensee.

Mandatory Additional Meter in Cases of Complaints

In cases where consumers raise complaints about meter readings not aligning with their actual electricity consumption, the distribution licensee is now required to install an additional meter within five days from the date of receipt of the complaint. This additional meter will be used to verify the consumption for a minimum period of three months, thus reassuring consumers and ensuring accuracy in billing.

The Power and New & Renewable Energy Minister stated that the interest of consumers is paramount for the government. It is for this purpose that the government issued the Electricity (Rights of Consumers) Rules, 2020 on 31st December 2020, thus setting standards for services provided by electricity distribution companies all over India. These rules cover aspects such as billing, complaints, compensation, and timelines for new connections. They also offer support for renewable energy generation by prosumers. The Power and New & Renewable Energy Minister stated that the present amendments will further empower the consumers.