Report of Indian Institute of Public Administration ... - Ministry of Power

Rajasthan
be available to other consumers if they were allowed to use grid power only in case of
emergency and not subjected to heavy minimum charges.
RERC was amongst the earliest Commissions to enact regulations regarding captive
plants and Open Access.
Suggestions for further improvements
Member, Judicial/Legal in State Regulatory Commissions
Section 84(1) of the EA, 2003 states that the Chairman/Members of the Commission
should have knowledge of engineering, law, etc. Since complex issues of law are also
raised before the Commission, very often they are handicapped if neither the
Chairman nor the Members have legal or judicial background. At least one member
with a legal/judicial background should be mandatory. Section 112(2)(b) of the EA,
2003 states “provided that every bench constituted under this clause shall include at
least one judicial member and one technical member”. Similar provision should be
laid down for the State Regulatory Commission also, if not for each bench.
Composition of Selection Committee for Chairman/Member of State Commission
Section 85 of the Electricity Act deals with the composition of the selection
committee for selecting the members. The Chief Secretary is one of the members of
the Selection Committee. In many States, the Commission gives the impression of
tilting too much in favour of the Government. In order to ensure greater independence,
it may be desirable not to have the Chief Secretary as a member of the Selection
Committee. The State Commissions are discharging the role, which used to be
discharged earlier by the High Courts. Their independence is very vital for the orderly
and balanced growth of the power sector. Unless there is a level playing field for all
the players, the monopoly regime of pre-Electricity Act will continue to exist. Under
Section 85(c), either chairperson of the authority or the Central Commission is to be
one of the members. It may be desirable to have both of them as members and
withdraw the Chief Secretary as a member.
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