Government of India amends Electricity (Rights of Consumers) Rules 2020

The Government of India has made two amendments to the current electricity price structure by amending the Electricity (Rights of Consumers) Rules, 2020. 

The modifications include the implementation of a Time of Day (ToD) Tariff and the rationalisation of smart metering regulations.

The rules for smart metering have also been eased by the government. To minimise customer discomfort or harassment, the existing penalties for exceeding the maximum sanctioned load/demand have been decreased.  

According to the metering provision modification, no punitive penalties will be imposed on a consumer following the installation of a smart metre based on the maximum demand recorded by the smart metre for the time preceding the installation date. 

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The load revision mechanism has also been rationalised such that maximum demand will be updated upwards only if the sanctioned load is exceeded at least three times in a fiscal year. 

Furthermore, smart metres must be remotely read at least once per day, and the data must be shared with consumers so that they may make educated decisions about their power use.

The government notified the Electricity (Rights of Customers) Rules, 2020 on December 31, 2020, based on the premise that power systems exist to serve customers and that consumers have rights to dependable services and quality electricity. 

The Rules aim to guarantee that new power connections, refunds, and other services are provided on schedule and that deliberate disrespect for consumer rights results in sanctions for service providers and compensation for customers.

The recent change to the Rules is a continuation of the government's efforts to empower power consumers, assure 24X7 dependable energy supply at competitive prices, and preserve a favourable environment for investment in the power industry.