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The Electricity (Amendment) Bill, 2014

The Electricity (Amendment) Bill of 2014 is the proposed bill to further amend the provisions of the Electricity Act of 2003 (Act 36 of 2003), which was then enacted with the aim and object of consolidation of the laws relating to the generation, transmission, distribution, trading and use of electricity and also for, generally, taking measures conductive for development of electricity industry, and also for promoting competition therein. That original Act was also aiming at the protection of consumer and supply of electricity to all areas and there are many other object which can be seen in the original Act’s documents. Moreover, it is notable as said herein above that the present Amending Bill is seeking to further amend the provision of the Electricity Act of 2003.

In its proposed amendment, this Bill is seeking to segregate the distribution network business and the electricity supply business and introduce multiple supply licensees in the market, as it can seen in the early clauses of the proposed bill. Further, it is seeking to authorize the State Electricity Regulatory Commissions for the grant of licenses. And there will be several supply licensees in a given areas of supply, and the consumers will be enjoying options to choose to buy electricity from any of such Supply licensees. Also, as per Bill, if any supply licensee ceases to be as such or even if suspended (under proposed section 24), then the as per new proposed provisions contained under Part VIA, Section 51B, the electricity will be supplied by a provider of last resort- POLR, and such POLR are the supply licensee designated from time to time by the Appropriate Commission (as said under proposed clause 70B to the existing section 2 of the Original Act). Also, this bill is proposing to add definition of the renewable energy and also it is providing for a National Renewable Energy Policy, as per clause 3 of the Bill.

Thus, there are in all 64 modifications requiring clauses in the Bill and for all such proposed modifications, this bill sought to add some other terms and its meaning, also it is seeking to substitute some existing provision to add new provisions at their places and also some other amendments. Actually, the Working Group on Power which was constituted by the Planning Commission on the 4th day of March, 2011 for the development of the power sector and this Group has recommended for amendments in the said Act. And it has faced in the proposed Bill, which was on 19th day of December, 2014.

Adv. Faim Khalilkhan Pathan