Background:
Gujarat Electricity Regulatory Commission (Electricity Supply Code and Related Matters) Regulations, 2015 (“GERC Supply Code, 2015”) have been issued under the Electricity Act, 2003 to regulate the relationship between Distribution Licensees and consumers in Gujarat. The Code governs the complete lifecycle of electricity supply, including application for connection, supply standards, metering, billing, payment, disconnection and related consumer services. It operates alongside the GERC Standard of Performance, Security Deposit and Miscellaneous Charges Regulations forming the broader consumer service framework in the State.
Applicability
This Code shall be applicable to:
(1) all Distribution licensees including Deemed licensees, all consumers in the state of Gujarat and for the purpose of Clause 4.32 of these Regulations to the Transmission Licensees;
(2) all other persons who are exempted under Section 13 of the Act; and
(3) unauthorised supply, unauthorised use, diversion and other means of unauthorized use/abstraction/theft of electricity.
Compliance Requirement Under the Regulations
Before disconnection for non-payment, the licensee shall issue a written notice under Section 56 of the Electricity Act giving the consumer 15 working days to clear dues; such notice may be included in the bill. Disconnection shall occur only after expiry of the notice period. The licensee may, at its discretion, remove the service line or meter after effecting disconnection.
If wiring, equipment, or installation at consumer premises is defective, causes leakage, endangers licensee systems, involves meter alteration, or interferes with efficient electricity supply to other consumers, the consumer shall be liable for temporary disconnection. Consumers shall not use electricity for purposes other than sanctioned use, tamper with meters or licensee equipment, or extend supply to other premises. If a consumer deliberately prevents meter access, the Distribution Licensee may issue notice specifying a final date for meter reading, failing which supply may be disconnected. Consumers shall not undertake construction obstructing agreed service positions; where shifting becomes necessary, the consumer shall notify the Distribution Licensee and bear shifting costs. Non-compliance may result in disconnection after 7 days’ notice. In case of pre-payment meters, supply shall automatically stop when the credited amount is exhausted, but such interruption shall not be treated as disconnection and supply shall resume upon recharge.
After temporary disconnection under Clauses 8.3(2), 8.3(3), or 8.3(4), the licensee shall issue notice requiring the consumer to remove the cause of disconnection within 180 days, failing which the supply shall be permanently disconnected. The licensee may take steps to prevent unauthorised reconnection of consumers disconnected in this manner. Where the licensee discovers that a connection has been reconnected in an unauthorised manner, action may be initiated as per Section 138 of the Act. Further, if supply to such premises is restored through another live connection, all pending dues of the disconnected connection shall be transferred to that live connection’s account; non-payment of transferred dues may be treated as per Clause 8.3(1).
Supply shall be permanently disconnected on termination of the Agreement or where the consumer fails to remove the cause of temporary disconnection within the notice period specified by the licensee. If the service remains continuously disconnected for 180 days (other than temporary disconnection on request of the consumer), the Agreement shall be deemed terminated on the expiry of 15 days or after expiry of the initial period of the agreement, whichever is later, on issuance of written notice — without prejudice to the rights of either party under the Act for recovery of any amount due.
On request for permanent disconnection, the licensee shall acknowledge immediately, issue the final bill within 30 days, and disconnect after payment. Written intimation of termination shall be issued within 7 days, failing which it shall be deemed issued. Disconnection shall be carried out immediately after payment of the final bill. The remaining security deposit shall be refunded as per the GERC Security Deposit Regulations, 2005. HT/EHT consumers shall bear the estimated cost of removal of apparatus and service lines, for which the licensee shall issue a written demand note within 10 working days of receiving the request. Where supply has been disconnected for non-payment, the consumer shall not be permitted to obtain an electricity connection from any other Distribution Licensee.
The licensee shall reconnect the consumer’s installation in accordance with the provisions of the GERC (Standard of Performance of Distribution Licensee) Regulations, 2005 and subsequent amendments, within the prescribed timelines and upon fulfilment of all conditions for reconnection by the consumer.
The Distribution Licensee shall make the consumer service manual available at all offices and on its website, publish Standards of Performance (SoP) standards, compensation structure, and complaint procedures in energy bills for the months of January and July (or as a separate handout). The licensee shall also publicise consumer rights, SoP, and grievance redressal through media, television, newspapers, and websites. Wide publicity shall be given through notice boards at consumer service offices regarding consumer rights, compensation provisions, grievance redressal mechanisms, energy efficiency measures, and other licensee schemes. The licensee shall also display feeder-wise outage data, efforts to minimise outages, prevent theft and tampering, along with yearly results, on its website. Before replacing existing meters with new technology meters, the licensee shall create adequate consumer awareness and issue public notices in at least four daily newspapers and prominently display the area-wise schedule and dates for meter replacement on its website.
The licensee shall monitor the progress of each case of new connection, billing, metering, disconnection, reconnection, and theft on a monthly basis. The monitored data shall also be uploaded on the licensee’s website for public information and transparency.
The licensee shall send Management Information System (MIS) reports to the Commission every quarter in the format prescribed by the Commission. The MIS reports shall also be uploaded on the licensee’s website.
The Distribution Licensee shall provide 24×7 power supply, subject to lower supply hours for specified categories as may be prescribed. Supply interruptions due to force majeure, emergencies, testing, outages, or maintenance may occur; consumers shall be informed through SMS or other electronic modes along with the estimated time for restoration of supply. The same information shall also be made available through the licensee’s call centre. The Distribution Licensee may curtail, stagger, or temporarily cut off electricity supply for such period as necessary for efficient system operation.
Every consumer must restrict electricity use in terms of maximum demand and/or stagger energy consumption in the manner and for the period specified in any order made by the State Load Despatch Centre (SLDC), State Government, or the Distribution Licensee for maintaining orderly grid operation. The licensee shall inform bulk/HT consumers about such restrictions as early as possible by any convenient communication mode to minimise inconvenience.
Voltage and current harmonic distortion (THD) in installations shall comply with limits specified under the Central Electricity Authority (Technical Standards for Connectivity to the Grid) Regulations, 2007, as amended. Total harmonic distortion for voltage at the connection point shall not exceed 5%, with no individual harmonic above 3%, and THD for current drawn from the transmission system shall not exceed 8%. Consumers shall not connect any apparatus, including phase splitters (tetas), that may interfere with or adversely affect the Distribution Licensee’s supply system or supply to other consumers.
Every consumer must stop wastage and inefficient use of electricity and extend necessary co-operation to the Distribution Licensee for implementation of Demand Side Management (DSM) programmes launched by the licensee.
Any order or notice issued by the licensee, including notice under Section 56 of the Act, shall be deemed duly served if sent by registered post to the notified address of the consumer or delivered by hand to a person residing at such address. In the case of an individual, service to the consumer’s spouse or authorised representative shall be sufficient. In the case of a firm, company, or corporation, service on the Managing Director, Director, Principal Officer, or an authorised person shall be deemed sufficient service.
Any communication or notice by the consumer to the Distribution Licensee shall be deemed duly served if submitted in writing and delivered by hand, post, or any legally permitted mode to the office from where the consumer’s bill is issued.
If a consumer refuses or avoids receiving notice, service may be effected by affixing the notice at a conspicuous place on the premises in the presence of two witnesses with photograph, or by publication in newspapers commonly circulated in the locality, both of which shall be deemed sufficient service of notice.
In suspected theft cases, the Authorised Officer shall remove and seal the old meter under a seizure memo in the consumer’s presence, continue supply through another meter, and test the old meter in the laboratory after giving the consumer 3 dates for attendance. Ex-parte test results shall be final and binding on the consumer if the consumer remains absent at all three dates.
Where sufficient evidence of electricity theft is found, the licensee or supplier shall disconnect supply, seize material evidence including wires, cables, meters, and service lines, and lodge a written complaint with the jurisdictional police station within 24 hours of disconnection.
The consumer served with an assessment order (for theft or unauthorised use of electricity) shall be required to make payment of the assessed amount within 7 days of its proper receipt.
On payment or deposit of the assessed amount, the licensee or supplier shall restore electricity supply within 48 hours, without affecting any proceedings under Section 135 of the Act. In case of default in payment of the assessed amount, the person shall, in addition to the assessed amount, be liable to pay interest at 16% per annum compounded every 6 months on expiry of 30 days from the date of the assessment order, pending adjudication by the Appropriate Court. In case of non-payment, the licensee may disconnect the connection by serving a 15-day notice, which shall not be reconnected until the assessed amount is deposited, and the amount shall also be shown as arrear in the regular bill.
A domestic consumer who has tampered with the meter may voluntarily declare the same by submitting an application with ₹100 charges to avoid Special Court proceedings. The consumer shall pay an assessment bill equivalent to twice the normal consumption charges for the last 6 months from the date of declaration, along with the cost of new meter replacement. The licensee shall not move the Special Court in such cases where the consumer voluntarily declares the tampered meter and pays requisite charges in time. In case of default in payment, the theft case booking procedure may be followed. This benefit is available only once in the lifetime for a particular consumer number.
The licensee shall prominently display the list of designated Authorised Officers/Assessing Officers at all offices. Photo identity cards issued to such officers shall clearly indicate their designation and authority.
A consumer served with a provisional assessment order for unauthorised use of electricity must file written objections within 7 days of receipt of the provisional order to the concerned Assessing Officer.
A person served with a final assessment order may accept and deposit the assessed amount with the licensee within 30 days of service of the order. The final order shall also specify the address of the Appellate Authority for filing an appeal. Interest at 16% per annum compounded every 6 months shall be levied after 30 days from the final assessment order. The connection may be disconnected on default, with reconnection only upon deposit of the assessed amount.
Any person aggrieved by the final order of the Assessing Officer may file an appeal before the Appellate Authority within 30 days, in the prescribed form and manner, along with the fee specified under the GERC Appeal Procedure Regulations, 2005. In case the person does not prefer an appeal under Section 127 of the Act and defaults in payment of the assessed amount, the connection shall be disconnected by serving a 15-day notice; reconnection shall not be permitted until the assessed amount is deposited. In case of non-payment, the amount shall be shown as arrear in the regular electricity bill.
Penalty & Consequences
The following penalty provisions apply across the compliance obligations covered in this blog. These have been consolidated and de-duplicated for ease of reference:
Section 146 of the Electricity Act, 2003 — General Penalty for Non-Compliance
Whoever fails to comply with any order or direction under the Electricity Act, 2003, or contravenes — or attempts or abets the contravention of — any provision of the Act or any rules or regulations made thereunder, shall be punishable with imprisonment for a term which may extend to three months, or with a fine which may extend to one lakh rupees, or with both, in respect of each offence. In the case of a continuing failure, a further fine which may extend to five thousand rupees for every day during which the failure continues after conviction of the first such offence shall also be imposed.
Section 135 of the Electricity Act, 2003 — Penalty for Theft of Electricity
Whoever dishonestly abstracts, consumes, or uses any electricity, or tampers with any meter or instrument or commits or abets theft of electricity, shall be punishable with imprisonment for a term which may extend to three years, or with a fine which may extend to ten times the assessed amount of the electricity abstracted, or with both. In case of a second or subsequent conviction, the imprisonment may extend to five years.
Section 138 of the Electricity Act, 2003 — Penalty for Unauthorised Reconnection
Whoever reconnects any service line or electrical supply line or apparatus that has been disconnected or removed by a licensee or supplier, without the authority of such licensee or supplier, shall be punishable with imprisonment for a term which may extend to three years, or with a fine, or with both.
Regulation 7.17 — Interest for Default in Payment of Assessed Amount
In case of default by the person in payment of the assessed amount, the person shall, in addition to the assessed amount, be liable to pay interest at the rate of 16% per annum compounded every 6 months on expiry of 30 days from the date of the assessment order, pending adjudication by the Appropriate Court.
Section 56 of the Electricity Act, 2003 — Disconnection for Non-Payment
Where any person neglects to pay any charge for electricity or any sum other than a charge for electricity due to a licensee, the licensee may, after giving not less than 15 clear days’ notice in writing, cut off the supply of electricity and may also recover the amount by following due process of law.
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