CGRF and Ombudsman Regulations

1. CGRF and Ombudsman Regulations Dr.KetanShukla(IFS)

2. A Customer is the most important visitor on our premises. • He is not dependent on us, we are dependent on him. • He is not an inconvenience to our work. He is purpose of it. • He is not an outsider of our business. He is part of it. • We are not doing him a favour by serving him, he is doing us a favour by giving us the opportunity to do so. - Mahatma Gandhi

3. Schematic of institutional and policy structure TAP Regulations & Orders Executive Policies P U B L I C MoP • Tariff • Capacity Addition • Consumer Service CERC E. Act Legislature SERCs TAP

4. Regulator Power Flow Money Flow Market Regulation Institutional Framework Generation: Public, Private Distribution: Public, Private, Bulk consumers Transmission: Public, Private

5. Utility Contract Regulatory Commissions Political Voice Authority / policy Government / Policy makers Players and Interactions Consumers/Public

6. Consumer Expectations & agitations Adequate & timely availability of power Reasonable Tariff Good Service Quality

7. CONSUMER RIGHTS • Right to Safety • Right to be Informed • Right to Choose • Right to be Heard • Right to Seek Redressal • Right to Consumer Education • Right to Basic Needs • Right to healthy environment

8. CONSUMERS RESPONSIBILITIES • Consumer must exercise his rights. • Cautious consumer. • Filing complaint for the redressal of genuine grievances. • Consumer must be quality conscious. • Advertisements often exaggerate • Insist on cash memo .

9. Service and supply related issues • Poor service quality: • Billing errors, metering related issues, un-timely fault resolution, etc • Un-planned load Shedding, poor quality of supply, etc • Lack of information/clarity about procedures such as getting new connection, change in name or connection type and so on • Lack of access: • Half the households do not get electricity which is a high quality, cost effective form of energy Poor and small consumers most effected

10. National Electricity Policy • Consumers • Access to electricity for all households by 2010 • Per capita availability of electricity to be increased to over 1000 units by 2012 • Minimum lifeline consumption of 1 unit/household/day as a merit good by year 2012 • Cross subsidies to be reduced gradually • Provision of support to lifeline consumers (households below poverty line having consumption of 30 units per month) with tariff being at least 50% of average cost of supply. • Grievance Forum and Ombudsman to be set up • Government and RCs to facilitate capacity building of consumer groups.

11. Regulatory mandate • Defining norms and standards for service quality that utility must comply with • Establishing grievance redressal mechanism that is simple, easy to access, quick in response and economical for consumers • Establish monitoring mechanisms to ensure compliance of standards and regulations and effective grievance redressal

12. Why Consumer Protection? • Power sector is a Public utility. • Natural Monopoly. • Essential service. • Effects: 1. Conflict of Interest 2. Exploitation- Poor service.

13. Consumer – Licensee Relationship • Licensee’s Power to recover Expenditure incurred in providing Supply • Procedure and manner of recovery of service line charges and other Misc. charges • Issues related to prorata charges & fix charges • Security Deposit Regulations • Issues related to review of SD and refund of SD

14. Regulatory Role in protecting consumer interests • Setting reasonable and affordable tariff that reflects supply and service quality • Ensuring adequate power availability • Monitoring of supply and service quality • Ensuring compliance of utility with various legal provisions and regulations • Conducting due public processes for all the above functions • Increase awareness and transparency encourage public participation

15. Three tier grievance redressal mechanism structure Consumer’s grievance • Each licensee to establish IGRC & CGRF • CGRF • Consists of Independent Chairperson, utility’s representative, and consumer representative • Should decide the matter within 45 days • Ombudsman • Appointed by commission • Only consumer can appeal against the decision of CGRF to Ombudsman • Orders available on website Internal Grievance Redressal Cell (IGRC) Consumer Grievance Redressal Forum (CGRF) Ombudsman

16. Complaint Redressal Mechanism under Electricity Act, 2003 and GERC regulations CGRF Ombudsman For grievance against order of Ombudsman For implementation of the order Ombudsman High Court (by writ petition under section 226) Commission

17. 3 Tier mechanism for redressal of consumer grievances • Licensee’s internal redressal system: i. Local office of the licensee ii. Office in-charge of Division iii. Office in-charge of Circle. • Consumer Grievances Redressal Forums: 3. Electricity Ombudsman: Matters falling under section 126, 127, 135 to 139, 152 and 161 of the Electricity Act, 2003 are not within purview of Forum or Ombudsman.

18. Legal Provisions Electricity Act, 2003, Section 42 (5) Every distribution licensee shall, within six months from the appointed date or date of grant of licence, whichever is earlier, establish a forum for redressal of grievances of the consumers in accordance with the guidelines as may be specified by the State Commission. Electricity Rules (Amendments), 2005 : Section – 7 The distribution licensee shall establish a Forum for Redressal of Grievances of consumers under sub-section (5) of section – 42 which shall consist of officers of the licensee. The Appropriate Commission shall nominate independent member who is familiar with the consumer affairs. Provided that the manner of appointment and the qualification and experience of the persons to be appointed as member of the Forum and the procedure of dealing with the grievances of the consumers by the Forum and other similar matters would be as per the guidelines specified by the State Commission. GERC Regulations: GERC (Establishment of Forum for Redressal of Grievances of the Consumers) Regulations, 2004 notified on 25th August, 2004 is amended by the Notification No. 2 of 2011, Gujarat Electricity Regulatory Commission (Consumers Grievances Redressal Forum and Ombudsman) Regulations, 2011 dated 7.04.2011.

19. Important Definitions • "consumer" means any person who is supplied with electricity for his own use by a licensee or the Government or by any other person engaged in the business of supplying electricity to the public under this Act or any other law for the time being in force and includes any person whose premises are for the time being connected for the purpose of receiving electricity with the works of a licensee, the Government or such other person, as the case may be; • “Forum” means the forum for redressal of Grievances of the Consumers to be constituted by the Licensee in terms of sub-section (5) of section 42 of the Act and in accordance with the Guidelines. • “Grievance” shall mean a grievance of the Consumer arising out of the failure of the Licensee to register or redress a Complaint, and shall include any dispute between the Consumer and the Licensee with regard to any Complaint or with regard to any action taken by the Licensee in relation to or pursuant to a Complaint.

20. Constitution of Forums • Each Forum shall consist of 3 (three) members: (i) Chairperson, (ii) Technical Member and (iii) Independent Member. The Chairperson and the Technical Member shall be appointed by the licensee; the Independent Member shall be nominated by the Commission. • The Chairperson of the Forum shall be a retired district judge / a retired senior judicial officer or a retired civil servant not below the rank of Collector or a retired senior electrical engineer not below the rank of Chief Engineer having the experience of distribution of electricity. • The Technical Member shall be a serving officer at the headquarters of the Licensee / Forum and not below the rank of Superintending Engineer. • The Independent Member shall be nominated by the Commission who shall be a representative of a consumer protection organization / association, or a person of stature and repute having sufficient exposure to and experience of consumer affairs.

21. Functions of Forum • It shall facilitate and expedite the redressal of Complaints/Grievances; with in a maximum period of 45 days from the date of receipt of the Grievances by the Forum. • It shall protect the interest of Consumers; • It shall inform Consumers of their rights;

22. Right of Consumer to approach Forum • If the Licensee fails to register a Complaint; or • If the Licensee fails to resolve a Complaint in accordance with the Standards of Performance specified by the Commission; or • If the Consumer/Complainant is not satisfied with the Redressal of the Complaint (including dismissal) even after taking up the issue at the level of division head/circle head, as provided for in the Standards of Performance.

23. Limitations / Pre-conditions for Submission of Grievances • A Complainant shall not be entitled to approach the Forum in any of the following cases: i. In cases where proceedings in respect of the same matter and between the same Complainant and the Licensee, are pending before any court, tribunal, arbitrator or any other authority, or a decree or award or a final order has already been passed by any such court, tribunal, arbitrator or authority; ii. In cases which fall under sections 126, 127, 135 to 139, 152 and 161 of the Act; iii. In cases where the Complaint/Grievance has been registered two years after the date on which the cause of action has arisen iv. Complaints/Grievances which are: a) frivolous, vexatious, malafide; b) without any sufficient cause; c) there is no prima facie loss or damage or inconvenience caused to the Complainant. • Provided that no Complaint/Grievance shall be rejected unless the Complainant has been given an opportunity of being heard.

24. Nature of complaints to be dealt by CGRF and Ombudsman • Billing. • Estimate for new connection or extension of load. • Non-release of connection. • Disconnection. • Reconnection of service. • Meter related complaints. • Interruption in power supply. • Quality of power supply. • Delay in any service from licensee. • Safety related complaints. • Breach of rules and regulations by licensee. • Compensation for nonobservance of SOP.

25. Redressal of consumer grievances 1. Licensee’s internal redressal system: A consumer having any complaint, should approach Licensee’s internal redressal system sequentially i.e. on failure or non-response by the lower level, higher level should be approached. 1. Local office of the licensee 2. Office in-charge of Division 3. Office in-charge of Circle. 2. Consumer Grievances Redressal Forums: If the complaint is not resolved, then he may file a complaint against concerned forum of licensee in the area of consumer. 3. Electricity Ombudsman: If consumer is still not satisfied by the order of forum, then he may file representation before Ombudsman. Matters falling under section 126, 127, 135 to 139, 152 and 161 of the Electricity Act, 2003 are not within purview of Forum or Ombudsman,

26. Issues of order • After the completion of the proceedings, the Forum shall issue an order to the Distribution Licensee directing it to do one or more of the following things in a time bound manner, namely: i. to remove the cause of Complaint/Grievance in question; ii. to return to the Consumer(s) the undue charges paid by the Consumer(s); iii. to pay such compensation, to the person affected, as determined by the Commission under the Gujarat Electricity Regulatory Commission (Standard of Performance of Distribution Licensee) Regulations, 2005, in case the Licensee fails to meet the standards of performance as specified by the Commission; iv. to remove the defects/deficiencies in the services in question; v. to discontinue the unfair trade practice or the restrictive trade practice or not to repeat them; vi. not to offer and/or to withdraw hazardous electricity services; vii. any other order, deemed appropriate in the facts and circumstances of the case. • The Forum shall intimate the Complainant, the contact details of the Electricity Ombudsman appointed or designated by the Commission under these Regulations along with every order.

27. Implementation of order • The licensee shall implement the decisions of the forum within the timeframe specified in the order and report compliance to the forum within 7 days of the implementation of the order. • In case of non-implementation of the Forum’s order, the Complainant may represent to the Ombudsman to direct the Licensee to implement the Forum’s order. Non- implementation of the Forum’s order by the Licensee shall be deemed to be a violation of the Regulations and shall be liable for appropriate remedial action. • Any person aggrieved by an order made by the forum may prefer an appeal against such order to the Electricity Ombudsman within a period of 30 days from the date of the order

28. Electricity Ombudsman • Electricity Act, 2003, Section 42 (7) • The Ombudsman shall settle the grievance of the consumer within such time and in such manner as may be specified by the State Commission. • Any Complainant may prefer a representation before the Ombudsman appointed/ designated by the Commission under the following circumstances: i. If the Complainant is aggrieved by the non-redressal of the Grievance by the Forum within the period specified; ii. If the Complainant is aggrieved with the order passed by the Forum; iii. Non-implementation of Forum’s order in specified time limit.

29. Powers of Ombudsman • The Electricity Ombudsman shall have the following powers and duties. • To receive the appeal petitions against the order of the consumer grievance redressal forum and consider such complaints and facilitate their satisfaction and meditation between a licensee and the aggrieved parties or by passing an award in accordance with the Act and Rules or Regulations made thereunder. • On receipt of information from the Forum regarding non-compliance of the Forum’s order by Distribution Licensee, the Ombudsman shall initiate proceedings for implementation of Forum’s order by the Licensee. • The Ombudsman shall pass an order as early as possible but in any case, within 60 days from the date of receipt of the Representation. Where there is delay in disposal of a Representation within the said period, the Ombudsman shall record reasons of such delay.

30. Implementation of Ombudsman order •  The Licensee shall duly comply with and implement the decision of the Ombudsman within 30 days of issue of the Order. • Non-compliance of Ombudsman’s Orders shall be in violation of these Regulations and shall be liable for appropriate action by the Commission under sections 142 and 146 read with section 149 of the Act. • The orders of the Ombudsman shall be final and binding on the parties. No party can file an appeal before the Commission against the order. However, the rights of Complainant and Licensee to file an appeal before the judicial bodies (including but not limited to the Appellate Tribunal for Electricity, Forums and Commissions established under the Consumer Protection Act, 1986, High Court, Supreme Court, etc.) shall remain protected.

31. CGRFs in Gujarat • 8 • CGRFs • Electricity Ombudsman

32. Annual Performance Reports of CGRFs for the FY 2010-11

33. Annual Performance Reports of CGRFs up to Q3 of FY 2011-12

36. Smile at each other, smile at your wife, smile at your husband, smile at your children, smile at each other - it doesn't matter who it is - and that will help you to grow up in greater love for each other. - Mother Teresa

37. Words of Wisdom • We all agree that status quo is unsustainable • “If you keep on doing what you have always done, you will keep on getting what you have always got” think – change – execute • “Whatever the mind can conceive and believe, it can achieve” • “Transform your ‘critic’ into a ‘coach’ • “Do not give Reasons … Give Results” • “Don’t be ahead of me, I may not follow, Don’t be behind of me, I may not lead, Be with me and we will walk together”

38. QUESTIONS

39. THANK YOU