Maharashtra Electricity Regulatory Commission (MERC) has issued notice to Tata Power Company (distribution) for representations received from several organizations and individual consumers on non-compliance of its order with regard to the Universal Service Obligations (USO) and migration of consumers who consume electricity upto 300 units. Taking congnisance of representations, MERC has convened hearing on January 31 and asked Tata Power to file explanation through an affidavit at least one week prior to the date of hearing.
MERC chairman VP Raja told Business Standard, “The Commission has received a number of written representations from various members of the public. In view of the circumstances it is necessary and expedient to hear Tata Power Company on any explanation that it desires to offer on these written representations.”
MERC had received representations pertaining to its order delivered on August 23 last year where MERC had directed Tata Power not to indulge into cherry picking of R Infra consumers. MERC had allowed change over to only for the consumers who consume electricity upto 300 units a month.
The Tata Power spokesman said, "Yes, there is a MERC hearing. This is vested interest at play and we thank vested interest party(s) for having mobilised the customer shift to Tata Power. We welcome all such customers whose letters have been made to reach MERC to join Tata Power services. We suggest all customers interested in Tata Power Distribution services to walk into the nearest Tata Power customer care centre to complete the documentation and we will arrange to change them over in next 7 days, subject to incumbents clearance."
However, consumer representatives have brought to MERC’s notice problems faced by them in migration despite its order. They also pointed out that Tata Power was allegedly involved in discrimination among consumers as well as laying down the network selectively. Besides, they also complained about delays in the completion of necessary formalities for change over.
MERC’s notice is crucial when the Appellate Tribunal on Electricity (ATE) in its order delivered in December had rejected Tata Power’s plea challenging MERC’s order. ATE upheld MERC order against cherry picking and also its directive to levy Cross Subsidy Surcharge on changed over consumers. ATE reaffirms need to prevent Tata Power emerging as monopoly and thus protect healthy competition.