The government is yet to specify the new role of the Central Electricity Authority (CEA) after the Central Electricity Regulatory Commission (CERC) came into existence last week.
CERC, which is now the Centre's nodal power regulator, will be an independent body taking over most of the functions of the CEA.
Though CERC and the CEA are supposed to exist side by side, the union power ministry has not given the CEA any specific functions.
Officials said the government would specify the CEA's functions but did not elaborate on their nature.
The functions of the CEA were laid down in the Electricity (Supply) Act. The CEA not only framed the power policy but also advised and assisted the central government, state governments, state electricity boards, generating companies and licensees on all aspects right from policy to settling disputes.
Now CERC will frame policy and address matters related to power tariffs, including regulation.
With powers to promote to efficiency (under Chapter III, Clause (d) of the Electricity Regulatory Bill), CERC can completely turn around the present policy and even frame an entirely new policy.
In fact, this clause provides Central Electricity Regulatory Commission with powers to even do away with the Central Electricity Authority if it feels that it is obstructing the functioning of the power sector.
The CEA's role is further curtailed with the State Electricity Regulatory Commissions (SERCs) taking over the responsibility of settling disputes between the state government and state electricity board.
As per the Bill, CERC can constitute a separate Central Advisory Committee that will undertake the responsibility of advising the Centre on matters related to policy, ensure compliance by the licensees as well as lay down overall standards of performance for utilities.
All these functions which were being undertaken by the CEA will also come to an end once CERC comes into existence.
Officials in the CEA are now awaiting new orders from the government over the functions that CEA will be required to undertake.
Interestingly, CEA has not taken up any proposal for techno-economic clearance for over a month and sources in CEA pointed out that they will not be able to do so as two of its members have been transferred to the CERC and the government is yet to appoint new members.
