Last Updated: 25-Jan-2014

Functions of the Commission (section 86 of the Electricity Act 2003)

As per the Electricity Act, 2003, the main functions of the Commission are as under:-

(a) Determine the tariff for generation, supply, transmission and wheeling of electricity, wholesale, bulk or retail, as the case may be, within the State:

Provided that where open access has been permitted to a category of consumers under Section 42, the State Commission shall determine only the wheeling charges and surcharge thereon, if any, for the said category of consumers;

(b) Regulate electricity purchase and procurement process of distribution licensees including the price at which electricity shall be procured from the generating companies or licensees or from other sources through agreements for purchase of power for distribution and supply within the State;

(c) Facilitate intra-state transmission and wheeling of electricity;

(d) Issue licenses to persons seeking to act as transmission licensees, distribution licensees and electricity traders with respect to their operations within the State;

(e) Promote cogeneration and generation of electricity from renewable sources of energy by providing suitable measures for connectivity with the grid and sale of electricity to any person, and also specify, for purchase of electricity from such sources, a percentage of the total consumption of electricity in the area of a distribution license;

(f)  Adjudicate upon the disputes between the licensees, and generating companies and to refer any dispute for arbitration;

(g) Levy fee for the purposes of this Act;

(h) Specify State Grid Code consistent with the Grid Code specified under clause (h) of sub-section (1) of section 79;

(i) Specify or enforce standards with respect to quality, continuity and reliability of service by licensees;

(j) Fix the trading margin in the intra-State trading of electricity, if considered, necessary; and

(k) Discharge such other functions as may be assigned to it under this Act.

The Commission is also required to advise the State Government on all or any of the following matters, namely:-

(i) Promotion of competition, efficiency and economy in activities of the electricity industry;

(ii) Promotion of investment in electricity industry;

(iii) Reorganization and restructuring of electricity industry in the State;

(iv) Matters concerning generation, transmission , distribution and trading of electricity or any other matter referred to the State Commission by that Government.

In addition to the above, the functions of the Commission as per the Haryana Electricity Reform Act, 1997 that are not inconsistent with the Electricity Act 2003 are the following:

(a) To regulate the working of the licensees and to promote their working in an efficient, economical and equitable manner;

(b) To promote efficiency, economy and safety in the use of the electricity in the State including and in particular in regard to quality, continuity and reliability of service and enable all reasonable demands for electricity to be met;

(c) To regulate the purchase, distribution, supply and utilization of electricity, the quality of service, the tariff and charges payable keeping in view both the interest of the consumer as well as the consideration that the supply and distribution cannot be maintained unless the charges for the electricity supplied are adequately levied and duly collected;

(d) To promote competitiveness and progressively involve the participation of private sector, while ensuring fair deal to the customers;

(e) To collect data and forecast on the demand for and use of electricity and to require the licensees to collect such data and forecast;

(f) To require licensees to formulate perspective plans and schemes in coordination with others for the promotion of generation, transmission, distribution and supply of electricity;

(g) To set appropriate code of conduct and standards for the electricity industry in the State;

(h) To regulate the assets, properties and interest in properties concerning or related to the electricity industry in the State; and

(i) To undertake all incidental or ancillary things.