JOINT ELECTRICITY REGULATORY COMMISSION
FOR MANIPUR AND MIZORAM
AIZAWL : : : MIZORAM
D-31, M.G.Road, Upper Khatla
Tel. No. : 0389-2310623
NO.H.11019/27/12-JERC Dated Aizawl, the 22nd January, 2013.
MINUTES OF THE 11th MEETING OF THE STATE ADVISORY COMMITTEE OF
Venue : Conference Hall, I & PR Directorate, Aizawl (Mizoram)
Date & Time : 10th January, 2013 at 11:00 am
List of the participants appended.
The 11th Meeting of the State Advisory Committee, Mizoram began at I&PR Directorate, Conference Hall, Aizawl, with a brief welcome speech from Pu. A. Chhawnmawia, Secretary, JERC for M&M.
Initiating agenda wise discussion, Shri H. Bihari Singh, Chairman, SAC Mizoram, sought for the nod from the Members for confirmation of minutes of the 10th Meeting of the SAC Mizoram.
Agenda 1. Confirmation of the Minutes of the 10th Meeting of the SAC, Mizoram
The Chairman, after obtaining nod from the Members, declared that the Minutes of the previous meeting of the Committee stand confirmed.
Agenda 2. Power Sector Reforms
Referring to the discussion the Committee had on the same agenda in the last meeting, Pu L. Pachuau, CE (Distribution) informed the Committee that the Government of Mizoram has been examining the report of the Administrative Staff College of India (ASCI) and at the same time it has also collected views of other experts in order to find out an easier way of Corporatization in which financial implication is comparatively less. As per ASCI, a sum of ` 600 cr. shall be required for effective/ meaningful Corporatization of the P&E Department. The Government of Mizoram is perhaps finding it difficult to mobilize the requisite fund at present – the CE(Distribution) further added.
Pu _ Sailo, Secretary, Mizoram Consumers Union informed the Committee that the Government of Mizoram expressed in a press conference its willingness to corporatise the P&E Department. However, it was stated that the fund constraints hold the decision back.
Pu Liansangvunga, Under Secretary, P&E Department also informed the Members, that on the advice of the State Government, the Finance Secretary has left for New Delhi with all the details of financial implications, to work out a modality in consultation with the officers of the Central Government and other financial institutions. Pu Liansangvunga, further added that the Government of Mizoram is hopeful of finding a meaningful and pragmatic approach in near future.
Prof. H. Lalramnghinglova, Department of Environmental Sciences, Mizoram University felt that the Government of Mizoram is also expected to be able to do the kind of thing which other States have already done. For that purpose, the Government has to have the strong determination first and then explore the possibilities of mobilizing the required recourse – the Prof opined.
The Chairman stated that the Government of Mizoram has been providing a huge amount of tariff support / subsidy every year. It had agreed to provide to the tune of ` 250 cr. during 2012-2013. The fund required for corporatization may be phased out and it could be mobilized from the annual budget of the Power Department by reducing the amount of subsidy in the successive years.
Citing example of Community Based Forest Management, which is developed in the State of Kerala, Prof. H. Lalramnghinglova, suggested that the Government of Mizoram shall act as a facilitator while the real job is entrusted to an able corporate body.
Pu Zionlalremruata, General Secretary, All Mizoram Farmers Union, informed the Committee of the willingness of the Union to extend all kinds of support and render service to the new Corporation which is going to take over the Power Supply industry in the State of Mizoram.
Pu _ Sailo, Secretary, MCU further informed the Committee that it had already submitted a Memorandum to the Government of Mizroram requesting to corporatize the P&E Department as early as possible.
The Chairperson, JERC for M&M, who is also Chairman, SAC Mizoram summed up the deliberations of Members and stated that the State Advisory Committee shall therefore, continue to pursue the Government to expedite Corporatization of the P&E Department at an early date. Thereafter some of the important issues of power reform activities under EA 2003, NEP 2005 and NTP 2006 were discussed.
A. AS REQUIRED BY EA, 2003
- Unbundling of the State Electricity Board/ Department
The Members of the Committee noted that unbundling of Department is going to take some more time as it is being taken up simultaneously with Corporatization.
- Appellate Authority
The Committee noted that Appellate Authority would play an important role in regulating theft of power cases and therefore, wanted the Government to appoint neutral/ unbiased technical personnels as Appellate Authority, in the larger interest of the stakeholders.
- Installation of meters – 100 p.c. metering
About the 100 p.c. metering, Pu L. Pachuau, CE(Distribution) informed the Members that the P&E Department completed 100 p.c. metering of the consumers as early as 2005. As on date, about 90 p.c. of them are functioning properly. However, the Department is finding it difficult to replace the defective meters by standard ones because of fund constraints. The CE(Distribution) was hopeful that 100 p.c. metering would be successfully completed by the end of next year under RAPDRP for which the detailed scheme has been finalized and put up for Administrative Approval and Technical Sanction.
The Chairman elaborated further that 100 p.c. metering would necessarily mean metering at the Consumers premises, Distribution Transformers (DTs) and feeders at different voltage levels. If the 100 p.c. metering is not complete, energy auditing, which helps the Department locate the areas that either deserve incentive for having minimum loss of energy, or penalty for having maximum loss of energy, may not be possible. Thus, the Chairman emphasized the need for early completion of 100 p.c. metering in common interest.
- Consumer Grievance Redressal Forum (CGRF) and Internal Grievance Redressal Cell (IGRC)
Pu L. Pachuau, CE(Distribution) informed the Committee that IGRCs have been established at different locations of the Districts of the State. Approximately, 98 p.c. of the total area of the State have been covered. However, there is need for improvement of the functioning of these complain booths. Registration and Reporting mechanism needs to be made more effective in these cells – the CE admitted.
Prof. H. Lalramnghinglova and Pu _ Sailo, Secretary, MCU felt that the Consumers are not well aware of the Cells where they can lodge complaints and get their grievances redressed. They therefore, wanted that publicity is being done more through print and electronic media (Local TV Channels). The Electric bills in which, telephone numbers and address of IGRC are printed may be used as a means of communication.
Replying to a query from Pu C. Lalbiakthanga of the Industry Department, Pu L. Pachuau CE(Distribution) informed the Member that CGRF and IGRCs are set up to receive complaints from the consumers who have different kinds of grievances including disputed billing. The Department is always ready to redress the grievance as quickly as possible – the CE asserted.
About the use of old bill forms by the Department, Pu Benjamin L. Tlumtea, EE(Comml) informed that from the economic point of view, the Department is interested in utilizing the left over (old ones) also even though bills are prepared as per new Tariff Order for 2012-2013.
B. AS REQUIRED BY NEP 2005
- Electrification of the households
The Chairman expressed the desire to see that the 100% household electrification is completed and the consumption of energy by the Consumers is increased substantially so that the annual per capita consumption also increases near to the national level which is about 800 units. The per capita consumption of the State is a little over 200 units at present. The household electrification is about 100 % in urban areas and 65% in rural areas.
Pu L. Pachuau stated in this connection that, even though transformation problem is already solved, the shortage of power problem in NER as a whole still exists. Accordingly, the Department has no option but to resort to load shedding for few hours in a day.
About the electrification of households under BPL the CE (Distribution) informed the Committee that the electrification is in good progress and nearing completion. Replying to the query on the frequent power failure in the morning these days, the CE(Distribution) said that induction cookers (and may be other cookers also) are extensively used for cooking meals by many consumers and this kind of excessive drawal of power when the generation is restricted for evening peak, has compelled the P&E Department to resort to shed the load off and on.
- Energy Audit for Segregating Techno-Commercial losses and its reduction
The Chairman stressed the importance of segregating the technical loss and the commercial loss from each other and also highlighted the advantages the supplier may have while making headway towards reduction of the losses.
In reply, the CE(Distribution) informed the Committee that even though the Department is unable at the moment to cover the entire State because of various reasons including non-completion of metering, it has already taken up energy audit at few pockets where metering at both 11 kV feeders and consumers premises are complete. Feeder Managers are designated and they are doing the audit responsibly.
C. AS PER NATIONAL TARIFF POLICY 2006
- Introduction of “Open Access” in Distribution & Transmission
The Chairman emphasized the need for determination of separate tariff for Transmission and the Wheeling charge in order to facilitate both the Open Access customer and the Consumer. The Chairman compared the high voltage transmission system with the kind of Highway (surface) which provides for all kind of traffic day & night, and also expressed the desire to receive the respective tariff petitions next year.
Prof. H. Lalramnghinglova, Department of Environmental Sciences, Mizoram University, felt that the whole spectrum of electricity supply cannot be utilized at present in Mizoram even when provisions are available as per the Act and Regulations.
Pu L. Pachuau was however hopeful that the State may have some surplus power as soon as the 400 kV sub-station at Silchar having a transformation capacity of 300 MVA, is ready for commercial operation, provided the 400 kV sub-stations at Assam and Meghalaya take some more time to complete.
Agenda 3. Intra State Trading
Referring to the application received by the Commission from some agency for issue of Intra-State Trading License, the Chairman briefly explained the meaning of Trading in the Electricity business and also the way it works and then sought for the views of the Members in this regard.
Prof. H. Lalramnghinglova and Pu _ Sailo, Secretary, MCU wanted to know from where the agency is going to have power for trading. They however expressed their readiness to welcome the new proposition.
Pu L. Pachuau was also optimistic that the trader may get some power out of the allocated share of the State in case the State gets full share in the rainy season.
Pu Zion Lalremruata, General Secretary All Mizoram Farmers Union informed the Committee that the Union agreed to issue Trading License to any eligible person for better power supply in Mizoram.
Agenda 4. Miscellaneous
With the permission of the Chairman, Pu Benjamin L. Tlumtea, EE(Comml) briefly informed the Committee of the follow up actions taken on the recommendations in the last meeting, as under.
The Government of Mizoram has been examining the recommendations; the decision is therefore awaited, the decision of the Government shall be communicated to the Commission as soon as it is available. Pu L. Pachuau was of the view that all projects are priority projects, whichever comes first shall top the list.
Agenda 5. Recommendations
The Members unanimously decided to recommend the following for onward submission to the Government for further needful.
1. Implementation of all the components under Power Sector Reforms may be expedited under a time bound programme.
2. Intra-State Trading is acceptable; the policy of the Government in this regard may be finalized in the consumer’s interest.
The Meeting ended with vote of thanks to the Chair.
Sd/- H. Bihari Singh
State Advisory Committee
Memo No.H.11019/27/12-JERC : Dated Aizawl, the 22nd January, 2013.
- P.S to Hon’ble Chief Minister, i/c P&E Department, Govt. of Mizoram for kind information to the Hon’ble Chief Minister.
- PS to Secretary, P&E Department, Govt. of Mizoram for kind information to the Secretary and for taking necessary action on the Minutes of the Meeting.
- All Members / Special Invitee / Invitees of the State Advisory Committee for kind information and for taking necessary action on the Minutes of the Meeting.
- Guard File.