- (1.) The Tata Power Co Ltd. - Distribution (TPC -D) has filed a Petition on 24 March, 2014, under Regulations 74 and 85(a) of the MERC (Conduct of Business) Regulations, 2004 seeking review of the Commission's Order dated 28 December, 2012 in Case No. 47 of 2012 relating to its Schedule of Charges to the extent of charges for (a) Service Connections for 'Switchover' consumers (b) Service shifting and Meter shifting on the request of consumers.
(2.) The Petitioner has made the following prayers: "i. Admit the Petition in accordance with the Regulations 74 and 85(a) of MERC (Conduct of Business) Regulations, 2004. ii. Condone the delay in filing the petition. iii. To review the Order dated 28th December, 2012 issued by Hon'ble Commission in Case No. 47 of 2012 in the matter of approval of Tata Power ­D's " Schedule of Charges" to the extent of Hon'ble Commission's ruling on charges for (a) Service Connection Charges for "Switchover" consumers as proposed in the petition. (b) "Service shifting on the request of consumer" and "Meter shifting on the request of consumers" iv. Grant the liberty to Tata Power -D to add / change / modify / alter this petition and make further submissions as may be required at future date. (c) Condone any inadvertent omissions / errors / rounding off difference / shortcomings. (d) Pass such further and other orders, as the Hon'ble Commission may deem fit and proper keeping in view the facts and circumstances of the case."
(3.) The Petitioner has submitted that: 3.1 TPC -D had filed a Petition dated 10 October, 2012 for revision of its Schedule of Charges under Regulation 18 of the MERC (Electricity Supply Code and Other Conditions of Supply) Regulations, 2005. The Commission had issued an Order dated 28 December, 2012 in Case No. 47 of 2012 approving the Schedule of Charges for various categories of consumers of TPC -D w.e.f. 1 January, 2013. 3.2 In its Order dated 22 August, 2012 in Case No. 151 of 2011, the Commission had directed TPC -D to develop its distribution network in 11 identified clusters, and allowed 'changeover' and 'switchover' only to consumers with monthly average. consumption upto 300 Units. Accordingly, TPC -D has been carrying out changeover of consumers at the rate of around 8000 to 9000 consumers per month. As of January, 2014 around 240 consumers have switched over to the TPC -D network. Exemption of payment of Service connection charges for Switchover Consumers: - 3.3 In case of the changeover of consumers, only the application processing fee is required in accordance with the Commission's Order on the Schedule of Charges. However, in case of switchover of consumers, in addition to the application processing fees, Service Connection Charges for the last mile connectivity are also required to be collected. 3.4 Consumers who are switching over to the TPC -D network already have power supply from another Distribution Utility. While getting connected for the first time with that Utility, such consumers have already paid it the Service Connection Charges. On account of this, consumers are unwilling to switchover, especially low -end consumers with consumption of 0 -300 units, and prefer to continue as 'changeover' consumers which does not require fresh payment of Service Connection Charges. If the payback period is very long, it may not incentivize the consumer to switchover. 3.5 Such disincentive hinders consumer switchovers despite TPC -D being in position to effect such switchover. Hence, considering the urgency as per the Commission's directives in Case No. 151 of 2011 dated 22 August, 2012 to switchover low -end consumers, the Commission may exempt switchover consumers in the category of 0 -300 units from the payment of Service Connection Charges for a period of one year in order to observe their response. At the end of that period, depending upon the response of the consumers, TPC -D would revert to the Commission for the further course of action. Segregation of charges for "Shifting of services" and "Shifting of Meter" under different heads: 3.6 In its original Petition for approving its Schedule of Charges, TPC -D had proposed charges for "Meter Shifting" in the category of "Meter and Related Expenses" considering many requests from consumers for meter shifting or for change in the location of meter. TPC -D had proposed to recover the actual expenses incurred on shifting of meter since the requirements vary from one consumer to another. 3.7 While finalising the Schedule of Charges in Case No. 47 of 2012, the Commission had allowed recovery of Meter/Services shifting expenditure on a normative basis in line with its earlier Order in Case No 30 of 2006 dated 22 December, 2006. The Commission also clarified that such charges will be applicable only where the shifting is to be done at the consumer's request. However, in case it is TPC -D itself that wants to have the service shifted, then the cost is to be borne by it and not the consumer. 3.8 Further, the consumer's request may not be limited to shifting of a single meter within the same meter cabin or another meter box, but may also require shifting of the entire meter box along with its service cable. This may involve partial or complete removal of the existing service cable. It may also involve relocation of the meter along with the service cable, fuse unit and other safety arrangements. If the cable is to be removed, it will require excavation which may be in private property or on public roads. Accordingly, reinstatement charges become applicable. Thus, additional manpower and resources are required which would vary from case to case considering consumer requirement and site conditions. 3.9 TPC -D has received 74 meter shifting requests from direct consumers from April, 2012 to March, 2013. The actual average cost was Rs. 6,892/ -, ranging from a minimum of Rs. 2665/ - to a maximum of Rs. 47,830/ -. The standard rates of Rs. 100 and Rs. 200 approved by the Commission are, thus, inadequate and do not address the wide variations in costs incurred for different types of works. Hence the charges for Meter Shifting should be on the basis of actuals. (The Commission infers from TPC -D's other submissions that the intention is to charge at actuals when Service shifting is also involved.) 3.10 However, in its Order in Case No. 47 of 2012 Order dated 28 December, 2012, the Commission has clubbed the activities of 'Shifting of services" and "Shifting of Meter" under a single head and approved a combined charge for them so as to rationalize the categorisation of activities to be charged across Licensees. 3.11 After analyzing various cases and in line with the recent Commission Orders in Case Nos. 18 (RInfra -D, dated 21 March, 2013) and 22 of 2013 (BEST, dated 5 June, 2013), TPC -D proposes that the charges for "Shifting of services" and "Shifting of Meter" be segregated under different heads so that charges are fixed for "Shifting of Meter" whereas Service sifting would be charged on an actual basis. Accordingly, TPC -D seeks approval to the following charges towards Meter and Services shifting; Particulars Existing Charges Proposed by TPC -D (Rs) (Case No. 47 of 2012) (Rs.) Shifting of Services/Meters, if (Shifting of Meter, if carried out carried out on consumer's request on consumer's request) - Single Phase 100 100 - Three Phase 200 200 Shifting of Services, if carried out Actual expenses incurred for on consumer's request providing the facility (It may be noted that the present Schedule of Charges clubs together 'shifting of Services/Meter', with charges of Rs. 100 or 200 for single and three phase connections respectively.) ;