Oppn likely to unite in House against draft electricity bill

NEWDELHI: The proposed Electricity (Amendment) Bill that several states say undermines India’s federal structure and attempts to privatise distribution could be the next flashpoint between the government and the Opposition.

Parties such as the Congress, Telangana Rashtra Samithi (TRS), Dravida Munnetra Kazhagam (DMK) as well as Left parties have opposed the bill with critics also alleging that it is not in the interest of farmers and the poor.

On April 17, the Centre issued a draft proposal for the amendment of Electricity Act, 2003, in the form of draft Electricity Act (Amendment) Bill, 2020 , inviting comments from stakeholders within 21 days. The deadline was later extended till June 2.

The draft bill aims to form an Electricity Contract Enforcement Authority (ECEA) that will have the power of a civil court to settle disputes between power generation companies (gencos) and distribution companies (discoms). According to the draft, ECEA will have sole authority to adjudicate matters related to performance of contracts related to purchase or sale of power.

Several states, including Telangana,

Maharashtra and Chhattisgarh, have alleged that the amendments will take away the autonomy of state-owned discoms and state regulators.

Chhattisgarh chief minister Bhupesh Baghel joined the chorus against the bill on Monday, writing to RK Singh, the Union minister of state for power. He urged the government to abandon the move in view of the Covid-19 pandemic and demanded that states be consulted before making it a law. Opposition parties are likely to form a united front on the issue to stall the bill in Parliament whenever it is convened, a Congress leader said.