The Maharashtra Electricity Regulatory Commission has restrained Mumbai-based power utility and Reliance group company BSES from disconnecting supply to consumers for non-payment of additional security deposit.

In an interim order, the Maharashtra Electricity Regulatory Commission said that considering the circumstances and representations made by a consumer organisation it is directing BSES to refrain from disconnecting supply to consumers.

MERC said that BSES' proposal for the approval of annual revenue requirement is already before it and the matter of security deposit could be decided as part of those proceedings.

BSES had sent notices to their consumers containing a demand for payment of additional security deposit within seven days failing which their power supply could be disconnected.

The Mumbai Grahak Panchayat had moved the MERC against the BSES move and contended that the security deposit is a part of tariff and required specific

approval from regulator.

It had also sought invocation of section 142 or other appropriate sections of the Electricity Act 2003 and had prayed for immediate injunction in the wake of the BSES threat to disconnect supply in a very short time.

BSES, which supplies power to over two million consumers in the metro, in its notices to the consumers said that there is a provision in its approved conditions of supply enabling it to collect security deposit equal to three months bill amount from all consumers.