The wording of the Electricity Act may be kept unchanged after the controversy surrounding the power ministry's proposal to amend it. However, some legal experts are of the view that more stringent control could be imposed on the regulator even with the existing wording.
"The power ministry is holding discussions with the law ministry over the controversial amendments to the Electricity Act," power secretary R V Shahi said in New Delhi on Thursday.
The power ministry had proposed amendments to the Act to say that regulator would have to be 'in conformity with' provisions of the Electricity Policy and Tariff Policy. The Act currently, requires the regulator to be 'guided by' policy.
"There is one view that the use of the term 'guided by' is strong enough,' he said while speaking to reporters on the sidelines of a workshop in the impacts of the Bhakra Nangal Project organised by the Central Board of Irrigation and Power.
The finance ministry and Planning Commission had opposed the power ministry's proposal to amend certain sections of the Electricity Act, saying that it would impinge on regulatory freedom.
'The Electricity Policy and Tariff Policy are statutory documents approved by the Cabinet. They are not recommendatory,' said an official, adding that power minister, PM Sayeed had assured the Central Electricity Regulatory Commission chairman, AK Basu, that he would look into the matter.
Basu has also written to the Prime Minister, Manmohan Singh and Planning Commission Deputy chairman, Montek Singh Ahluwalia stating that there was no need for the ministry to have reviewed this aspect of Act, as the left parties had not asked for it. Their objections had been on different matters.
'These are only proposals put forward after consultations with various stakeholders, state governments and others. Our stand is very flexible and a decision (on the final changes) is yet to be taken,' Shahi said.
Earlier, speaking on the occasion, Shahi had said that the 100 MW Tehri hydroelectric project and the 1000 MWSardar Sarovar project would be fully commissioned this fiscal itself.
Power wrangle