JSERC’s New Fees, Fines & Charges Regulations: What You Need to Know

On November 25, 2024, the Jharkhand State Electricity Regulatory Commission (JSERC) introduced the Fees, Fines & Charges Regulations, 2024, which lay out key guidelines for handling applications, petitions, fines, charges, and other financial procedures related to the functioning of the Commission.

These regulations supersede Schedule – I of the JSERC (Conduct of Business) Regulations, 2016, and aim to streamline processes while ensuring greater transparency and accountability.

The regulations are officially called the Jharkhand State Electricity Regulatory Commission (Fees, Fines & Charges) Regulations, 2024, and come into effect immediately upon publication in the Official Gazette of Jharkhand.

Geographical Applicability: These regulations apply throughout Jharkhand.

 Fees on Applications and Petitions

One of the major updates in these regulations is the introduction of a structured fee system for applications, petitions, and appeals:

  • Fee Requirement: Any petition or appeal made to the JSERC must be accompanied by the required fee, as specified in the Schedule of Fees, Fines & Charges. This also applies to co-petitioners, who must pay the same fees as the main petitioner.
  • Payment Methods: Fees can be paid via bank drafts, pay orders, or online transfers. For amounts exceeding ₹1 lakh, payment must be made via electronic transfer to the JSERC’s bank account.
  • Non-payment Consequences: If the required fee is not paid or if a lesser amount is paid, the petitioner has 15 days to submit the balance amount. Failure to comply may lead to the petition being rejected or not heard by the Commission.
  • Fee Adjustments: In cases where a petition is found inappropriate and the petitioner is asked to file a revised petition, the fee paid for the original petition may be adjusted towards the revised petition fee.

Imposition of Fines and Charges

JSERC has introduced provisions for imposing fines and charges for non-compliance or violation of the Electricity Act and its related rules and orders:

  • Non-compliance Violations: Fines can be imposed on generating companies, licensees, or any person violating the Electricity Act, JSERC regulations, or the Commission’s orders.

  • Determining Fines: The quantum of fines will depend on several factors, including:
    • The nature and extent of the violation.
    • Any unfair advantage gained or losses caused due to the violation.
    • Repetitiveness of the violation.

  • Opportunity for Defense: Before imposing fines, the Commission will provide the concerned person with an opportunity to respond to the charges. If the person admits the violation, the Commission may impose the fines as deemed appropriate.

  • Investigation: If the person denies the violation or does not respond, the Commission will investigate the matter and impose fines if the violation is confirmed.

Payment of Fines and Charges

Once fines are imposed, it’s essential to understand the payment process:

  • Payment Timeline: Fines must be paid within 30 days of the Commission’s order. The Commission may allow an extension if necessary.
  • Non-payment Penalties: If the fines or charges are not paid within the specified time, they will be recovered as arrears of land revenue.

License Fees

The regulations also address license fees for electricity licensees and deemed licensees:

  • Annual Fees: Licensees must pay annual fees starting from the Financial Year 2023-24. New licensees are also required to pay an initial license fee.
  • Late Payment Penalties: If the annual fee is not paid by 15th April each year, an interest rate of 1% per month will be charged.

Appeals Process Under Section 127

The regulations also outline the process for filing appeals under Section 127 of the Electricity Act:

  • Any person aggrieved by a final order under Section 126 of the Act can file an appeal with the Appellate Authority within 30 days of the order.
  • The appeal must be accompanied by:
    • A copy of the original order from the Assessing Officer.
    • A fee as per the Schedule of Fees.
  • The appeal should be signed and verified in the manner specified in Schedule A.

The Regulation lists out the Schedule of Fees, Fine and Charges

SCHEDULE A – MEMORANDUM OF APPEAL

ANNEXURE 1 – FEE REGISTER

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