VIDYUT OMBUDSMAN

5th Floor, Singareni Bhavan, Red Hills, Hyderabad –500 004.

 

Dated: 27-05-2006    

 

Present: S. Surya Prakasa Rao, Ombudsman

 

Appeal No 4 of 2006

 

 

Between

 

Sri.M.Paul,

D.No. 258-16-28,

Lakshmi Narayanapuram,

Near Checkpost, Guntur                                                                          

 .…. .         Appellant

 

and

 

 

1.      The Assistant Engineer, Near Zilla Parishad Office, Guntur

2.      The Assistant Engineer (MRT), Red cross Building, Guntur

3.      The Divisional Engineer, Red cross Building, Guntur

4.      The Assistant Divisional Engineer, Akulavarithota, Guntur

5.      The Assistant Accounts Officer, Near Saraswathi Theater, Guntur    

 

                ……  Respondents

 

 

            This is an appeal dated 28-02-2005 made by Sri. M.Paul, Guntur          ( herein after called the consumer or appellant) against the order dated       22-02-2006 of the Forum for redressal of grievances of consumers (herein after called the CGRF) SPDCL, in C.G.No.57/2006. The Ombudsman having stood over for consideration till this day passes the following:

 

 

O R D E R

 

            The facts on record in this case are briefly mentioned here.  The domestic service connection No.21692, D-6, Guntur was released on          18-11-1977 with a connected load of 480 watts.  The consumer has been using supply and paying bills since then.  In 12/02, the consumer received a bill for Rs.12,640 on the basis of energy consumption of 2501 units for the bimonthly billing period October – November 2002.  The consumer contended that the meter was defective (due to jumping of digits in the dial) and sought testing of meter by paying Rs.50/- in December’2002.  The meter was tested by the MRT (Meters and Relays Testing) wing on 03-02-2003 in the presence of consumer.  However the test result was communicated in writing to the consumer by the AAE/D-6, Guntur after 16 months i.e. on 07-06-2004, (that too after the consumer insisted for it in his letter dated
31-05-2004) stating that the meter status is O.K..  In the said letter the   AAE/D-6/Guntur requested the consumer to pay the arrears of Rs.18,352/-. Pursuant to a representation made by the consumer on 09-06-2004, the DE/Opn/Guntur, in his letter dated 16-07-2004 instructed the AAO/ERO/Town-2,Guntur to revise the CC bill of October – November 2002 taking the average consumption recorded during past 2 years.  The AAO, ERO issued revised bill on 31-07-2004 considering average of 20 months consumption from April/2001 to November 2002 and also levied some surcharge.  Aggrieved by this, the consumer filed petition (C.G.No.311/2004) in the District Consumer Forum, Guntur.  The District Forum finally dismissed the complaint on 30-12-2005.  The consumer then approached the Forum for redressal of grievances of consumers of electricity, SPDCL, Tirupathi, (CGRF) which was established as per the provisions u/s 42(5) of the Electricity Act,2003 and filed a complaint before it on 23-01-2006 which was registered as C.G.No.57/2005-06 (GNT).  The CGRF, dismissed the complaint on       22-02-2006 holding that there is no deficiency of service by the Licensee and that it believed that the abnormal consumption of 2501 units recorded in October – November 2002 is due to accumulation of consumption.  Aggrieved by this order of the CGRF, the consumer filed this appeal before the Ombudsman.

 

2.         In his appeal, the appellant consumer mentioned the following main grounds of appeal :

 

(i)                 The test report does not reveal whether the meter dial was defective in the previous period, for which the challenge fee was paid.

(ii)               Their request to inform the previous position of meter was referred to MRT officials by the DE/ Operation in his letter        dated 20-06-2004, but the contents of the reply of MRT officers are kept secret and have not been mentioned even in the counter filed before CGRF.

 

(iii)             The surcharge levied in the revised bill dated 31-07-2004 to the extent of about Rs.1000/- should be with drawn as the delay was with licensees officials.

 

(iv)              The DE/Operation/Guntur did not keep up his promise to consider average consumption for 4 year period for issue of revised bill.

 

3.         This appeal was received by the Ombudsman on 01-03-2006.  As required under clause 8 (1) (c) of APERC Regulation No.1 of 2004, a notice was issued on 06-04-06 requesting the parties herein to reach a mutually agreeable settlement by 17-04-06.  The DE (Operation), i.e. the 3rd respondent, in his letter dated 25-04-06 sought for extension of time for settlement by 7 days.  The AAO, ERO filed his reply to the notice in his letter 26-04-2006 (which was received on 04-05-06) stating that the bill was revised considering the period from 04/01 to 11/02 as per instructions of DE/Operations/ Guntur.  The Appellant replied in his letter dated 28-04-06 that the respondents are insisting for an undertaking to withdraw the appeal before considering settlement. As he is not agreeable to give such undertaking, he requested the Ombudsman for taking up the proceedings in the appeal. 

 

4.         As no settlement was reached, the parties herein were heard by Ombudsman on 23-05-06 after issue of notice. The appellant attended the hearing along with Sri D.V.Lakshmi Narayana, Vice President, Consumer Assistance Center, Brodipet, Guntur.  The respondents 2.3. and 4 have attend the hearing.  A written statement on behalf of respondents 1 to 4 was filed during the hearing on 23-05-2006.

 

In this written statement the respondents made the following prime contentions.

 

(i)                 The appeal is not sustainable in law or on facts.

 

(ii)               The complaint filed by the consumer before the CGRF, is not tenable under law as the matter was earlier decided by the District Forum, Guntur.

 

(iii)             The revision of bill on the basis of average consumption from April/01 to November 2002 is justified and there is no deficiency of service on the part of respondents.

 

6.         In the context of the facts on record as mentioned above, the issues for consideration in this case are:

 

(i)                 Whether the consumer was entitled to approach the CGRF, when the same matter was earlier dismissed by the District Forum, Guntur?

 

(ii)               Whether the meter was defective as contended by the Appellant?

 

(iii)             If not what is the reason for the abnormal consumption of 2501 units in the bill 10-11/02 bi-monthly period?

 

(iv)              What is the responsibility of the Licensee as well as consumer on the implications of such cases?

 

7.         The above issues are discussed hereunder in detail.

 

(i)  Right of Electricity consumers to approach the respective CGRF

 

            The Electricity Act,2003 came into force with effect from 10-06-2003 Sub Section 5 of section 42 of this Act requires that each Distribution licensee shall establish a Forum for redressal of grievances of consumers in accordance with guide lines as may be specified by the State Commission.  The AP Electricity Regulatory Commission (APERC) notified the Regulation No.1 of 2004 in February 2004 specifying the guide lines as required under the said Act.  The CGRF, was established and started functioning from       06-01-2005 in terms of the provisions of the Electricity Act, 2003 and the Regulation made by the APERC thereunder.  Thus the CGRF, has a statutory status and is statutorily required to take up the complaints made to it in terms of the Regulation mentioned above unless it is prohibited to do so either in the said regulation or in any other law touching the consumers rights. Section 173 of the Electricity Act, 2003 contains some provisions concerned with this matter.  It provides that

 

Nothing contained in this Act or any rule or regulation made thereunder or any instrument having effect by virtue of this Act, rule or regulation shall have effect in so far as it is inconsistent with any other provisions of the Consumer Protection Act, 1986 (68 of 1986) or the Atomic Energy Act, 1962 (33 of 1962) or the Railways Act, 1989 (24 of 1989).”

 

The consumer protection Act, 1986 does not restrain any consumer from seeking reliefs available else where under any law for the time being in force.  The respondents did not produce any supporting material to prove any inconsistency in these two Acts, and merely made a statement in the written submission about the ineligibility of the consumer to approach CGRF.  This objection is therefore rejected.

 

(ii)  Meter Status: During the hearing on 23-05-2006, the appellant mentioned that the meter reader has informed them about jumping digits in the dial of meter.  Similar statement was made in the letter dated 09-06-2004 of the consumers welfare and assistance centre Guntur.  Sri D.V.Lakshmi Narayana, on behalf of consumer brought to my notice during the hearing that the reply of ADE/ LT meters on the previous condition of meter was kept secret and was not made available to consumer.  He repeatedly questioned the basis for certification of the ADE (MRT) on the correctness of previous condition of the meter.  This matter was earlier referred to DE/Opn/GNT by the consumers’ welfare and assistance centre Guntur in its letter dated        21-06-2004.   The respondent No.3 (DE, operation, Guntur) filed a copy of the Meter Test report on the test conducted on 03-02-03.  This report reveals that the condition of the dial which was the main ground for the challenge test, is O.K. The DE/Opn/Guntur also made available a copy of the letter dated      30-06-2004 of ADE/LT meters Guntur, during the hearing on 23-05-2006.  The said letter does not contain any confirmation or certification of previous condition of the meter.  It says that the errors are found to be with in permissible limits and all including dial are in normal condition.  Sri D.V.Lakshmi Narayana then suggested that meter may be sent to an external meter testing centre. 

 

Having regard to the circumstances of this case, and the Test report dated   03-02-2003 of MRT wing, I do not find any need for any further test of the meter by any external agency as suggested by the representative of the appellant during the hearing.  The contention of the Appellant consumer about jumping of digits in the dial of the meter appears to be based on a suspicion rather than on any physical evidence at any point of time.  Thus the complaint of meter defect on that ground could not be established and hence the abnormal consumption of 2501 units in 10-11/02 cannot be attributed to such meter defect. 

 

            At this point, I consider it necessary to make a few observations on the MRT Report on the test conducted on 03-02-2003.  The format of report covers the various items of checks and tests as follows:

 

Item 9

:  Position of seals – O.K.

Item 10

:  Physical (external) examination – no defects

Item 11

:  Internal examination – no defect

Item 12

:  Result of megger test – O.K.

Item 13

:  Condition of P.C. and C.C – O.K.

Item 14

:  Test results – percentage Error:

            At full load and unity power factor               : +0.56%

            At 1/10th full load and unity power factor     : 0.00%

            At full load and 0.5 power factor                  : +5.8%

item 15

:  Remarks – Nil

It may be noted from item 14 that the meter is showing an error of +5.8% (at full load and 0.5 power factor) which is beyond the limit of 3% specified in IE Rules 1956.  It is pertinent to observe that no comments are recorded against item 14 as well as against item 15 (remarks).  The consumer’s power factor is required to be maintained at 0.9 as per rules, but it may vary from 0.5 to unity depending on the appliances used.  Thus even if average error between unity power factor and 0.5 power factor at full load is taken, the error it works out to 3.18% which is beyond the permissible limit.  Thus the meter was defective from this point of view of permissible error at different power factors.

 

(iii)       Possible reason for abnormal consumption of 2501 units in October – November 2002.

 

The DE/Opn/Guntur, respondent 3, has stated during the hearing on 23-05-2006 that this is a case of suppressed (accumulated) consumption.  When he was asked to indicate the basis for coming to such conclusion he and the ADE/Opn/Guntur (respondent No.4) have produced statements of meter readings from 1999 on wards and pointed out some periods when low consumption was recorded.  I asked them whether the premises was inspected to check up the connected load when abnormal consumption surfaced in November 2002.  They replied in negative.  The premises was inspected by AAE, Opn, D-6, Guntur (Respondent 1) only on 06-07-2004, pursuant to the endorsement dated 29-06-2004 of DE/Opn/Guntur and found that the connected load was 1760 watts.  When I asked about the regularisation of the additional load over the original sanctioned load of 480 watts, the respondent No.4 replied that it was regularised in April 2004.  In any case, the regularisation aspect is not relavant for consideration in this case. 

 

On the other hand, the appellant consumer stated during the hearing on 23-05-2006 that they constructed an upstair portion in 2002 and that their consumption increased after the tenants occupied the upstair portion as they started using electricity from the same service connection.  An analysis of the meter readings was made in the above context, which reveals the following pattern of consumption.

 

Billing Period

No.of months

Total Consumption

Average Consumption

Remarks

3/1999

- 3/2000

- 13 months

- 2059/13

= 158 units/month

(Meter changed in April 2001)

4/2000

-10/2000

- 6 months

- 1244/6

= 207 units/month

11/2000

- 3/2001

- 5 months

- 331/5

= 66 units/month

4/2001

- 9/2002

- 18 months

- 2489/18

= 138 units/month

10/2002

- 11/2002

- 2 months

- 2501/2

= 1250 units/month

12/2002

-11/2003

- 12 months

- 2997/12

=  250 units/month

 

It may be seen from the above that the lowest level of consumption was recorded in the 5 months period 11/2000 to 03/2001 at an average of 66 units per month.  Further it appears that the meter was struck up as observed from the readings furnished during the hearing.  The same reading 5141 is recorded for five months from November 2000 to 3/2001.  A consumption of only 331 units are billed for the whole period of 5 months and the meter was charged in April 2001.   The average consumption of previous 6 months period was about 207 units / month.  After the change of meter in April 2001, the average consumption recorded from April 2001 upto to September 2002 was only 138 units per month. The huge abnormal consumption of 2501 units was recorded in October – November 2002.  The consumption from December 2002 to November 2003 showed a decisive increase to a level of 250 units per month.  This corroborates with the consumer’s statement that the upstair portion is occupied after this event of detection of abnormal consumption in December 2002.  The above sequence of events lead to an inevitable conclusion that this is a case of suppressed (accumulated) consumption and not a case of meter defect.  This may also require examination of the reasons for recording constant meter reading of 5141 for the period 11/2000 to 3/2001 and change of meter in April 2001.  I asked for the copies of MRB (Meter Reading Book) during the hearing on 23-05-06.  The 3rd respondent stated that the concerned MRBs are in the custody of vigilance officers in connection with a scam.  The MRBs would be useful to check with reference to basic record of entries made by meter reader.  However considering the facts already available on record, it is considered not necessary to obtain the MRBs from vigilance wing for the purpose of these proceedings.  Suffice to say that there is sufficient ground to believe that the meter readings are not properly recorded from 04/2001 onwards and also there was scope for increased consumption due to the construction activity under taken by the consumer, which is not reflected by way of increased consumption in the meter readings recorded by the staff of licensee upto September 2002.  Thus the action of the respondents in revising bill considering the 20 month period from 04/2001 is in order.  However to be fair to the consumer the energy recorded from 4/2001 to 11/2002 has to be reduced by 3.18% (average of (+)0.56% and (+)5.80%) for the propose of arriving at the total consumption liable to be billed as well as for arriving at the average consumption in this period

 

(iv) Responsibility of respective parties:

 

(a) Licensee:

 

There seems to be some laxity on the part of the Licensee’s staff in not conducting inspection of premises by the concerned distribution engineer when a complaint of this nature involving huge money (about twelve thousand rupees) linked to meter defect, was made by the consumer.  A simple inspection of the premises of consumer by the concerned engineer world have resulted in resolution of the matter in December 2002 itself by detection of additional load consequent to construction of additional floor.  Further while the respondents took action in Dec’2002 to recover the short billed amount on account of the suppressed (accumulated) consumption, there is no record of having taken any action on the persons responsible for such suppression (accumulation) of consumption.  The DE/Opn/Guntur (respondent No.3) could not confirm during the hearing on 23-05-2006, of having taken any action on the delinquent staff in this matter.  In any case this aspect is not a subject matter of these proceedings.

  (b) Consumer: 

 

There is no evidence on record about the consumer’s involvement in the suppression (accumulation) of consumption.  On the other hand during the hearing on 23-05-06, the consumer himself came out with the fact that he has started construction of up-stair portion about 3 months prior to this case of abnormal billing.  While the consumer is liable to pay for the energy consumed, he should not be subjected to any penalty un-less it is conclusively established that the consumer interfered with the functions of the Licensee’s staff.  There is no material on record to establish the involvement of consumer.  Hence the consumer is not liable to pay any additional charges other than normal charges for the energy consumed.

 

8.         Concluding the discussion I decide the following award on this appeal.

 

(i)                 As the alleged defect of jumping of digits in dial of the meter is not established and as there is evidence of use of electricity for construction of additional floor, the abnormal consumption of 2501 units billed in October – November 2002 bill shall be spread over the 20 months period from April 2001.  The total consumption from April 2001i.e. from the month in which meter was changed, upto the removal of meter on 21-12-2002, shall be reduced by 3.18% and a separate revised bill may be issued for that period on the basis of average consumption from 4/01 to 12/02, duly adjusting the payments already made for that period. 

 

(ii)               No surcharge shall be levied in the revised bill for the above period as consumer’s fault is not established in the matter of suppression  (accumulation) of consumption.

 

(iii)             The consumer shall pay the amount of this separate bill, with in 15 days from date of such separate bill raised as stated in           (i) above, failing which the licensee shall be at liberty to take appropriate action as per the General Terms & Condition of supply approved by the APERC.

(iv)              The consumer shall be entitled to approach the Licensee for grant of installments as per the provisions of the General Terms and Conditions of Supply, if the consumer so desires.

 

This order is signed on the 27th day of May, 2006.

 

 

 

VIDYUT OMBUDSMAN

 

 

 

To

 

1. Sri.M.Paul,

    D.No. 258-16-28,

    Lakshmi Narayanapuram,

    Near Checkpost, Guntur                                                                      

 .…. .         Appellant

 

2.      The Assistant Engineer, Near Zilla Parishad Office, Guntur

3.      The Assistant Engineer (MRT), Red cross Building, Guntur

4.      The Divisional Engineer, Red cross Building, Guntur

5.      The Assistant Divisional Engineer, Akulavarithota, Guntur

6.      The Assistant Accounts Officer, Near Saraswathi Theater, Guntur    

 

                ……  Respondents

 

 

Copy to

 

The Secretary,

APERC, Hyderabad.

 

The Chairperson,

Forum for redressal of grievances of consumers,

SPDCL, Tirupathi.