OERC proposes automatic compensation for Odisha consumers; discoms to pay for service delays

Electricity consumers in Odisha will be entitled to compensation if power distribution companies fail to deliver services within prescribed timelines, according to a new draft regulation issued by the Odisha Electricity Regulatory Commission (OERC).

The draft, which applies to the four Tata Power-managed discoms in the state, has been opened for public feedback until September 22, reported The New Indian Express.

The proposal specifies compensation for delays in ten categories, including response to consumer calls, restoration of supply, issuing new connections, disconnection, reconnection, shifting of meters or service lines, change of category or load, billing services, and addressing voltage or bill-related complaints.

According to the reports, compensation will be provided directly as an adjustment in electricity bills.

For low-tension (LT) consumers, the proposed compensation ranges from Rs 50 to Rs 1,500, while for high-tension (HT) consumers, it spans Rs 50 to Rs 2,500. The draft requires discoms to pay automatically without waiting for claims. Consumers can, however, file electronic complaints via SMS, online registration, web chat, mobile apps, or toll-free numbers within 60 days if payments are not made.

Compensation Linked To Response Time And Service Standards

The regulations outline strict timelines for service delivery. A delay of more than three minutes in responding to consumer calls will attract Rs 50 per default, while delays in issuing complaint numbers will lead to Rs 100 penalties.

Restoration timelines are capped at one hour in municipal corporation areas, two hours in urban areas, and six hours in rural areas for normal fuse-off cases. Compensation of Rs 50 per hour will be imposed for breaches.

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Previous Scrutiny Of Tata Power Discoms

The move comes shortly after OERC launched a suo motu case in July against Tata Power’s four discoms, TPCODL, TPWODL, TPSODL, and TPNODL, over service lapses and regulatory non-compliance. The regulator cited consumer complaints regarding unauthorised charges for new connections, delayed supply in violation of Section 43 of the Electricity Act, and neglect of critical infrastructure.

Concerns had also been raised about unmaintained substations, unreliable supply, and ineffective grievance redressal mechanisms, with instances of tree branches touching high-tension lines pointing to inadequate upkeep.