No. 49 - 2020 / An Appeal to all CM's                          14 - 06- 2020

Sub: An Appeal to all CM's against Electricity (Amendment) Bill 2020                       

Respected Chief Minister,

            As you are kindly aware, the Ministry of power had put on its website on 17 April the proposed amendments to Electricity Act 2003 with comments and objections to be filed by 05 June 2020. We have information from the Press and other sources that as many as 10 States/UTs have filed their objections . Most states have strong objections that the Govt of India is not acting  in line with the Federal structure of Constitution  wherein Electricity is a concurrent subject. The States have the right to adopt the policy of subsidy to support Agriculture and weaker sections of consumers and the attempt by the Centre to dictate policy of Subsidy and DBT (Direct Benefit Transfer) is a gross encroachment on matters squarely within State purview.

2. The Amendments are seen as pro privatization measures to favour rich Corporates at the cost of State and its electricity consumers. The clauses regarding ECEA, payment Security, RPO, and distribution Franchises are all to favour private sector players.

 3. The draft amendments should have been first discussed with all States and stakeholders such as consumers and electricity employees and engineers. Without prior discussion or consultation with stakeholders and particularly bypassing States the Union Power ministry is trying to push through the draft amendments and acting against the spirit of democratic functioning.

 4. The All India Power Engineers Federation (AIPEF) has represented to The Prime Minister and all Cabinet Ministers that the Electricity (Amendment) Bill 2020 should be dropped. Moreover, there is a serious crisis of Covid-19 Pandemic in the National Capital Region and social distancing constraints will directly impact Parliament functioning.

 5. Copy of AIPEF appeal dated 13 June addressed to the Prime Minister and Cabinet Ministers is attached. AIPEF appeals to all State Chief Ministers to represent to the Prime Minister and his cabinet Colleagues that the draft amendments to Electricity Act 2003 should be dropped / put on hold. States should further represent that all the proposed amendments should first be discussed with States in line with the Constitutional requirement of concurrent status of Electricity.

Thank you with regards.

                                     Sincerely Yours

Shailendra Dubey                                                 P Rathnakar Rao

Chairman                                                              Secretary General