Monday, November 2, 2009

Say "TATA" to Reliance.

RELIANCE CONSUMERS CAN NOW SWITCH OVER TO TATA POWER IN JUST 30 DAYS

Steep in crease in power tariff of Reliance for Mumbai suburban consumers announced by MERC in June 2009 prompted Mumbai Grahak Panchayat (MGP) to blow whistle. MGP gave a call to “SAY “TATA” TO RELIANCE” and that set the ball rolling for competition in the power sector – a first of its kind in India!

Caught unaware of this sudden call from MGP based on legal provisions in Electricity Act 2003, both Reliance and Tata Power were forced to work out modalities for change-over protocol. However, both Reliance & Tata were keen to have their own meters, although the power was to be supplied by Tata and bills were also to be raised by Tata. MGP asserted consumers’ right to choice with regard to Meters and ultimately MERC too resolved this issue in favour of consumers. MERC has now approved protocol to be followed by both Reliance & Tats as well as by Reliance consumers intending to migrate to Tata Power. This protocol allows Reliance consumers to avail Tata’s cheaper power within just 30 days. The procedure for this change-over (migration) is also simplified by MERC.

What Reliance consumer has to do to switch over to Tata Power?

Ø APPLICATION FORMS: Obtain individual Application forms for change-over free of cost from any Customer Service Centre of either Reliance or Tata Power Company. Also available on their websites which can be downloaded.

Ø Documents required: Documents required to be submitted along with the Application: (a) Proof of residence such as voter ID card or Passport copy or Ration Card or, Society share certificate or MCGM property tax receipt (b) Identity Proof such as Voter ID card or PAN card or Passport copy or Driving License and (c) Copy of last paid Reliance Electricity Bill.

Ø CHOICE OF METER: The applicant has to indicate in this application his choice about the meter i.e. whether he wants to have Tata Power Meter or would continue with Reliance (R-infra) or he would purchase his own meter. If the applicant opts for Tata meter, he does not have to pay any charges for the same.

Ø Payment of handling charges and Security Deposit: The applicant has to pay to Tata Power handling charges of Rs 25/- for single phase connection and Rs 50/- for three-phase connection. In addition, the applicant is also required to pay to Tata Power refundable Security Deposit. Normally, for single phase connection with average consumption of 300 units per month, Security Deposit payable would be Rs 600/- and for 500 units it would be Rs 1000/-. Cheque for this total amount has to be drawn in favour of “The Tata Power Company Ltd.”

Ø Submission of application forms: Duly completed application form alongwith cheque has to be submitted to the Customer Service Centre of Tata Power alongwith above documents.

Ø No NOC is required from Reliance for this change over from Reliance to Tata Power.

Ø CHANGE OVER DATE: Seven days after submitting the duly completed application form and the cheque, whichever is the next meter reading date of the applicant indicated in his latest Reliance bill, will be the change-over date. On this date, representatives of both Reliance and Tata would be present to take the final meter reading of Reliance. If the applicant has opted for Tata meter, the same will be installed by removing Reliance meter. The applicant is entitled to remain present when such meter reading is being taken. As per rules, such connection has to be provided within 30 days.

Ø Meter –reading: After the change over, the meter will be read every month by meter reader of Tata Power.

Ø Billing: Once the applicant has changed over from Reliance to Tata, the monthly bills will be raised by Tata Power and bills will be payable to Tata Power. The bill will include consumption charges as per Tata’s approved tariff rate plus wheeling charges ( 88 paise per unit) payable to Reliance for using their infrastructure. However, as insisted by MGP and agreed by MERC, there will be a reduction of 37 paise per unit and hence the net wheeling charges that will now be payable by consumers will be only 51 paise per unit.

Ø Complaints: Any complaints of the change-over consumer have to be addressed and sent to Tata Power only. ( A single window system). If the nature of the complaint requires clarification/explanation from Reliance, then Tata Power will send the copy of the complaint to Reliance and Tata Power will communicate final redressal to the consumer.

Ø WHO SHOULD CHANGE OVER?: Although Reliance tariff was increased from June 2009, MERC has stayed the operation of the same as directed by Maharashtra Government. Reliance consumers are therefore presently being billed on the basis of old pre-June 2009 rates. However, if consumers change over to Tata Power, the revised tariff of Tata Power which came into effect from June 2009 will be applicable. In addition there will be wheeling charges of 51 paise per unit ( 88 paise minus 37 paise) will be payable by way of wheeling charges. Taking all these factors into consideration, only those Reliance consumers having monthly consumption of 200 units or more would benefit by this change over to Tata Power as of now. Hence, presently it is beneficial for only consumer with more than 200 units consumption to change over to Tata Power. In case the stay of Reliance tariff is vacated and the increased tariff is allowed to be charged, then even a consumer having monthly consumption of 50 units or more will benefit.

Now that the entire procedure for change-over from Reliance to Tata Power has been streamlined and simplified by MERC, Mumbai Grahak Panchayat once again calls upon all Reliance consumers with more than 200 units monthly consumption to immediately apply for switching over to Tata Power and herald the first-ever competition in the power sector to ensure better deal for consumers.


(Adv. Shirish V. Deshpande )

Chairman – Mumbai Grahak Panchayat

Contact: 9892335618

1 comment:

  1. On 31st October, 2009, Adv. Shirish Deshpande extended an informative talk on the rights of electricity consumers. He convincingly explained the issue related to BEST by highligting the problems that may be faced by BEST commuters.

    Abhay Datar, Girgaon Vibhag

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