LUCKNOW: The Uttar Pradesh Electricity Regulatory Commission (UPERC) has imposed a penalty of Rs 7.18 lakh on Uttar Pradesh Power Corporation Limited (UPPCL) for failing to restore electricity supply within the mandated two-hour window for over 1.93 lakh prepaid smart meter consumers. The action was taken after the commission took suo motu cognizance of the issue, following reports that consumers' connections were disconnected for more than two hours despite their prepaid accounts showing a positive balance.
Background of the Case
The order stems from an examination of data related to reconnection timelines between March 13 and April 10, during which consumers experienced temporary power disruptions. On April 22, the Times of India had reported a detailed story about the power outages caused by the smart metering system. According to information submitted by UPPCL to the regulatory body, electricity supply to more than 40.27 lakh prepaid consumer households was disconnected during the period due to insufficient balance in their accounts. Of these, around 24.14 lakh consumers recharged their accounts and became eligible for reconnection. The submission further revealed that power supply was restored within 30 minutes for 18.78 lakh consumers, accounting for nearly 78 percent of reconnections. Additionally, 22.21 lakh consumers received restored supply within the two-hour period prescribed under the regulations, representing about 92 percent of cases. However, around eight percent of consumers, or 1.93 lakh connections, had to wait for more than two hours after recharge for restoration of supply.
Regulatory Standards and Violations
The commission noted that under the UPERC Standards of Performance Regulations, 2019, electricity supply to prepaid consumers must be restored within two hours of recharge, and distribution licensees are required to meet this standard in at least 95 percent of cases. The commission observed that the required benchmark was not achieved on several days between March 13 and April 10. It reviewed explanations submitted by UPPCL, which attributed delays to communication and network constraints, synchronization issues between payment gateways and remote management systems, system latency during peak transaction periods, and isolated technical issues at the meter level. UPPCL also argued that the smart prepaid metering programme was in a transition and stabilization phase.
Commission's Rejection of UPPCL's Explanations
After examining the submissions, UPERC rejected these explanations and held that smart meter installations under the RDSS programme had already achieved operational status. The commission stated that recurring delays could not be treated as temporary failures and that consumers should not face prolonged outages after making payments. It further observed that delayed reconnections cause inconvenience and distress to consumers and undermine confidence in the electricity distribution system.
Penalty and Directives
Consequently, the commission imposed a penalty of Rs 7.18 lakh for violations recorded across 10 days when the prescribed standard was not met. The order also directed UPPCL to undertake a root cause analysis and implement corrective measures to prevent recurrence of such incidents.
Reactions from Consumer Advocacy Groups
Meanwhile, Avadhesh Kumar Verma, member of UPERC's Supply Code Review Panel sub-committee and chairman of the Uttar Pradesh Rajya Vidyut Upbhokta Parishad (UPRVUP), described the action as the highest penalty imposed by any regulatory authority on a power corporation in such a matter. He said, "The issue of consumer compensation remains unresolved and that UPRVUP is pursuing a demand for a refund of Rs 50 each to the 1.93 lakh consumers whose electricity supply was restored after more than two hours due to issues linked to the smart metering system."
