Microsoft word - comments on ombudsman.doc

To, Date: 26 – 12 – 2003
The Secretary,
APERC,
Singareni Bhavan,
Red Hills,
Khairatabad,
Hyderabad – 4
Dear Sir,
Sub: Comments on Draft Regulations on Establishment of Forum and Ombudsman
Ref: Newspaper reports calling for comments on the proposed Regulations.
I regret the delay in sending these comments on the proposed Regulations on Establishment of Forum
and Ombudsman for Redressal of Grievances of Consumers as I came to know about this very lately.
The following are our comments/suggestions on the proposed Regulations:
1. Here we would like to repeat our request for a detailed note prepared by the staff of the
Commission on the need for the proposed regulations. This note should cover the context in which the
new regulations are being brought in, why the new regulations are being introduced, which old
regulations are being replaced as a result of the introduction of the new regulations, what new
elements/points are being replaced as a result of introducing the new regulations and why, what old
elements/points are going to be removed and why? This is very necessary because public are not
aware of the implications of the new Regulations. As an effort towards educating the public an
introductory note will help them to fathom the new initiatives.
2. Whether the new regulation replace or effect regulations on complaint handling procedures?
Section 5 (10) says that the forum shall duly comply with any consumer complaint handling
procedure, which the Commission may specify from time to time. But the question is in the complaint
handling procedure the consumer can go up to the CMD of the Company and also approach the
Commission. But according to the proposed regulations the Chairman of the Forum can be at least a
SE, in which context can a consumer approach it with a complaint that involves an officer of higher
level? If he or she approaches it how independent will be this Forum to handle complaints that involve
higher officials of these companies. It is important to clearly specify or demarcate the areas to be
covered by Form and Ombudsman on one hand and complaint handling procedures on the other.
What level of complaints can be heard by the Forum/Ombudsman? Do they come after or before the
complaint handling procedures?
3. At present the Licensees are utilizing the mechanism of Lok Adalats at different levels to settle
disputes/grievances of the consumers. This Lok Adalats have representatives of the consumers as
members of these Adalats. What will happen to these after the formation of Forums and Ombudsman?
What is the relation with Lok Adalats being held regularly and these Forums?
4. According to Section 2 (h) licensee mean distribution licensee only! Why not other licensees?
What about transmission licensee? What about stand alone projects?
5. According to Sec. 3 (1) every licensee shall not later than the six months from the appointed date
or grant of licensee, whichever is later, establish a Forum for redressal of grievances of the
consumers. Again according to Sec.2 (b) appointed date is 10th June 2003, and this is the later date as
all the licensees concerned have obtained the licensees much earlier. And the said six months period
ended on 10th December 2003. And last day for comments to be sent is 20th December 2003. In other
words this section is impossible to implement. Why include a point implementation of which is
impossible or down right illogical?
6. According to Sec 3 (2) members of the Forum shall be serving or retired employees of the
Licensee only? For neutrality they shall come from outside. Look at Lok Adalat! Lok Adalat includes
consumer representative.
7. According to Sec 5 (1) the co-opted member shall not have any right to vote. With out any voting
right what is the use of the membership, except being a mute spectator of the proceedings. In order to
make the membership effective he/she shall also have voting right.
8. The issue of who appoints these members of the Forms is also important. In stead of the respective
licensees The Commission shall appoint these members. It is also important to see that these
consumer representatives come from different sections of consumers viz., industrial, commercial,
domestic and agricultural.
9. Sec 3 (5) mentions that the co-opted member will hold office for three years. Duration of the
tenure of the other members is not mentioned in the proposed Regulation. Sec 3 (3) only mentions
that no person shall be appointed as member after he attains the age of 62 years. But the age at which
he will cease to be a member is not mentioned.
10. Sec 4 deals with the removal of the members of the Forum. If a member of the Forum takes or
continues to take decisions that adversely affect the Licensee, they may be removed by the Licensee!
What is the protection for the consumers/complainants?
11. Usually any committee/Forum consists of odd number of members. With the inclusion of co
opted member the number becomes even. We suggest that let there be two consumer representatives
with voting powers.
12. Sec 5 (11) Whether these 45 days limit includes the days mentioned in the complaint handling
procedures.
13. The Ombudsman shall decide [Sec 9 (4)]on the representation within 45 days of the receipt of
the complaint. Three months is too long a period.
14. There should be a provision for appeal against the orders of the Ombudsman (Sec 12).
We hope that our above comments will merit the attention of the Commission in finalizing the
proposed Regulations on Establishment of Forum and Ombudsman.
Kindly acknowledge the receipt of this letter.
Tanking you.
Yours sincerely,
M. Thimma Reddy
Convenor.

Source: http://www.pmger.org/comments/Comments%20on%20Ombudsman.pdf