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The PSERC quoted the Supreme Court’s order of May 19, stating that the duty to supply electricity under Section 43 of the 2003 Act is not absolute. (Representational) The Punjab State Electricity Regulatory Commission has provided relief to all those consumers and resident welfare associations (RWAs) of colonies where the Punjab State Power Corporation Limited (PSPCL) had not provided electricity connections for various reasons.
These are colonies where developers sold plots/flats without obtaining a no-objection certificate (NOC) from the PSPCL or where the developers abandoned the project without installing the local distribution (LD) system after obtaining the NOC.
“The PSERC, in its order of July 25, 2023, disposed of various petitions and directed the PSPCL to take necessary action to provide electricity connection where it has not been provided,” said V K Gupta, spokesperson of All India Power Engineers Federation (AIPEF).
The order covers three types of colonies: abandoned colonies, contiguous licensed colonies, and unapproved regularised colonies contiguous with licensed colonies.
The developers of the colonies were supposed to get NOC from the PSPCL for erecting the LD system. Many developers abandoned the electricity system layout in colonies where they were supposed to lay electricity wires and transformers.
The PSERC quoted the Supreme Court’s order of May 19, stating that the duty to supply electricity under Section 43 of the 2003 Act is not absolute and is subject to such charges and compliances stipulated by the electric utilities as part of the application for supply of electricity.
The PSPCL, in its reply, claimed that out of 71 colonies listed in the petition, connectivity had been given to over 40 colonies without completion of the LD system or without obtaining a bank guarantee (BG) from the developer.
The PSERC, in its order, stated that to give one last opportunity to the consumers and RWAs who are now willing to complete the project, a one-time settlement scheme for completing electrical works may be offered.
The PSPCL will immediately proceed as per law to take action to suspend or cancel the license of all such developers who violate the conditions of the licence by not obtaining NOC from PSPCL or completing the LD system of the colony, or paying connectivity charges.
After the licence of the promoter is suspended or cancelled by the licensing authority, the responsibility for getting the development works of such colonies completed is that of the licensing authority.
The licensing authority can complete the works by encashing the bank guarantee or disposing of the mortgaged property and, in case of excess expenditure, recover it from the developer and the allottees. Electrical works can also be completed by depositing the amount with the PSPCL.
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