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Tools for Building Tools for Building Capacities of CSOs in Capacities of CSOs in electricity reforms in electricity reforms in

Rajasthan Rajasthan A CUTS initiativeA CUTS initiative

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BackgroundBackground • Infrastructure/utility network is the backbone of economic Infrastructure/utility network is the backbone of economic

development. development. • The utility sector being key infrastructure, the availability of The utility sector being key infrastructure, the availability of

quality service in the required quantity would be one of the quality service in the required quantity would be one of the important determinants for the success of India’s recently important determinants for the success of India’s recently introduced high-growth oriented economic policy. introduced high-growth oriented economic policy.

• Given the capital intensity of the infrastructure sector and Given the capital intensity of the infrastructure sector and the poor financial condition of a number of utility providers, the poor financial condition of a number of utility providers, steps towards the infrastructure reform taken by the steps towards the infrastructure reform taken by the government was right on time.government was right on time.

• When the government started the process of allowing When the government started the process of allowing private sector to play its role in some of the key private sector to play its role in some of the key infrastructure industry, the sole objective it had in mind was infrastructure industry, the sole objective it had in mind was getting money from wherever it is available and under any getting money from wherever it is available and under any condition that it is available. condition that it is available.

• This was so, since most of the state run utility providers This was so, since most of the state run utility providers were in ‘red’. were in ‘red’.

• The reforms were introduced in Rajasthan in year 2000.The reforms were introduced in Rajasthan in year 2000.

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Why CUTSWhy CUTS

• No institutional mechanism in place to represent the No institutional mechanism in place to represent the consumers at large and their concerns, in organised consumers at large and their concerns, in organised and professional manner. and professional manner.

• Particularly the case for rural and agriculture Particularly the case for rural and agriculture consumers. consumers.

• Not enough advocacy efforts from consumers and they Not enough advocacy efforts from consumers and they were not aware of their rights and responsibilities. were not aware of their rights and responsibilities.

• A clear communication gap and a feeling of mistrust A clear communication gap and a feeling of mistrust between the consumers and service providers, since no between the consumers and service providers, since no provision for multi-stakeholder dialogue existed. provision for multi-stakeholder dialogue existed.

• Consumers had the mistrust Consumers had the mistrust • A state level workshop on 27-28 September 2000, the A state level workshop on 27-28 September 2000, the

year, when the reform process started in the state as year, when the reform process started in the state as well. well.

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ObjectivesObjectives

• Sensitise utility providers and regulators to Sensitise utility providers and regulators to the cause of consumers.the cause of consumers.

• Sensitise consumers about their obligations Sensitise consumers about their obligations towards the utility providers. towards the utility providers.

• Mobilise community participation in the Mobilise community participation in the reform processreform process

• Enhance the capacities of institutions and Enhance the capacities of institutions and consumer organisations. consumer organisations.

• Catalyse the establishment of independent Catalyse the establishment of independent regulatory frameworks in the utility sectors regulatory frameworks in the utility sectors to improve their efficiency. to improve their efficiency.

The immediate objectives of the initiative was to:

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The long-run The long-run objectives of the objectives of the

initiation:initiation: • Achieve better and cogent Achieve better and cogent

economic reforms and economic reforms and liberalisation in India. liberalisation in India.

• Improvement in the allocation of Improvement in the allocation of resources, facilitating more resources, facilitating more availability of resources. availability of resources.

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Tools emerged outTools emerged out

To take the initiative forward, the To take the initiative forward, the following tools were adopted:following tools were adopted:

• Representation, Advocacy and Representation, Advocacy and LobbyingLobbying

• NetworkingNetworking• TrainingTraining• ResearchResearch• Information Dissemination & OutreachInformation Dissemination & Outreach

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Representation, Advocacy Representation, Advocacy and Lobbyingand Lobbying

• As part of this tool, the major achievement was to become an active As part of this tool, the major achievement was to become an active member of the newly formed Electricity Regulatory Commission.member of the newly formed Electricity Regulatory Commission.

• Other then this, CUTS submitted views on draft electricty bill, draft Other then this, CUTS submitted views on draft electricty bill, draft licensing regulations of Karnataka, representation to the RERC licensing regulations of Karnataka, representation to the RERC

• As member of the Advisory Committee of the Rajasthan Electricity As member of the Advisory Committee of the Rajasthan Electricity Regulatory Tariff hike proposal submitted by the three distribution Regulatory Tariff hike proposal submitted by the three distribution companies and Transmission company. companies and Transmission company.

• Getting consumer charter completed, important role in setting up Getting consumer charter completed, important role in setting up of Grievance Redressal Mechanism at the grassroots and a code of of Grievance Redressal Mechanism at the grassroots and a code of standards of supply, creating political consensus and involvement standards of supply, creating political consensus and involvement of people’s representatives in the reform movement, appearing of people’s representatives in the reform movement, appearing before before the Parliamentary Standing Committee for giving before before the Parliamentary Standing Committee for giving comments comments

• Submitted views on Electricity Bills 2003, commenting on Draft Submitted views on Electricity Bills 2003, commenting on Draft Terms and Conditions for Tariff released by the Central Electricity Terms and Conditions for Tariff released by the Central Electricity Regulatory Commission and draft ‘Open Access’ regulation.Regulatory Commission and draft ‘Open Access’ regulation.

• Apart from this, CUTS staff also participated and represented the Apart from this, CUTS staff also participated and represented the organisation at several forums to present CUTS views on power organisation at several forums to present CUTS views on power reforms. reforms.

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NetworkingNetworking

• Networking with consumer activists and Networking with consumer activists and consumer organisation at the block, consumer organisation at the block,

• district and village level of Rajasthan district and village level of Rajasthan • Networking with consumer Networking with consumer

activists/organisations in other statesactivists/organisations in other states• Networking with past and present Networking with past and present

regulators, researchers & specialistsregulators, researchers & specialists• Networking with public representatives Networking with public representatives

through through Vidhayak Samvaad.Vidhayak Samvaad.• Creating a People’s MovementCreating a People’s Movement

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TrainingTraining • Prior to organising the first programme in September Prior to organising the first programme in September

2000, CUTS had organised one more programme in 2000, CUTS had organised one more programme in July 1998 on citizens charter for the erstwhile RSEB for July 1998 on citizens charter for the erstwhile RSEB for ensuring better governance. ensuring better governance.

• Programmes were conducted in three phases and the Programmes were conducted in three phases and the third phase in particular focussed on Feeder third phase in particular focussed on Feeder Renovation, which is the part of the ongoing reforms.Renovation, which is the part of the ongoing reforms.

• CUTS also organised newly developed Vidhyut Sudhar CUTS also organised newly developed Vidhyut Sudhar Samiti Meeting Series at 45 villages in three divisions Samiti Meeting Series at 45 villages in three divisions of Rajasthan.of Rajasthan.

• To carry the work forward as the grassroot To carry the work forward as the grassroot intervention, organised village meetings (intervention, organised village meetings (Chaupal Chaupal BhaitaksBhaitaks) Series in 45 villages) Series in 45 villages

• Organised public hearings in the selected districts Organised public hearings in the selected districts bringing the service provide and the common at a bringing the service provide and the common at a common platform.common platform.

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ResearchResearch

• Grass root surveys were done Grass root surveys were done among the consumers of among the consumers of different categories different categories

• Analyses of the power supply Analyses of the power supply logbook maintained in a few logbook maintained in a few blocks under Ajmer Distribution blocks under Ajmer Distribution Company Limited were also Company Limited were also done.done.

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Information Dissemination Information Dissemination & Outreach& Outreach

• CUTS have been making efforts to CUTS have been making efforts to disseminate various information disseminate various information related to developments in the related to developments in the reform process and the performance reform process and the performance of utilities and the regulator through of utilities and the regulator through various publications in vernacular, various publications in vernacular, which are in the form of newsletters, which are in the form of newsletters, briefing papers, monographs, briefing papers, monographs, reports and press releases.reports and press releases.

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Achievements so farAchievements so far

• The programme resulted into several The programme resulted into several pro-people changes in the electricity pro-people changes in the electricity policy and regulation and consumer policy and regulation and consumer participation was increased participation was increased substantially. substantially. Following are few Following are few specific mentions of success specific mentions of success parameters for the programme, parameters for the programme, separately at policy and grassroots separately at policy and grassroots level:level:

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At the Policy level At the Policy level • As result of consistent advocacy campaign, the As result of consistent advocacy campaign, the

Ministry of Power, Government of India has Ministry of Power, Government of India has recognised ‘recognised ‘Sensitising the ConsumersSensitising the Consumers’ as one of ’ as one of the strategic action-point into its six-point blueprint the strategic action-point into its six-point blueprint to reform the electricity distribution. to reform the electricity distribution.

• The Regulatory Commission has released The Regulatory Commission has released guidelines to all three Distribution Companies to guidelines to all three Distribution Companies to resolve the consumer complains in time bound resolve the consumer complains in time bound manner and report back on periodic basis and has manner and report back on periodic basis and has implemented service standards. implemented service standards.

• The regulatory commission has nominated CUTS to The regulatory commission has nominated CUTS to the Commission’s Advisory Committee to represent the Commission’s Advisory Committee to represent the genuine consumer concerns more effectively. the genuine consumer concerns more effectively.

• A greater institutional space exists for consumer A greater institutional space exists for consumer movement in electricity reform process.movement in electricity reform process.

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At the Consumers’ endAt the Consumers’ end • Consumers at grassroots finding it extremely unusual Consumers at grassroots finding it extremely unusual

to observe that senior officials of distribution to observe that senior officials of distribution companies coming out in public and have face-to-face companies coming out in public and have face-to-face through programme. through programme.

• These organisations are working to mould the society’s These organisations are working to mould the society’s opinion against mal practices such as electricity theft, opinion against mal practices such as electricity theft, wastage of energy and so on in rural areas.wastage of energy and so on in rural areas.

• These grassroots consumer organisations/activists are These grassroots consumer organisations/activists are better informed about the role of regulator and better informed about the role of regulator and obligations of utilities in terms of deliverables to obligations of utilities in terms of deliverables to common consumers. common consumers.

• Jan-SunvaisJan-Sunvais (public-hearings) have achieved the goal of (public-hearings) have achieved the goal of building a constructive partnership between building a constructive partnership between consumers and local utility staff. consumers and local utility staff.

• The World Bank’s Water and Sanitation Programme-The World Bank’s Water and Sanitation Programme-South Asia [WSP-SA] has identified the ‘CUTS-FES South Asia [WSP-SA] has identified the ‘CUTS-FES Model’ as one of the best practice in the entire country. Model’ as one of the best practice in the entire country.

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Creating a People’s Creating a People’s MovementMovement

• As part of its ongoing programmes, CUTS has As part of its ongoing programmes, CUTS has been able to mobilise people’s movement in been able to mobilise people’s movement in the power sector reforms process. The the power sector reforms process. The Vidhyut Sudhar Samitis set up is one example Vidhyut Sudhar Samitis set up is one example of people’s movement. One major example, of people’s movement. One major example, which is noteworthy to be quoted is that in a which is noteworthy to be quoted is that in a bid to prevent or reduce thefts in villages, bid to prevent or reduce thefts in villages, people who have proper connections have people who have proper connections have appealed to their neighbors who tap power appealed to their neighbors who tap power from the main line to tap power from their own from the main line to tap power from their own line and have a system of sharing of bills. line and have a system of sharing of bills. Though in legal terms, this is also theft, but Though in legal terms, this is also theft, but still companies do not loose anything out of it.still companies do not loose anything out of it.

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Creating a Grievance Creating a Grievance Redressal Mechanism and a Redressal Mechanism and a informal Code of Standards informal Code of Standards

at the Grassrootsat the Grassroots • CUTS has helped to established “Vidhyut CUTS has helped to established “Vidhyut

Sudhar Samitis’ in over 45 villages all Sudhar Samitis’ in over 45 villages all over Rajasthan. The main function of over Rajasthan. The main function of these committees is to act as a forum, these committees is to act as a forum, which helps the concerned villagers which helps the concerned villagers redress their grievances vis-à-vis power redress their grievances vis-à-vis power supply. CUTS has also enabled these supply. CUTS has also enabled these committees to come out with an informal committees to come out with an informal code of standards for power supply.code of standards for power supply.

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Recommendations brought Recommendations brought forward in the last few forward in the last few year’s of interventionsyear’s of interventions

• Taking power as a micro issueTaking power as a micro issue• A repeated and extensive efforts to bring about the A repeated and extensive efforts to bring about the

desired attitudinal and behavioral changes among the desired attitudinal and behavioral changes among the masses, since the issue is complex.masses, since the issue is complex...

• To further strengthen the three-fold approach adopted To further strengthen the three-fold approach adopted into ‘CUTS-FES Modal’ information flow & capacity into ‘CUTS-FES Modal’ information flow & capacity building (top-to-bottom); representation of consumer building (top-to-bottom); representation of consumer concerns & watchdog role (bottom-up); and co-concerns & watchdog role (bottom-up); and co-ordinating with utilities at different levels (horizontal ordinating with utilities at different levels (horizontal reach-out). reach-out).

• Atleast one such competent organisation needs to be Atleast one such competent organisation needs to be established at each districtestablished at each district

• Effective representation district/block level CSOs in Effective representation district/block level CSOs in regulatory proceedings has to be enhanced in qualitative regulatory proceedings has to be enhanced in qualitative and quantitative terms. and quantitative terms.

• Publishing reader friendly informative documents on Publishing reader friendly informative documents on relevant issues is must for supporting such initiatives.relevant issues is must for supporting such initiatives.

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THANK YOUTHANK YOU