FORUM OF REGULATORS

STANDARDIzATION OF ELECTRICITY
BILL

JULY, 2015
 Table of Contents

1. Introduction...............................................................................................................................................1

2. Deliberations of the Working Group..........................................................................2

3. Deliberations of the Sub Group......................................................................................2

4. Approach......................................................................................................................................................3

5. Description of key features in the Model Electricity Bill.................6

6. Recommendations...........................................................................................................................7

Annexures :-

Annexure I – Prototype of the bill presented by Uttar Haryana

Bijli Vitran
Nigam, Haryana
....................................................................................................................................................................................
10
Annexure II - Model Electricity Bill presented by Tata Power
Delhi
Distribution Limited
....................................................................................................................................................................................
11

Annexure- III- Model Electricity Bill presented by Consumer

Unity and Trust
Society............................................................................................................................................................12

Annexure- IV Model format for the electricity bill for domestic

consumers
with a billing cycle of 30 days as endorsed by the working
group……………13
1. Introduction

1.1 The Forum of Regulators (FOR) has been constituted by the

Government of India in terms of Section 166 (2) of the Electricity
Act, 2003. The Forum consists of Chairperson of the Central
Commission and the Chairpersons of the State Commissions.
Chairperson of the Central Commission is the Chairperson of the
Forum of Regulators and secretarial assistance to the Forum is
provided by the Central Commission.

1.2 In furtherance to its mandate, The Forum of Regulators, in 2015

constituted a Working Group under the Chairmanship of the
Chairperson of the CERC/FOR to study and make
recommendations on “Standardization of Electricity Bills” for
domestic consumers so that the bills are easy to comprehend by
any class of consumers.

1.3 The Scope of Work of the Working Group (WG) was to

To recommend a standard format of Easy Electricity Bill
which can be adopted in the country
To study the existing structure of electricity bills and
propose a standard format which is easy to understand,
simple to check the calculations and easy to know where
and how to make payments

1.4 The Chairperson of the FOR was authorised to nominate SERCs on

the WG. Accordingly, the WG on “Standardization of Electricity
Bills” was constituted as follows:

i. Chairperson, CERC … Chairperso

n
ii. Chairperson, DERC … Member
iii. Chairperson, MSERC … Member
iv. Chairperson, GERC … Member
v. Chairperson, HERC … Member
vi. Chairperson, KERC … Member
vii. Secretary, CERC … Member
viii. Joint Chief (RA), CERC … Member
ix. Deputy Chief (RA), CERC … Coordinator

1.5 The Secretariat of the FOR acted as the Secretariat of the WG.
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 2. Deliberations of the working group

2.1 In its first meeting, the Working Group perused the samples of
electricity bills of 16 States where it was seen that the bills of
some distribution companies were quite in detail and gave
important information on various components of a bill.

2.2 After deliberations, the Working Group decided to constitute a sub

group (SG) under the Chairmanship of Chairperson, Meghalaya
State Electricity Regulatory Commission (MSERC) to study the
electricity bills of different distribution companies (discoms) ,
evolve a model electricity bill for household consumers and
submit its report to the Working Group.

2.3 The Sub Group comprised of the following members:

Representative from Prayas Energy Group, Pune.

Representative from Consumer Unity and Trust Society
(CUTS) Jaipur.
Representative from Government distribution licensee of
Haryana. Representative from private distribution licensee –
Tata Power Delhi Distribution Ltd, New Delhi and Torrent
Power Ltd, Ahmedabad.

2.4 The sub group was required to submit its report for consideration
of the FOR Working Group.

3. Deliberations of the Sub Group

3.1 The first meeting of the Sub Group was convened on 25.05.2015 at
CERC Office, New Delhi. The meeting was attended by
representatives from consumers i.e. CUTS, representatives from
utilities i.e. Tata Power Delhi Distribution Ltd, New Delhi, Haryana
Vidyut Vitaran Nigam and representatives from Regulatory
Commissions.

3.2 The Sub Group (SG) examined the formats of bills being used by
different States in the country. It was observed that though the
formats are more or less similar, they vary from State to State
according to the tariff schedules and provision of electricity supply
specified by the respective State Regulatory Commissions.

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3.3 Uttar Haryana Bijli Vitran Nigam , Haryana distribution utility
presented a prototype of the electricity bill containing necessary
particulars. The proto type of the bill is attached at Annexure I. The
members opined that the front page of the bill should be made
simpler and the basis of calculation of the charges also mentioned in
the bill. Representatives from Tata Power informed that Delhi
Electricity Regulatory Commission had recommended that the
consumption history of the consumer to be mentioned on the bill
along with safety norms .It was also seen that generally, electricity
bills in each State were based on the provisions and tariff orders of
their respective Commission.

3.4 Tata Power presented a model electricity bill presently being used in
Delhi and expressed that the bill cannot be made simpler if the tariff
structure is complex. This format is placed at Annexure II.

3.5 CUTS, Jaipur also suggested a model bill showing important details
relating to consumption, charges and consumer details. The model
bill is attached at Annexure III.

3.6 Members also agreed that definitions of the statutory terms used in
the Bills be printed to make it easy for the consumers to understand.
While the structure of billing should conveniently depicted, it was
also agreed that the direct contact number of client manager – area
wise who could address the clarifications sought by consumer should
find place in the bills, in addition to the toll free number of the utility.

3.7 The members of SG also were of the view that the Forum could
consider taking up a review of the Supply Codes of the State
Electricity Regulatory Commissions in accordance to the model
electricity bill because the provisions in the Codes have a direct
bearing on the information to be communicated to the consumers in
the electricity bills.

3.8 After deliberations, it was agreed that as the format shared by Tata
Power New Delhi was quite informative and could be examined in
detail for developing a prototype. The SG also suggested that the
standard format may be customized as per the requirement of the
State by their respective Commissions.

4. Approach
4.1 After examining the electricity bills of 16 States in the country , it was
concluded that electricity bills should have the following key features:
It should be simple and easy to understand.

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 Font size should be visible and easy to read.

Bill Calculations should be provided wherever required and the

method of calculation also printed in the bill in such a manner
that consumer can understand the amount of the charges
arrived at.

Complete contact details of consumer and relevant

identification number should be available on the bill in order to
identify the consumer more readily.

The amount to pay , month of bill and due date for payment
should be highlighted at the top of the bill.

Bill should contain contact details of the distribution company

so that consumer can approach them in case of any difficulty,
and also display the phone numbers of call centers and other
details like address of the website where all the details are
available. If feasible, contact number of client manager of
specific area should also be displayed.

It should also contain history of previous consumption and

payment history, preferably for previous six months. This may
be given at the reverse of the bill. This can also be used for
calculating average consumption in case a meter is not read.

Nearest payment centre of the respective area should be given

to facilitate payment of the bill.

The bill should also display the contact details of Consumer

Grievance Redressal Forum and Electricity Ombudsman.

Space for display of important messages should also be

available preferably on front side of the bill, if required so and
if space is available.

4.2 Keeping the above features in mind, the standard billing format
for LT supply was framed . Since every State Commission has a
different tariff structure and different provision for billing etc, it
was recommended that this format may be customised
wherever required. It was recommended that electricity supply
codes which carry the billing

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 provisions may be reviewed accordingly, so that all the States
have common billing features.

4.3 The basic aim was to device a simple electricity bill which is
easy for the consumer to understand. In some States, bills are
generated on the spot after spot meter reading is done with
the help of meter reading instrument. Such spot bills are
generally simple and they give information which pertains to
energy consumption and fixed charges during the month, apart
from other particulars.

4.4 The finding and recommendations of the Sub group was

discussed by the Working Group and thereafter taken up in the
FOR.

4.5 Three options were deliberated upon as follows :

i) Option 1
To frame electricity bill formats keeping in view the bill period
so as to charge a consumer exactly what he consumes. However,
this would require computation of proportionate fixed charges and
energy charges for the billing period.
ii) Option 2
To read the meter at 00:00 hrs of the last day of the month
through automatic meter reading (as done in Mumbai ) or read a
meter through meter reading instrument , the value stored in the
memory of the meter at 00:00 hrs of the last day of the month. This
will solve the problem of proportionate billing and bills will be simply
computed as per the tariff order which gives monthly rates. In
adopting this option, FOR may consult all SERCs for making
electronic metering and this provision in their Code.
iii) Option 3
To make strict provisions in the Supply Code that all
households meters have to be read within+ 3 days and bill a
consumer as per the tariff and slab rates given in the Commission’s
Order. This practice is already in use but billing period is not
transparent. In this option, it is also suggested that at the end of the
financial year , the final bill may be prepared and adjustments due
to total fixed charges and energy charges as per the slabs may be
done in the interest of the consumer and the utility.

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 5. Key features of the model electricity bill
The following features to form part of the model electricity bill
i) Consumer’s details – Bills of LT consumers should contain the
name and address including mobile number/email of the consumer.
The identification of the consumer i.e. index number and the service
connection number should also be included.

ii) Category of consumer – A bill should display the category of the

consumer such as domestic, non-domestic, institution, etc. This is
necessary because the tariff for each category is determined
separately by the State Regulatory Commission.

iii) Sanctioned load – A bill should display the sanctioned or

contracted load given to a consumer by the distribution company.
This is necessary because fixed charges are generally determined on
per kilowatt on the load sanctioned.

iv) Bill basis – This is an important feature because billing can be on

actual meter reading of a meter / non-reading of a meter / the meter
is defective. The consumer must know that his bill is based on actual
meter reading or on average basis.

v) Bill period – A bill should also display the period for which
electricity is consumed. Generally, charges are fixed on monthly
basis. For example fixed charges are on per kilowatt per month
basis. It means that if a consumer uses electricity for more than 30
days or his meter reading is taken after 30 days then, as per
regulations he has to pay fixed charges on pro rata basis. Similarly,
different rates are charged for different slabs based on electricity
consumed. The first slab (say, 0-100 units) is charged at the lowest
rate. The slabs are fixed for consumption in one full month. For
example, if consumer is charged first 100 units at the lowest rate
then it means he is entitled to use 100 units in one month. Suppose
he is billed for 25 days, then he will be entitled for (100 x 25 / 30) =
83 units for getting the benefit of lowest rate.

vi) Meter reading – The date of taking the meter reading and the
reading should be displayed in the bill. The difference of previous
meter reading and the present meter reading will give the total
number of units consumed. Similarly, the period between the dates
of the two meter readings will give the billing period.

vii) Bill details and calculations – A bill should display the rates of
fixed charges, energy charges, fuel surcharge if any, electricity duty,
arrears and any other charges as may be determined by the
Commission and should also show the

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 calculation of bill factor (if required so), fixed charges, energy
charges, fuel surcharge, electricity duty, arrears, security deposit,
meter rent, interest on security deposit etc, separately in the bill.

6. Recommendations

a) The standard bill should have the following details on its front and
reverse.

The Front page to contain the following:

i) At the top of the bill, the summary of the details such as bill
month, amount and the due date for payment

ii) Name and address of Distribution Company.

iii) Helpline number and website address of the distribution

licensee with relevant details.

iv) The bill format will have four tables as follows:

Table 1

Details of the consumer like name, address, contact

details, relevant master data/connection details, load ,
tariff category etc. Basis of the billing can either be done
on actual meter reading of a meter or on average basis
Table 2

The meter number and its type and status, the previous
and current reading with units consumed, date of the
meter reading and other related information.
This table to also reflect Meter Rent, Security Deposit and
Interest on Security Deposit.
Table 3

This table to display the procedure of computation of the

bill. The fixed/energy charges, fuel surcharge, arrears and
electricity duty, etc, to also be shown.

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 Table 4

This is the main table which will contain the details of the
electricity bill and total payment to be made. This bill will
display all components of tariff. Each component will
show a connecting link/mark for looking at the
computation method of the same in the Table 3.
In addition to above, dynamic information such as modes
of payment and other details including important
messages if any like promotion/advertisement of any
scheme, new payment channel etc., can be given.

The reverse of the bill should contain the following:

i) Brief description of important components of the tariff,
statutory information in consumer friendly language and in
adequate font size.

ii) Address and telephone number of relevant collection centres.

iii) Information regarding complaint lodging and resolution

mechanism, information about different payment channels and
information related to restrictions if any, such as acceptance of
payment through different payment modes.

iv) Contact details of electricity ombudsman and consumer

redressal forum.

v) Consumption/payment history for past six months.

vi) In case of any adjustment due to bill revision, retro billing

in tariff change, assessment of faulty meter, charging of
energy / non-energy charges, consumers ask for complete
details of previously billed and revised bill components along
with Net charges credited / debited. Provision for such
information flow should be made a part of the bill format or in
standard annexure.

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 b) The model format for the electricity bill for domestic consumers
enclosed at Annexure IV is with a billing cycle of 30 days

c) All SERCs may modify their Supply Code accordingly so as to

accommodate the features of the Model Electricity Bill.

******

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Annexures
Annexure-1
Annexure-2
Annexure-3
 Annexure-4
Due Date Bill-
15.07.15 Month
JUNE
Amount

Rs.4842
ABC DISTCOM For Your help

NEW DELHI 011-88888888

www.abc.in

ABC Distribution Company Limited, New Delhi

Consumer Name: Mr. A. Kumar Sanctioned Load/Demand: 7 KW Consumer No: 1345271587

(KVA/KW) Tariff Category: DOMESTIC (LT)
Billing Address: 14 A The Mall, Delhi Recorded Demand(MDI): NA Bill Basis: Actual Reading
(KVA/KW) (Actual Meter Reading/Average)
Mobile No.: 9863076024 Meter Energisation Date:23.02.1999 Bill Date: 28.06.2015
Email ID: [email protected] Payment Due Date: 15.7.2015
Bill Period: 23.5.15 to 22.6.15
Bill Days: 30

Meter Bill Security Meter Interest Present Previous Meter Unit Consumed
No./Type/Statu Unit deposit rent on Meter Reading (C=A-B)
s security Reading
deposit
Dat Rea Date Reading(B)
e ding
(A)
1344/1 Phase- KWH NA 22.6. 2052 23.5.15 19826 696
Electronics/ OK 15 2

BILL CALCULATIONS DETAILS OF YOUR BILL

Item Amount
Fixed charges (A) Energy charges (B)
(Rs.)

Rate 30 Slabs per Rate (Rs/unit) Units Amount (Rs.) Fixed Charges (A) 210.00
(Rs/KW/Month) month Consumed
Energy Charges (B) 4272.00
Fixed charges for Rate X 0-100 4 100 400
a month Sanctioned load
FPPPA (C) 139.20

Electricity Duty (D) 69.60

Fixed charges to 30 x 7 = 210 101-200 5 100 500
be paid
Total Bill 4690.80

201-300 6 100 600 Previous Arrear (E) 151.50

301-Above 7 396 2772

Payment to be 4842.30
made = 4842.00
Total fixed 210 Total Energy 696 4272
charges Charges

(C) FPPPA : As per the Commission’s order dated ...... @ 20 paisa per unit for 696 units = Rs.139.20.
(D) Electricity duty : As per State Government Order dated.......@ 10paisa per unit for 696 units = Rs.69.60
(E) Previous Arrear : Last month arrears Rs.150 + late payment surcharge @ 1% per month = 151.50
 ON REVERSE OF BILL

 Brief description of important components of the tariff, statutory information in consumer friendly language and in
adequate font size.

 Address and telephone number of relevant collection centres.

 Information regarding complaint lodging and resolution mechanism, information about different payment
channels and information related to restrictions if any, such as acceptance of payment through different
payment modes.

 Contact details of electricity ombudsman and consumer redressal forum.

 Consumption/payment history for past six months.

 In case of any adjustment due to bill revision, retro billing in tariff change, assessment of faulty meter, charging
of energy / non-energy charges, consumers ask for complete details of previously billed and revised bill
components along with Net charges credited / debited.