Corona pandemic in India vs unfair business practices of Dakshin Haryana Bijli Vitran Nigam (DHBVN) a State run DISCOM PSU under Govt. of Haryana for generating inflated bills and pressurising/ misleading consumers to pay the bills much prior to the due date of payment during lockdown

Corona pandemic in India vs unfair business practices of Dakshin Haryana Bijli Vitran Nigam (DHBVN) a State run DISCOM  PSU under Govt. of Haryana for generating inflated bills and pressurising/ misleading the consumers to pay the bills much prior to the due date of payment during lockdown

An article titled "Are Electricity Companies in Haryana like DHBVN adapting to unethical business practices? was earlier published in this blog bringing out unethical business practices by electricity DISCOM in Haryana. The link to the article is given below:

https://skvirmani-jagograhak.blogspot.com/2016/02/are-electricity-companies-in-haryana.html

The author has faced similar issue again during Corona Virus pandemic. However, while discussing with various consumers, the general feedback is that such issues are being faced quite often. All the electricity distribution companies have been mandated to adhere to the Standard of Performance (SOP) as laid down by State Electricity Regulatory Commission under Electricity Act, 2003. If the State Electricity Regulatory Commission conducts regular audits, the result could be most of the States DISCOMs would be failing in meeting such benchmarks as specified in their respective Standards of Performance. 

Like other countries including developed nations, India also faced pandemic due to corona virus. India took an initiative wherein complete lockdown of 21 days was enforced from 24^th March 2020 till 14^th April 2020. It got further extended from 15^th April 2020 to 3^rd May 2020. While enforcing lockdown, Indian Authorities lead by BJP party announced certain measures to overcome financial hardships affecting citizens/consumers like:

              1.  Extension from 31^st March to 30^th June 2020 for the purpose of income tax savings,                      payment of TCS and TDS for the Financial Year 2019-20.

               2. Renewal of various insurance policies falling due during the period of lockdown by                       granting more grace period

               3. Moratorium on deductions for PF Employees contribution for 3 months

               4. Relief for three months from payment of Loan Installments

               5. Schools were prohibited by Delhi Government from charging school fee at a time and                   debarring schools to charge transportation fee for the next three months 

While, Govt of India took lenient view on the financial hardship likely to be faced by the citizens due to lockdown, a State run PSU Dakshin Haryana Bijli Vitran Nigam Ltd (DHBVN), a DISCOM for distribution of electricity in southern part of the Haryana State under Govt of Haryana again lead by BJP had adapted to certain unfair business practices wherein it had raised the electricity bills based on an average consumption of past six months and pressurising/misleading the consumers to pay the bill much in advance before due date of payment. The previous six months period in India is a winter period wherein the consumers consume more electricity comparatively than in the months of February, March etc. Hence the bills being raised during March, April would be inflated one if raised on the previous average consumption basis. In the instant case, the corresponding actual consumption for the bills raised in April 2019 was 501 units and thereafter the consumption in the peak summer and winter season was recorded in the bills raised in June 2019, August 2019, and October 2019 and February 2020. October and November are the months where neither the AC is switched on nor are geysers used.   

                                

Previous Year Consumption
Bills raised during	No. of units
Apr-19	501
Jun-19	1701
Aug-19	2067
Oct-19	1760
Dec-19	646
Feb-20	1798

Secondly the electricity meters are installed on the poles outside the residential premises and hence noting the meter reading does not require access to the premises. Electricity in anyways comes under essential services and therefore it would have been possible to take meter reading during this period even if DHBVN was determined to raise the electricity bills. Ideally the company should have waited for the lockdown period to have been over and started its billing process thereafter. Consumers/Citizens should not have faced any financial hardship due to lockdown. This would have been in spirit to the Central Government motives of not putting any financial hardships on the consumers/citizens during lockdown. Rajasthan DISCOM in Jaipur (a State ruled by Congress) had a novel idea of advising consumers to take the meter reading themselves and send the same to DISCOM. Such consumers were offered an incentive by way of discount in the bill by Rs. 50/ each. Similarly, BSES a DISCOM in Delhi (a State ruled by Aam Admi Party) advised its consumers to send meter reading and avail a discount of Rs. 20/- each. The consumers who would not be able to send the meter reading would have been issued the bills on past average basis.

The normal mode of payment of bills are through deposit of cheques/DD or internet banking. The cheque payment has already been stopped by DHBVN. Therefore the payment modes are either through DD or internet banking. The DD payment could involve steps like visit of the consumer to the bank, getting DD issued and depositing at their office. These steps are not possible during the period when the area is completely under lockdown. Sector 37, Faridabad was already notified as containment zone. Whether DHBVN thought of before initiating pressurising tactics to collect payment prior to one month before due date of payment specially those consumers who are not comfortable with online payment system. The most important being whether the Government run PSUs could be allowed to use unfair means of collection of payments.

The local commercial shops are also required to pay for the electricity they have not consumed as the bills are raised on minimum monthly consumption basis. These shops were closed due to lockdown and the consumption was absolute zero during the period. Having no income during the lockdown period, the shopkeepers have been pressurised to pay for something which they have not consumed. It requires a lenient view of the Electricity Regulatory Commission.

The following is an illustration from a bill of a domestic consumer of DHBVN which clearly substantiates to what has been stated that the DHBVN has resorted to unfair business practices as it lead to exaggerated collection due to inflated billing that too during a period when consumers/ citizens are facing financial hardship due to lockdown.

Consumer Account No. 3780840000	Opening Reading	Closing Reading	Unit Billed/ Consumed	No. of Days	Unit/Day billed
Meter Reading as per bill	26422	Not taken	1220.52	54	22.6
Actual Meter Reading	26422	27155	733	59	12.42

 It is evident from the above calculation that the bill which ideally should have been based on actual consumption of 12.42 units per day has been raised by inflating the reading to 22.6 units per day i.e in excess of almost by 80%. Now the company will be enjoying excess collection of dues by 80% for next three to four months that too squeezing the consumers during lockdown. A newspaper report is pertinent to be referred here.

Surprisingly, the company is unresponsive to the issues of grievances raised as the bills raised indicated 17^th May 2020 as due date of payment and DHBVN started pressurizing the citizens/ consumers sending messages to pay the bills by 17^th April 2020. Why DHBVN pressurised the consumers to pay bills one month in advance. This anomaly in the due dates of payment was brought to the notices of the senior officials of the company including their Managing Director, Superintending Engineer, Sub-Divisional Officer as well as Haryana Electricity Regulatory Commission (HERC) and Haryana State Chief Minister through social messages. No response was received despite reminders.  However, an email was received on 21^st April 2020 stating the grievance has been resolved and the status is closed. Without any response from the DISCOM, how the grievance is stated to have been closed adds further to the unfair business practices being adopted by the DISCOM DHBVN.  It is worth mentioning that The DHBVN had to pay penalty to the author of this article about three years back on the similar issue which was paid by SDO, DHBVN to the author of this article as out of court settlement.

This article is being mailed to SDO, XEN and SE on their whattsapp to enable DHBVN to submit
their own views/comments if any.