The Forum of Indian Regulators has recommended the introduction of open access system so that consumers have a choice in buying power.
"Consumers should be given the freedom to buy cheaper power through open access system and the distribution licensees should work out a mechanism to provide such facility to the consumers," said Central Electricity Regulatory Commission (CERC) chairman Pramod Deo.
Under the open access system, the consumer may be connected to a particular distribution licensee but he has the option to buy power from other licensees as and when desired, he elaborated.
Deo, who attended a meeting of the power regulators, here on Friday, said the forum will soon host a website to educate consumers about the open access regime.
The chairman said the forum wants that state governments should immediately give functional autonomy to the state load dispatch centres (SLDCs) to promote competition through open access.
The forum has also recommended penalising distribution licensees by reducing their return on equity if they fail to ensure availability of distribution network as per norms and meet the projected demands of the consumers.
The forum has decided that distribution licensees should be mandated to procure at least 5% green energy of their total requirement to fulfill the target of the national action plan on climate change, Deo said.
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