RERC Directs PGCIL To Approach CGRF Over JVVNL Billing Dispute In Rajasthan

The Rajasthan Electricity Regulatory Commission (RERC), in an order issued on August 12, 2026, disposed of a petition filed by Power Grid Corporation of India Limited (PGCIL) against Jaipur Vidyut Vitran Nigam Limited (JVVNL) over disputed electricity billing at its 400/220 kV substation at Bassi in Jaipur.

The dispute relates to auxiliary power drawn by PGCIL through the tertiary tapping of Interconnecting Transformers (ICTs). JVVNL had raised a demand following an audit, seeking payment of various charges and statutory levies. PGCIL challenged the demand before the Commission and requested that the pending dues be waived. It also sought directions to stop the recovery of demand charges, Electricity Duty, Water Conservation Cess, Urban Cess and Fuel Surcharge.

PGCIL argued that drawing auxiliary power through the tertiary winding of its ICTs is necessary for maintaining grid security and complying with Central Electricity Authority requirements. The transmission utility maintained that the electricity was being drawn through its own infrastructure and not through JVVNL’s distribution network. Therefore, it argued that charges should be limited to the actual energy consumed, without additional demand charges.

PGCIL also relied on Section 56(2) of the Electricity Act, 2003, arguing that recovery of older arrears was subject to the prescribed two-year limitation period.

JVVNL opposed the petition, stating that electricity supplied through the tertiary tapping constituted retail electricity supply and was therefore subject to the applicable state tariff and statutory charges. The discom maintained that Electricity Duty and other applicable cesses were legally recoverable. It also pointed out that PGCIL’s Bhiwadi unit was already paying similar charges.

JVVNL further raised a preliminary objection regarding the maintainability of the petition. According to the discom, disputes relating to consumer billing should first be addressed through the Consumer Grievance Redressal Forum (CGRF) and, if necessary, the Electricity Ombudsman.

The RERC bench comprising Chairman Dr. Rajesh Sharma and Members Hemant Kumar Jain and Vijay Pal Singh observed that electricity supplied through the tertiary winding of the ICT qualifies as retail supply. Such supply is governed by the Electricity Act, applicable tariff orders and state regulations.

The Commission also clarified that previous orders issued by the Central Electricity Regulatory Commission (CERC) did not provide PGCIL with an exemption from state-level tariffs, duties or statutory levies.

RERC concluded that the core issue was a consumer billing and recovery dispute. It therefore held that the appropriate statutory remedy lies under Sections 42(5) and 42(6) of the Electricity Act, 2003.

Accordingly, the Commission disposed of PGCIL’s petition and directed the transmission utility to approach the CGRF for appropriate relief in accordance with the RERC Regulations, 2021.