Government Mandates Energy Accounting For Distribution Companies

Power Ministry has made energy accounting of distribution companies mandatory, in order to cut down electricity losses and the regulations regarding this have been issued by the Bureau of Energy Efficiency (BEE).

In a statement the Power Ministry said that the measure has been announced as part of the government's power reforms and energy accounting will be done on a quarterly basis by distribution companies.

The ministry has said that energy accounting will have to be done through a certified energy manager within 60 days. Apart from this, there will also be an annual energy audit by an independent accredited energy auditor and both these reports will be put out in public domain.

These reports will give details of energy consumption by different categories of consumers as well as the transmission and distribution losses in different areas.

It will identify areas of high losses and theft and ensure corrective actions.

Officials will be held responsible for losses and theft of power from their areas and the exercise will also help distribution companies in reducing their losses, the statement issued by Power Ministry said.

These regulations have been issued under the ambit of the Energy Conservation Act, 2001, with an overall objective to reduce distribution sector inefficiency and losses, thus making distribution companies financially viable.