Section 8(1) in Schedule for Retail Tariff Rates and Terms and Condition of Supply for FY, 2006-07
1.0It is observed from the ARR and Tariff Petition for the FY 2006-07 filed by the BSEB that its operational and financial performance requires considerable improvement at all levels in reducing T&D losses and costs and also increasing efficiency on part of the Licensee in order to improve quality of supply and service to the consumers in the State of Bihar. Significant initiatives are yet to be taken by the BSEB even at operational leave-alone structural reforms envisaged under the Electricity Act, 2003. The Board also lacks an effective management information system and credible data base in its operation. It is in this context that the Commission issues these directives to the BSEB within the parameters of Section 61 of the Electricity Act, 2003 which stipulates that the Commission shall be guided by the factors which would encourage competition, efficiency, economical use of the resources, good performance and optimum investments in specifying the terms and conditions of determination of tariff.
