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ELE.02   :   RLPP   over   Electricity   Distribution   Company

Pre-requiste readings :
  • RLPP
  • COMM.02 : Multi-wire support network

    1. Problem in electricity distribution
    2. Solution? ELE.02
    3. Advantages of ELE.02
    4. Draft of the act to create procedure ELE.02

    Problem in electricity industry

    A local area cannot have 10s and 100s of electricity distribution companies. At most, it can have 2-3 distribution companies. So once the available slots are taken away, unless citizens have way to expel an inefficient incumbent, there is no way a cheaper and more efficient distribution company can be called in.

    Multi-wire support network makes it economical for citizens to expel an existing cable provider and invite a new one. COMM.02 is an administrative procedure which will enable citizens to have Multi-wire support netwrok. ELE.02 provides an administrative procedure by which decision to expel/invite cable company can be taken.

    Owning the land of electricity distribution center

    The electricity distribution network consists of 2 parts ---- distribution center (eg sub-station, step dowm transformers etc) and the wires. The distribution centers receives power form high tension cable and it reaches homes via a network of wires. The site of Electricity Cable Distribution Center should be owned by City, and MUST NOT be privately owned. Why? So that if and when citizens fire a electricity distribution company, the new company can be given that building and so no re-wiring would be needed.

    Solution? ELE.02 - RLPP over electricity distribution companies

    1. The District Electricity Regulator will divide the district into Distribution Area of population 10000 to 50000. The Regululator will decide the maximum number of electricity distribution companies that can be allowed in a Distribution Area.

    2. The companies who already have permission to put electricity cables will be allowed to continue.

    3. Any citizen, using RLPP, can approve upto four plus twice the maximum number of wiring-companies allowed for putting cable lines. (eg if the Mayor has set the maximum number to 2, then each citizen can approve upto 4+ 4 = 8 companies).

    4. Allowing a new electricity distribution company : If any company has approval of over 25% of the citizens in that Distrubtion Area, and if there is a vacant slot, then the Pipe/pole Installer will allocate a slot to the Distribution company.
      (see COMM.02 for details on Pipe/pole Installer) will allocate a slot for the company.)

    5. Expelling an existing electricity distribution company : If there are N slots and N companies are already there, and a company gets the approval of over 25% of the citizens which is 2% higher than approval-count of the existing company with lowest approval, then the Regulatosr will expel the company with lowest Approvals and invite the highest approved company. The expelled company will have to remove the wires from the slot, or else the Pipe/pole Installer may remove the wires after the Jurors' approval.

    6. If any citizen has a complaint against a power distribution company, he may report the complaint to a Jury under the District Electricity Regulator, who will resolve the complaint.

    Advantages of ELE.02

    ELE.02 will make electricity distribution business more competitive, and thus reduce the cost of electricity distribution.

    Draft of the act to create procedure ELE.02

    To enact ELE.02, two laws need to be passed, one in Assembly and another Parliamnent. I have drafted the texts for those laws. To see the draft, please click here.

         Now citizens can ask MLAs/MPs to pass this Act. But IMO, it will be wiser for citizens to first enact procedure LM.02 and LM.03, and then use LM.02 and LM.03 to pass this ELE.02 drafts WITHOUT any help from MLAs/MPs. To know about procedure LM.02, please click here and to know about procedure LM.03, please click here.

    If you have any other question, please mail it to Thousand thanks in advance.

    Next - ELE.03 : RLPP over District-owned Electricity Distribution Company