Analysis
States Update: April 22, 2020
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Big News: The government plans major reforms via amendments to the Electricity Act; RBI further increases ways and means advances to the states; States gear up for limited opening of the economy as nationwide lockdown relaxes; and more.
Center – State relations
The government proposes amendments to Electricity Act 2003. The amendments propose major reforms such as provisions for distribution franchise, stringent contract enforcement, and incorporation of a separate renewable energy policy. Source: Economic Times In detail: Draft Electricity Amendment Bill 2020
The Reserve Bank of India (RBI) announced additional liquidity measures that included a 25 basis point reverse repo cut; targeted long term repo rate operation directed at non-banking financial companies; and increasing of ways and means advances to states. Source: Economic Times In detail: RBI Governor’s statement
The Ministry of Environment, Forest and Climate Change has amended the Environmental Impact Assessment Notification 2006 to offer exemptions under the B2 category to drug manufacturers to ramp up production. Source: Economic Times In detail: Press Release
Andhra Pradesh
The Andhra Pradesh government has issued guidelines for the operation of certain industries and activities to ensure that essential supplies are not affected during the lock down. Source: The Hindu In Detail: Order (GO No: RT-88; Dated 18-04-2020; Organization: INDUSTRIES AND COMMERCE)
Bihar
Nothing critical to report this week.
New Delhi
The Delhi Electricity Regulatory Commission has announced rebates and incentives on power bills raised between March 24 and June 30. Source: Mercom In detail: DERC order
Gujarat
The Gujarat government has issued guidelines for the industries and commercial activities to resume from April 20. Source: The Hindu Business Line In detail: Press Release
Haryana
Haryana’s government decided that industrial and commercial establishments, information technology (IT) and IT-enabled service units will be unlocked in a phased manner from April 20 onward. Source: Hindustan Times
Karnataka
Nothing critical to report this week.
Madhya Pradesh
Nothing critical to report this week.
Maharashtra
Nothing critical to report this week.
Rajasthan
The Rajasthan government extends working hours at factories from a maximum of 8 hours to 12 hours a day. Source: Business Standard In detail: Press Release
Tamil Nadu
Nothing critical to report this week
Telangana
Nothing critical to report this week
Uttar Pradesh
The Uttar Pradesh government permits 11 industries to commence operations in the state, subject to conditions. Source: Times of India In detail: Press Release
West Bengal
The government issued a notification to impose 30 percent sales tax on wine and beer. The new prices came into effect from April 9. Source: India TV
The West Bengal government has announced reopening of the IT sector with 25 percent workforce, and reopening of jute mills with 15 percent manpower. Source: India Today
Best of the Rest
Goa
The Joint Electricity Regulatory Commission for the state of Goa and union territories has reduced the late payment surcharge from 2 percent to 1 percent per month. Source: Mercom In Detail: Directions
Punjab
The Punjab State Power Corporation Limited has introduced an innovative plan calling on all its consumers to make payment in advance towards their estimated electricity bills up to March 2021. Source: Mercom In detail: Press Note
The Punjab State Electricity Regulatory Commission has extended the validity of the Central Electricity Regulatory Commission’s Renewable Energy Tariff Regulations, 2017, and the levelized generic tariffs for renewable projects for FY 2019-2020 for another three months. Source: Mercom In detail: Order
Uttarakhand
The Uttarakhand Electricity Regulatory Commission has announced new electricity rates for the year 2020-21. In all categories, the average has been reduced by 4 percent. Source: UNN; In detail: Tariff order