In exercise of the powers conferred under Section 178 2 zb read with Section 92 1 of the Electricity Act

## Report on the Central Electricity Regulatory Commission (CERC) Conduct of Business First Amendment Regulations, 2025 **1. Executive Summary:** This report analyzes the Central Electricity Regulatory Commission (CERC) Conduct of Business First Amendment Regulations, 2025, based on the official notification. This amendment modifies the original CERC Conduct of Business Regulations, 2023, specifically concerning compensation for members of the Central Advisory Committee and the participation of experts in CERC activities. Key changes involve revising the honorarium structure for Central Advisory Committee members not employed by the government and establishing guidelines for compensating experts and eminent persons participating in CERC events. The amendment aims to refine operational aspects of CERC's engagement with advisory bodies and external experts. **2. Introduction:** The purpose of this report is to provide an informative overview of the Central Electricity Regulatory Commission (CERC) Conduct of Business First Amendment Regulations, 2025. The analysis is based solely on the provided official notification and aims to clarify the amendment's provisions, rationale, and potential impact. **3. Policy Overview:** * **Original Policy Being Amended:** Central Electricity Regulatory Commission Conduct of Business Regulations, 2023. * **Core Objectives (Inferred):** While the original policy's full objectives are not within the provided text, this amendment suggests that its objectives include defining procedures for conducting CERC's business, including advisory committee operations and engaging with external expertise. **4. Background and Rationale:** This amendment addresses the need to revise the compensation structure for members of the Central Advisory Committee and to formalize the process for engaging and compensating external experts and eminent persons. The original regulations may have lacked sufficient clarity regarding honorariums for non-government employees on the advisory committee or guidelines for compensating experts participating in CERC events (seminars, expert committees). This amendment seeks to rectify these gaps. **5. Key Provisions / Changes:** This amendment introduces two key changes to the original regulations: * **Amendment of Regulation 60 (Central Advisory Committee Member Compensation):** * **Specific Part Changed:** Clause 9 of Regulation 60, which pertains to the compensation of Central Advisory Committee members. * **New Rule/Provision:** The original clause is replaced. The amended clause specifies that members, while attending meetings, are entitled to the Travelling Allowance, Daily Allowance, accommodation, and taxi fare as admissible to the Secretary to the Government of India. Additionally, members *not* employed by the Central Government, State Government, or a Public Sector Enterprise shall be entitled to an honorarium of Rupees fifteen thousand for attending each meeting, *in addition to* the aforementioned allowances. The amendment further provides that this honorarium amount may be revised by the Commission from time to time through a separate notification. * **Difference/Effect:** The change clarifies the compensation structure for non-government employee members of the Central Advisory Committee by adding a specific honorarium amount. It also allows for future adjustments to the honorarium via separate notifications. * **Insertion of New Regulation 60A (Expert/Eminent Person Participation):** * **Specific Part Changed:** A new Regulation 60A is inserted after Regulation 60. * **New Rule/Provision:** Regulation 60A outlines the process for engaging experts and eminent persons in CERC activities. It states that CERC may invite experts in various fields to participate in Expert Committees or consultation processes and may invite persons of eminence to participate in seminars or deliver lectures. The regulation also allows CERC to fix, through separate notifications, the travelling allowance, daily allowance, accommodation, taxi fare, and honorarium for these individuals. * **Difference/Effect:** This new regulation formalizes the process of engaging external expertise and provides a framework for compensating these individuals. It grants CERC the authority to determine appropriate compensation levels for experts and eminent persons through separate notifications. **6. Target Audience and Stakeholders:** The primary target audience and stakeholders directly affected by these amendments are: * Members of the Central Advisory Committee, particularly those not employed by government or public sector entities. * Experts in various fields related to the electricity sector. * Persons of eminence invited to participate in CERC seminars or deliver lectures. * The Central Electricity Regulatory Commission (CERC) itself, responsible for implementing these changes. **7. Implementation Aspects (Inferred):** * **Responsible Agency/Bodies:** The Central Electricity Regulatory Commission (CERC) is responsible for implementing these amendments. * **Timelines/Procedures:** The amendments came into force on the date of their publication in the Official Gazette (April 11, 2025, as per the provided text). The amendment also specifies that honorarium revisions will be made through separate notifications. No other specific timelines or procedures are detailed in the provided text. * **Amendment-Specific Implementation:** CERC must establish procedures to identify and compensate non-government Central Advisory Committee members according to the new honorarium structure. CERC must also develop a system for inviting, engaging, and compensating experts and eminent persons in accordance with Regulation 60A, including issuing separate notifications to fix allowance and honorarium amounts. **8. Expected Outcomes / Impact of Changes:** The expected outcomes of these amendments are: * **Clarified Compensation:** Increased clarity and transparency regarding the compensation of Central Advisory Committee members, particularly those not employed by the government, potentially improving engagement. * **Formalized Expert Engagement:** A more structured and transparent process for engaging external expertise in CERC activities, potentially leading to higher-quality consultations and seminars. * **Improved CERC Operations:** Streamlined processes for managing advisory committees and engaging with external experts, improving the efficiency and effectiveness of CERC's operations. **9. Conclusion:** The CERC Conduct of Business First Amendment Regulations, 2025, represent a refinement of the original regulations, focusing on clarifying compensation for Central Advisory Committee members and formalizing the engagement of external expertise. These changes aim to improve the transparency, efficiency, and effectiveness of CERC's operations and stakeholder engagement.

Key Entities Referenced