Electricity as a subject appears in the Concurrent list of subjects as per the constitution of India. With reference to IEA 2003 provisions explain how the center-state balance is maintained in developing the sector. What is the remedy in case of conflict?

The Electricity Act, 2003, plays a crucial role in maintaining the balance between the central and state governments in the development of the electricity sector, given that electricity is a subject listed in the Concurrent List of the Indian Constitution.

The Act delineates the roles and responsibilities of both the central and state governments in various aspects of electricity generation, transmission, distribution, and regulation. It provides a framework for cooperation and coordination between the two levels of government to ensure the efficient and equitable development of the sector while respecting the principles of federalism.

One of the key provisions of the Electricity Act, 2003, is the establishment of regulatory commissions at both the central and state levels. These commissions are tasked with regulating the electricity sector, including tariff determination, licensing, and dispute resolution. While the central regulatory commission oversees matters of national importance and interstate transmission, the state regulatory commissions focus on issues within their respective jurisdictions. This division of regulatory authority helps maintain a balance between central oversight and state autonomy in the electricity sector.

Moreover, the Act provides for mechanisms such as the National Electricity Policy (NEP) and the National Electricity Plan (NEP) to guide the overall development of the electricity sector in a coordinated manner. These policy instruments allow for central-state consultations and consensus-building on critical issues like capacity addition, grid expansion, and renewable energy integration.

In case of conflicts between the central and state governments regarding electricity matters, the Electricity Act, 2003, provides for dispute resolution mechanisms. Parties aggrieved by decisions or actions of regulatory commissions or government authorities can seek redress through appellate tribunals or courts, ensuring that disputes are resolved fairly and expeditiously.

Overall, the Electricity Act, 2003, strikes a delicate balance between central authority and state autonomy in the development of the electricity sector, fostering cooperation, coordination, and dispute resolution mechanisms to ensure efficient and equitable growth while respecting the principles of federalism.