Bhubaneswar: Discontent is rising among electricity consumers in Odisha following Tata Power’s demand notice for additional security deposits from TPCODL customers. The Odisha Electricity Consumers Federation (OECF) has approached the Odisha Electricity Regulatory Commission (OERC), demanding the immediate withdrawal of this decision. The federation has also warned that if their demands are not met, it may trigger statewide protests.

The move by Tata Power has sparked questions among energy experts and consumers alike. While TPCODL issues demand notices for additional deposits, the method of adjusting these against actual beneficiaries remains unclear, raising allegations of exploitative practices. Consumers argue that the demand for extra security deposits amounts to financial harassment, creating a heavy burden on households.

According to a recent notice issued by Tata Power, consumers holding security deposits with TPCODL are entitled to an annual interest of 6.5%, credited to their accounts. However, experts question whether the interest is being correctly calculated and reflected in consumers’ bills. Concerns have also been raised regarding the recovery of additional deposits at the time of electricity connection, as well as deductions for interest accrued, leaving consumers unsure about their actual entitlements.

The OECF has criticized Tata Power for bypassing proper regulatory oversight and has urged the state government and power department to intervene immediately. The federation has alleged that Tata Power is unfairly collecting funds under the guise of security deposits, citing an estimated ₹7,000 crore collected from consumers that needs to be returned. Complaints also include additional unit charges of up to 36 paise per unit, further adding to consumer grievances.

Adding to the debate, former Secretary and Jan Jagaran Sabha president Bijay Pattnaik accused Tata Power of illegally exploiting electricity consumers. “Odisha consumers have not seen an electricity rate hike from OERC for four years, yet Tata Power continues to collect additional security deposits illegally. We demand that the ₹7,000 crore collected from consumers be returned immediately. The funds meant for electricity infrastructure and repairs must be transparently utilized. Tata Power cannot escape responsibility by blaming government regulations,” Pattnaik said at a press conference.

The Biju Janata Dal (BJD) has also joined the protest, staging demonstrations outside Tata Power offices in Bhubaneswar, demanding the return of excess security deposits and fair treatment of electricity consumers. They have raised concerns that the extra financial burden is being imposed illegally and called for immediate corrective measures.

In response, Tata Power has defended its actions, stating that security deposits and smart meter installations are carried out in accordance with government regulations and earlier provisions under the Electricity Regulatory Act, 2003. They clarified that consumers are entitled to interest on deposits and that all rules are being followed as mandated by the central and state authorities.

With consumers, political groups, and experts all questioning the legality and transparency of Tata Power’s demand notices, the situation remains tense. The OERC is now under pressure to review the matter and ensure that consumer rights are protected while regulatory compliance is maintained.

The post Odisha Electricity Consumers Federation Demands Withdrawal of Additional Security Deposits, Warns of Statewide Protests appeared first on Odisha Connect.

Electricity users across Odisha have been taken aback as Tata Power Central Odisha Distribution Limited (TPCODL) has started demanding additional security deposits, triggering widespread frustration and raising questions about transparency and fairness.

Consumers Shocked by Unexpected Demands

Residents like Shweta Samal from Bhubaneswar received sudden SMS alerts asking them to pay between Rs 1,500 and Rs 2,000 within a month to avoid disconnection. “My electricity usage hasn’t changed, so why this sudden demand?” Shweta said, echoing the sentiments of thousands across the state.

In Salepur, the local Electricity Consumers Association is preparing protests, calling the demands “unfair and arbitrary,” highlighting the growing public dissatisfaction with TPCODL’s move.

How Security Deposits Are Calculated

Security deposits are initially collected when a new connection is provided, typically covering an estimated two months of electricity usage. TPCODL reviews these deposits annually under Odisha Electricity Regulatory Commission (OERC) rules.

If a consumer’s usage exceeds the deposit by more than 10 percent, they are required to pay additional amounts, while any overpayment is adjusted in future bills. However, many users are questioning why this review is happening now, especially since there has been no tariff hike in four years.

Past Controversies and Pending Cases

This is not the first time TPCODL has faced backlash over security deposit demands. Last year, similar demands collected crores from consumers, with a case still pending before the OERC.

TPCODL defended its actions, stating they are following the Electricity Act, 2003, and OERC guidelines, and clarified that the move is unrelated to the rollout of smart meters. The company also noted that security deposits earn an annual interest of 6.5 percent for consumers.

Calls for Transparency

Despite official clarifications, consumer frustration continues to grow. Users are demanding clear communication and timely information, arguing that surprise bills disrupt household budgets and create unnecessary stress.

With protests looming and dissatisfaction spreading, TPCODL faces mounting pressure to explain the sudden security deposit review and reassure customers of a fair and transparent process.

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