But the most important responsibility of ERCs is to empower the consumer. ERCs have started functioning in a few states and at the centre. Some points need to be noted in this connection. In most cases, the ERCs have not been delegated all the powers and functions envisaged in the central Act on the subject and their role has been largely confined to setting tariffs. The ERCs are dependent on the government for receipt of grants and, as a result, there have been delays in the setting up of their offices, appointment of staff and provision of necessary wherewithal for the offices.
Financial independence is crucial to the functioning of the ERCs.
There need be no fear of the misuse of these funds as the ERC would be subject to the audit of the Comptroller and Auditor General of India and answerable to the legislature and the people at large. The ERCs are supposed to be autonomous and are expected to pronounce judgment even in cases in which the government is a party. It is, therefore, imperative that the independence of these institutions is scrupulously safeguarded. The ERCs should not only be independent but should be seen as such by the people. The ERCs will have to safeguard their credibility jealously as they will derive their strength from public confidence in their working.