ENERGY CONSUMER PROTECTION
SERVICE STANDARDS AND SERVICE EXTENSION
The licensees shall provide energy services pursuant to the standards established by the ERC, which shall include the technical and engineering standards as well as the service quality standards.
The licensees who fail to meet the standards specified under Clause one hereof shall be liable for the compensation payment to energy consumers, according to the regulations established by the ERC.
The licensees shall submit a report on the service provision quality to the ERC, according to the regulations set forth by the ERC.
The ERC may designate a licensee to arrange for energy service provision in a particular locality where no energy service exists or where the service is not extensive or is inadequate to meet the demand of energy consumers in that locality.
The designation under Clause one hereof shall conform to the policy set forth by the Minister under Section 9 (7).
The ERC shall have the power to issue an announcement establishing the standard models of contracts pertaining to the energy service provision and may also specify matters of which the contracts can differ from the contract standard models.
The standard models of contracts pertaining to the energy service provision shall have, at least, the following aspects:
(1) the provisions on duty and liability of both the licensee and the energy consumer, which must be clearly indicated;
(2) no provisions that restrict the energy consumer’s utilization of services, without appropriate reasons; and
(3) no provisions that unjustly discriminate or hinder the energy consumer.
The licensee must publicize the contract model of his energy service provision to energy consumers in accordance with the criteria set forth by the ERC, and the contract model shall be noticeably displayed in the establishment of the licensee to allow examination by the general public.
THE POWER DEVELOPMENT FUND
A fund shall be set up in the Office, under the name “Power Development Fund,” with the following objectives: to be used as a capital to support extensive extension of electricity service provision to various localities so as to decentralize prosperity to provincial areas; to develop the local communities affected by the operation of a power plant; to promote the use of renewable energy and technologies in the electricity industry operation that have less impact on the environment, with due consideration on the balance of natural resources; and to create fairness for power consumers.
The Fund consists of the following:
(1) the contributions obtained under Section 96;
(2) the fines collected from licensees for the electricity industry operation under Section 128 and Section 140;
(3) donated money or assets; and
(4) interest or any benefit incurred from the money or assets of the Fund.
The money and assets belonging to the Fund are not subject to remittance to the Ministry of Finance as state revenue under the law on treasury balance and the law on budgetary procedure.
The Office shall receive, disburse, keep and manage the money of the Fund separately from the budget of the Office.
The receipt, disbursement, keeping and management of the money of the Fund shall be in conformity with the regulations set forth by the ERC.
The electricity industry licensees shall deliver contributions to the Fund in accordance with the regulations prescribed by the ERC under the policy framework of the NEPC under Section 11 (10). The contributions sent to the Fund to be used under Section 97 (1) shall be deducted from the tariffs.
The establishment of the criteria, procedures and conditions of the contribution delivery to the Fund under Clause one hereof shall include the distinct account separation according to the activities specified under Section 97 (1), (2), (3), (4) and (5), taking into consideration the impacts on power consumers who have to absorb the burden resulting from the electricity industry licensees’ obligation to deliver such contributions.
The Fund shall be used for the following activities:
(1) to compensate and subsidize for electricity industry licensees who have provided services for underprivileged power consumers or to enhance extensive electrification or to support the policy on the development decentralization to provincial areas;
(2) to compensate power consumers who have to pay the tariffs at a higher rate resulting from the act of the licensee with the power system operator that breaches Section 87, Clause two thereof;
(3) to develop or rehabilitate a locality that is affected by the power plant operation;
(4) to promote the use of renewable energy and technologies for electricity industry operation that have less impact on the environment;
(5) to increase knowledge, awareness and participation of the society and people in power-related issues; and
(6) to pay for the costs of the Fund management.
The use of the Fund under (1), (2), (3), (4) and (5) shall comply with the regulations prescribed by the ERC under the policy framework of the NEPC under Section 11 (10), and there shall be the distinct account separation by activity.
REGIONAL ENERGY CONSUMER COMMITTEES
For the benefit of energy consumer protection, the ERC shall appoint the Regional Energy Consumer Committees, each comprising one Chairman and other members, not exceeding 10 persons, representing energy consumers in each region.
The qualifications, terms of office, discharge from office, working procedures, remuneration and other expenses for the duty execution of the Regional Energy Consumer Committees shall comply with the stipulations of the ERC, and the aforementioned remuneration and other expenses shall be considered as part of the operating expenditure of the Office.
The division of regional areas under Clause one hereof shall be determined by the ERC.
The Regional Energy Consumer Committees shall have the following power and duties:
(1) to address the petitions of energy consumers and give advice to energy consumers in line with the stipulations of the ERC;
(2) to give advice to the ERC on energy consumer protection issues;
(3) to propose corrective and improvement measures regarding energy service provision;
(4) to co-ordinate with energy industry operators to acquire the information related to the petitions of energy consumers with a view to improving service quality and finding solutions to the petitions; and
(5) to perform any other task as may be assigned by the ERC.