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Central Electricity Regulatory Commission

Why in News?

The Union Cabinet, chaired by the Prime Minister, Shri Narendra Modi, has recently given its approval for Central Electricity Regulatory Commission’s proposal for entering into a Memorandum of Understanding between Central Electricity Regulatory Commission (CERC), India and Federal Energy Regulatory Commission (FERC), United States of America (USA) for exchange of information and experiences in areas of mutual interest to both in the electricity sectors.

About the CERC:

  • The Central Electricity Regulatory Commission (CERC) was established by the Government of India under the provisions of the Electricity Regulatory Commission (ERC) Act, 1998.
  • The CERC is a Central Commission for the purpose of the Electricity Act, 2003, which repealed the ERC Act, 1998.
  • The Commission consists of a Chairman and four other members including the Chairman, Central Electricity Authority who are ex-officio members of the Commission.


  • Regulating the tariffs of centrally owned or controlled generating companies.
  • Regulating the tariffs of other generating companies making a comprehensive plan for power generation and sale in more than one state.
  • Regulating the inter-state transmission of electricity and determining the tariff for such transmission of electricity, etc.

Advisory Body:

  • Formulation of National Electricity Policy and Tariff Policy;
  • Promote competitiveness, efficiency and economy in power industry activities;
  • Promote investment in the electricity industry; And
  • Any other matter referred by the Government to the Central Commission.


Facts for Prelims:

Mount Ili Lewotolok:

It is a volcano located in eastern Indonesia erupts.

It was erupted recently.

The 5,423-meter (17,790-foot) mountain is one of the three currently erupting in Indonesia along with Merapi on Java Island and Sinabung on Sumatra Island.


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