Banking, NBFCs, gas supply declared public utility services

Lieutenant Governor V K Saxena has approved the inclusion of banking, non-banking financial companies (NBFCs), and gas supply under public utility services. These services will now come under the ambit of Permanent Lok Adalats (PLAs) for faster, low-cost dispute redressal.

The proposal, sent by the Law Department of the Government of National Capital Territory of Delhi (GNCTD), highlighted a sharp rise in disputes related to banking, NBFCs, and gas supply in the city. Common issues include loan recoveries, billing disputes, savings and investment-related grievances, and service deficiencies. The department argued that these matters closely align with the nature of public utility services and merit quicker and more affordable resolution through PLAs rather than protracted court proceedings.

By notifying these sectors as public utility services, the government aims to empower Permanent Lok Adalats to handle a greater range of disputes, especially those affecting individuals who cannot afford lengthy legal battles. The move is also expected to decongest courts, providing an accessible and equitable mechanism for resolving everyday grievances.

Currently, three Permanent Lok Adalats are operational in Delhi for electricity-related disputes involving private power distribution companies. The Delhi State Legal Services Authority (DSLSA) is also setting up another PLA to address issues related to transport, telecom, water, sanitation, insurance, and now, the newly added services.