Grant of licence by the Commission

§15

Summary

(1) The Commission may on an application made in such form and on payment of such fee, as may be provided by regulations, grant a licence authorizing any person for transmission or supply of electricity, or both, in an area of transmission or supply, or both, as the case may be. (2) In respect of the grant of a licence under sub-section (1), the following provisions shall apply : (a) any person applying for a licence shall publish a notice of his application in such manner, and with such particulars as may be provided in the regulations within fourteen days after making the application ; (b) the Commission shall not grant a licence until, (i) the objections, if any, received within three months from the date of last publication of the notice referred to in clause (a) have been considered by the Commission ; (ii) in the case of an application for licence to transmit or supply of electricity in an area which includes the whole or any part of any cantonment, aerodrome, fortress, arsenal, or camp or of any building or place in the occupation of the Central Government for defense purposes, it has been ascertained that there is no objection to the grant of licence on the part of the Central Government ; (c) where an objection is received from any local authority, the Commission shall, if in its opinion the objection is insufficient, record reasons for such opinion and communicate it to such local authority ; (d) no application for a licence shall be made by a local authority except in pursuance of a resolution passed in a meeting of such authority held after a notice, specifying the purpose of the meeting, has been given in the manner in which the notice for the meetings of such local authority are usually given. (3) The provisions of clause (a), sub-clause (i) of clause (b) and clause (c) of sub-section (2) shall not apply to the power corporation. (4) A licence may prescribe the extent to which, and the terms and conditions under which the transmission or supply of electricity is to be made and contain such other conditions as the Commission may consider appropriate for achieving the objects of this Act. (5) Without prejudice to the generally of sub-section (4), the conditions of the licence may require the licensee to : (a) enter into an agreement on specified terms with any other person for the use of any electric lines, electrical plant and associated equipment operated by the licensee ; (b) comply with any direction given by the Commission ; (c) refer all disputes arising under the licence for determination by the Commission or by an arbitrator nominated by it ; (d) furnish information, documents and details which the Commission may require ; (e) comply with the requirements of the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 and the rules made thereunder in so far as they are applicable ; (f) undertake such functions and obligations of the Board under the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 as the Commission may specify ; (g) notify to the Commission any scheme which is proposed to be undertaken including the schemes under the Electricity (Supply) Act, 1948 ; (h) purchase power in an economical manner in accordance with the guidelines, if any, issued by the Commission ; (i) supply electricity to any consumer or to any other licensee ; (j) establish a tariff or to calculate its charges from time to time in accordance with the directions of the Commission ; and (k) pay the fees and charges as may be required by the Commission. (6) The provisions contained in the Schedule to the Indian Electricity Act, 1910, shall be deemed to be incorporated in, and shall form part of, every licence granted under this Chapter save in so far as they are expressly varied or excepted by the licence and shall subject to any such additions variations or exceptions which the Commission is empowered to make having regard to the purposes of this Act, apply to the undertaking authorized by the licence in relation to its activities in Uttar Pradesh : Provided that where a licencee is granted licence for the supply of electricity to other licences for distribution by them, then in so far as such licence relates to such supply, the provisions of clauses IV , V, VI, VII, VIII and XII of the said Schedule shall not be deemed to be incorporated in the licence. (7) The Conditions included in a licence may contain provision for any of the conditions to cease to have effect or be modified at such times, in such manner and in such circumstances as may be specified therein. (8) Any provision included under sub-section (7) in a licence shall have effect in addition to the provisions made under sub-section (5) of section 18 and sub-section (1) of section 19. (9) The grant of a licence under this section to any person shall not be a bar against grant of a licence to any other person for the same area. (10) The licence may provide that the licencee shall have the power and authority to take appropriate action for revenue realization, prosecution for theft of electricity, meter tampering, diversion of electricity and any other matter affecting the distribution and supply of electricity. (11) The Commission may authorize licensees and other persons to exercise such powers and authority as the licensees and other persons could be given under the provisions of the Indian Electricity Act, 1910 or the Electricity (Supply) Act, 1948.

(1) The Commission may on an application made in such form and on payment of such fee, as may be provided by regulations, grant a licence authorizing any person for transmission or supply of electricity, or both, in an area of transmission or supply, or both, as the case may be. (2) In respect of the grant of a licence under sub-section (1), the following provisions shall apply :      (a) any person applying for a licence shall publish a notice of his application in such manner, and with such particulars as may be provided in the regulations within fourteen days after making the application ;      (b) the Commission shall not grant a licence until,      (i) the objections, if any, received within three months from the date of last publication of the notice referred to in clause (a) have been considered by the Commission ;      (ii) in the case of an application for licence to transmit or supply of electricity in an area which includes the whole or any part of any cantonment, aerodrome, fortress, arsenal, or camp or of any building or place in the occupation of the Central Government for defense purposes, it has been ascertained that there is no objection to the grant of licence on the part of the Central Government ;      (c) where an objection is received from any local authority, the Commission shall, if in its opinion the objection is insufficient, record reasons for such opinion and communicate it to such local authority ;      (d) no application for a licence shall be made by a local authority except in pursuance of a resolution passed in a meeting of such authority held after a notice, specifying the purpose of the meeting, has been given in the manner in which the notice for the meetings of such local authority are usually given. (3) The provisions of clause (a), sub-clause (i) of clause (b) and clause (c) of sub-section (2) shall not apply to the power corporation. (4) A licence may prescribe the extent to which, and the terms and conditions under which the transmission or supply of electricity is to be made and contain such other conditions as the Commission may consider appropriate for achieving the objects of this Act. (5) Without prejudice to the generally of sub-section (4), the conditions of the licence may require the licensee to :      (a) enter into an agreement on specified terms with any other person for the use of any electric lines, electrical plant and associated equipment operated by the licensee ; (b) comply with any direction given by the Commission ;      (c) refer all disputes arising under the licence for determination by the Commission or by an arbitrator nominated by it ;      (d) furnish information, documents and details which the Commission may require ;      (e) comply with the requirements of the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 and the rules made thereunder in so far as they are applicable ;      (f) undertake such functions and obligations of the Board under the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 as the Commission may specify ;      (g) notify to the Commission any scheme which is proposed to be undertaken including the schemes under the Electricity (Supply) Act, 1948 ;      (h) purchase power in an economical manner in accordance with the guidelines, if any, issued by the Commission ;      (i) supply electricity to any consumer or to any other licensee ;      (j) establish a tariff or to calculate its charges from time to time in accordance with the directions of the Commission ; and      (k) pay the fees and charges as may be required by the Commission. (6) The provisions contained in the Schedule to the Indian Electricity Act, 1910, shall be deemed to be incorporated in, and shall form part of, every licence granted under this Chapter save in so far as they are expressly varied or excepted by the licence and shall subject to any such additions variations or exceptions which the Commission is empowered to make having regard to the purposes of this Act, apply to the undertaking authorized by the licence in relation to its activities in Uttar Pradesh : Provided that where a licencee is granted licence for the supply of electricity to other licences for distribution by them, then in so far as such licence relates to such supply, the provisions of clauses IV , V, VI, VII, VIII and XII of the said Schedule shall not be deemed to be incorporated in the licence. (7) The Conditions included in a licence may contain provision for any of the conditions to cease to have effect or be modified at such times, in such manner and in such circumstances as may be specified therein. (8) Any provision included under sub-section (7) in a licence shall have effect in addition to the provisions made under sub-section (5) of section 18 and sub-section (1) of section 19. (9) The grant of a licence under this section to any person shall not be a bar against grant of a licence to any other person for the same area. (10) The licence may provide that the licencee shall have the power and authority to take appropriate action for revenue realization, prosecution for theft of electricity, meter tampering, diversion of electricity and any other matter affecting the distribution and supply of electricity. (11) The Commission may authorize licensees and other persons to exercise such powers and authority as the licensees and other persons could be given under the provisions of the Indian Electricity Act, 1910 or the Electricity (Supply) Act, 1948.

← Previous Section Next Section →

Explore this Chapter