(1)If at any time the Appropriate Commission is of the opinion that a distribution licensee–(a)has persistently failed to maintain uninterrupted supply of electricity conforming to standards regarding quality of electricity to the consumers; or(b)is unable to discharge the functions or perform the duties imposed on it by or under the provisions of this Act; or(c)has persistently defaulted in complying with any direction given by the Appropriate Commission under this Act; or(d)has broken the terms and conditions of licence,and circumstances exist which render it necessary for it in public interest so to do, the Appropriate Commission may, for reasons to be recorded in writing, suspend, for a period not exceeding one year, the licence of the distribution licensee and appoint an Administrator to discharge the functions of the distribution licensee in accordance with the terms and conditions of the licence:Provided that before suspending a licence under this section, the Appropriate Commission shall give a reasonable opportunity to the distribution licensee to make representations against the proposed suspension of license and shall consider the representations, if any, of the distribution licensee.
