Section 19(4) in The Gujarat Electricity Industry (Reorganisation and Regulation) Act, 2003
(4)No licence to distribute or supply electricity in a specified area of distribution or supply shall be granted to a generating company-(a)if grant of such licence is likely to adversely affect the operation of the power system or organised development of electricity industry or is not in public interest or in the interest of the consumers in the specified area of distribution or supply, or(b)unless the generating company undertakes to charge such tariff to the consumers in a specified area of distribution or supply of an existing licensee as is equal to or less than the tariff charged by such licensee in such area.
