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[Cites 0, Cited by 0] [Section 7] [Entire Act]

State of Jammu-Kashmir - Subsection

Section 7(6) in Jammu and Kashmir State Electricity Regulatory Commission (Licensing) Regulations, 2013

(6)Capital adequacy requirement, and creditworthiness of electricity trader:
(a)Having regard to the volume of trading proposed to be undertaken, the networth of an electricity trader at the time of his application shall be as set out in the Table 1 hereunder:-
Table 1 - Net Worth
S.No. Category Volume of electricity proposed to be traded(In kWh) per annum Minimum Networth (in Rs. Crores)
1 A Less than 50 MU 1
2 B More than 50 MU and up to 100MU 2
3 C More than 100 MU and up to 200MU 4
4 D More than 200 MU and up to 300MU 6
5 E More than 300 MU and up to 400MU 8
6 F More than 400 MU and up to 500MU 10
7 G More than 500 MU Trade volume (in kWh) × Rs 0.20
(b)An applicant applying for a trading licence, and if the applicant is a company, the promoters of the company, and if the applicant is a partnership firm, the partners of the firm, shall at no time have been classified as "wilful defaulter" by the Reserve Bank of India or any other bank /authority.
(c)If the applicant is a company, which has been rated by a credit rating agency within a period of eighteen (18) months prior to the date of the application for grant of trading licence, it shall have a rating above 'B'.
(d)Where an applicant has one or more borrowal accounts with a bank(s), all such accounts should be classified as 'Standard' by each of its bankers.