Section 182 in Regular Licence under Haryana Electricity Regulatory Reforms Act
182. Commission view.
- A determination of the appropriate term for a licence requires that the Commission balance competing considerations. On the one hand, a shorter term would make it easier for the Commission to remove a Licensee who had failed adequately to perform its obligations and increase the pressure on the Licensee to provide good and economical service. On the other hand, a shorter term would also make it more difficult for a Licensee to raise private capital on reasonable terms and would reduce the Licensee's incentive to consider the long-term impact of its actions, especially long-lived investments. The Commission believes that a thirty-year term combined with the power of revocation set out in Condition 13 of each licence reasonably balances these competing considerations. The proposed changes are rejected.
