Section 20 in Karnataka Electricity Reform Act, 1999
20. Exemptions from the requirement of licence.
(1)The Commission may make regulations to grant exemption from the requirement to have a supply license, but subject to compliance with such conditions (if any) as may be specified in the order: provided that the Commission shall not, under any such regulation, grant any exemption except with the consent,-(i)of the local authority, if any, constituted in the area where energy is to be supplied;(ii)in any case where energy is to be supplied in any area forming part of any cantonment, aerodrome, fortress, arsenal, dockyard or camp or any building or place in the occupation of the Central Government for defence purposes, of the Central Government;(iii)in any area falling within the area of supply of a licensee, of that licensee:Provided that except in a case falling under sub-clause (ii), no such consent shall be necessary if the Commission is satisfied that such consent has been unreasonably withheld.(2)An exemption may be granted,-(a)to a person; or(b)to a class of persons, or(c)for a certain period.(3)An exemption granted shall be published in such manner as the Commission considers appropriate.(4)The exemption granted may be revoked by the Commission at any time for reasons to be recorded in writing.(5)An exemption, unless previously revoked, shall continue in force for such period as may be specified in, or determined by or under, the exemption.
