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

State of Tamilnadu - Subsection

Section 7(6) in Tamil Nadu Electricity Regulatory Commission (Licensing) Regulations, 2005

(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 K Wh) per annum Minimum Networth (in Rs.Crores)
1. A Less than 50 MU 1
2. B Greater than 50 MU and equal up to 100 2
3. C Greater than 100 MU and equal up to 200 MU 4
4. D Greater than 200 MU and equal up to 300 MU 6
5. E Greater than 300 MU and equal up to 400 MU 8
6. F Greater than 400 MU and equal up to 500 MU 10
7. G Greater than 500 MU Trade volume (in kWh) x Rs 0.2.
(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 other relevant 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.