Section 15 in The M.P. Vidyut Sudhar Adhiniyam, 2000
15. Grant of licence by Commission.
(1)The Commission may on an application made in such form and on payment of such fee as the Commission may prescribe, grant a licence authorising any person to,-(a)transmit electricity in a specified area of transmission; or(b)supply electricity in a specified area of supply or bulk supply electricity to any other licensee or person to undertake sub-transmission or distribution or supply of electricity.(2)In respect of the grant of any such licence the following provisions shall apply,-(a)any person applying for a licence shall publish a notice of the application in such manner, and with such particulars as may be prescribed by the Commission within 14 days after making the application;(b)the Commission shall not grant a licence until-(i)all objections received relating to the application for the licence have been considered by the Commission :Provided that no objection may be considered by the Commission unless it is received within such time from the date of the first publication of the notice under clause (a) as the Commission may prescribe which shall not be less than 30 days; and(ii)in the case of an application for a licence to supply or transmit in an area which includes the whole or any part of any cantonment, aerodrome, fortress, arsenal or camp or of any building or place in the occupation of the Central Government for defence purposes, the Commission has ascertained that there is no objection to the grant of the licence on the part of the Central Government.(3)Notwithstanding anything contained in Section 52 of the Indian Electricity Act. 1910 (No. 9 of 1910) or clause (ii) of sub-section (1) of Section 3 and Section 76 of the Electricity (Supply) Act, 1948 (Act 54 of 1948), it shall be a condition of all licenses granted under this Act that the Commission shall have the [tower to act as an arbitrator or nominate arbitrator or arbitrators to adjudicate and settle the disputes arising between the licensees in accordance with the provisions of this Act.(4)(a)A licence shall contain the duration, extent to which, and the terms and conditions under which the transmission or supply of electricity is to be made and contain such other conditions as the Commission may consider appropriate for achieving the purposes of this Act.(b)Without prejudice to the generally of the provisions of clause (a), the licensee shall be required to,-(i)enter into agreements on specified terms with other persons for the use of any electric lines, electrical plant and associated equipment operated by the licensee;(ii)furnish information and documents which the Commission may requires for its purpose or for the purposes of the Central or State Government or the Central Commission or Central Electricity Authority;(iii)undertake such functions and obligations of the Board under the Indian Electricity Act, 1910 (Act 9 of 1910) and the Electricity (Supply) Act, 1948 (Act 54 of 1948), as the Commission may specify;(iv)obtain the approval of the Commission of things that are required under the licence conditions or for deviation from the same;(v)notify the Commission of any scheme that the licensee is proposing to undertake including the schemes in terms of the provisions of this Act and the applicable provisions of the Electricity (Supply) Act, 1948 (Act 54 of 1948);(vi)purchase electricity in an economical manner which shall include consideration of the principle of the least cost dispatch of power and under a transparent power purchase procurement process;(vii)evolve scheme for metering points of supply of electricity for all consumer and for measures for reduction of losses in the transmission and supply of electricity;(viii)supply in bulk to other licensees or to customers;(ix)comply with any direction given by the Commission;(x)act in accordance with the terms of the licence; and(xi)comply with the requirements of this Act, the regulations, the Indian Electricity Act, 1910 (No. 9 of 1910) and the Electricity (Supply) Act, 1948 (No. 54 of 1948) or rules framed thereunder in so far they are applicable.(5)Without prejudice to the generality of the provisions contained in sub-section (4), conditions included in a licence granted by the Commission may require the holder of the licence to establish tariff and to calculate its charges from time to time consistent with the provisions of this Act.(6)The provisions contained in the schedule to the Indian Electricity Act, 1910 (No. 9 of 1910) shall be deemed to be incorporated with, and to form part of, every supply licence granted under this Part save in so far as they are expressly varied or exempted by the licence and shall, subject to any such additions, variations or exceptions which the Commission may make having, regard to the purposes of this Act, apply to the undertaking authorised by the licence in relation to its activities in the State :Provided that where a supply licence is granted by the Commission for the supply of electricity to other licensees for distribution by them, then in so far as such license relates to such supply, the provisions of clauses IV, V, VI, VII, VIII and XII of the Schedule shall not be deemed to be incorporated within the supply licence.(7)The conditions included in a licence may contain provision for the conditions to cease to have effect or be modified at such times, in such manner and in such circumstances as may be specified in or determined by or under the conditions.(8)Any provisions included by virtue of sub-section (7) in a licence shall have effect in addition to the provision made by Section 17 and sub-section (5) of Section 18 of the Act.(9)Unless otherwise specifically provided in the terms of a licence, the grant of licence to a person shall not in any way hinder or restrict the grant of a licence to another person within the same area of supply for a like purpose and the licensee shall not claim any exclusivity.(10)The licence granted by the Commission in terms of this Act may provide that the licensee shall have the powers and authority to take actions for metering points of supply of electricity, revenue realisation, disconnection of electricity, prosecution for theft, meter tampering, diversion of electricity, and all such and similar matters affecting the transmission, sub-transmission, distribution or supply of electricity as the Commission may prescribe.(11)The Commission shall be entitled to authorise the licensees and other persons to exercise such power and authority as the licensees and persons could be given under the provisions of the Indian Electricity Act, 1910 (No. 9 of 1910) and the Electricity (Supply) Act, 1948 (No. 58 of 1948).
