Electricity Act, 2003 (Act No. 36 of 2003).
Country
Type of law
Legislation
Abstract
The purpose of this Act is to regulate the generation, distribution, transmission and trading of electricity.
The Act contains key provisions in relation to renewable energy including: the preparation of a National Electricity Plan, by the Central Government in consultation with State Governments, based on the optimal utilization of resources such as coal, natural gas, nuclear substances, hydro and renewable sources of energy; the specification, by state electricity commissions, of the terms and conditions for the determination of tariffs, as guided by the promotion of cogeneration and the generation of electricity from renewable sources; and the promotion, cogeneration and the generation of electricity through renewable sources by providing suitable means for connectivity with the grid and sale of electricity, and by specifying for the purchase from such sources a percentage of the total consumption of electricity in the area of a distribution licensee.
The generation of electricity shall not need a licence if the generating station complies with specific technical standards. However, hydro-projects shall need clearance from the Central Electricity Authority. Furthermore, licences shall be mandatory for the transmission, distribution and trade in electricity except for persons undergoing these activities in rural areas.
The Act also provides for the establishment of a Central Electricity Authority and defines its internal organization and functions.
The Act further provides for the following matters: Inter-State and Intra-State transmission of electricity; distribution of electricity; tariff regulations; constitution of Regulatory Commissions; constitution of an Appellate Tribunal for Electricity; offences and penalties; constitution of Special Courts for providing speedy trials of offences referred to in the Act; etc.
The Act contains key provisions in relation to renewable energy including: the preparation of a National Electricity Plan, by the Central Government in consultation with State Governments, based on the optimal utilization of resources such as coal, natural gas, nuclear substances, hydro and renewable sources of energy; the specification, by state electricity commissions, of the terms and conditions for the determination of tariffs, as guided by the promotion of cogeneration and the generation of electricity from renewable sources; and the promotion, cogeneration and the generation of electricity through renewable sources by providing suitable means for connectivity with the grid and sale of electricity, and by specifying for the purchase from such sources a percentage of the total consumption of electricity in the area of a distribution licensee.
The generation of electricity shall not need a licence if the generating station complies with specific technical standards. However, hydro-projects shall need clearance from the Central Electricity Authority. Furthermore, licences shall be mandatory for the transmission, distribution and trade in electricity except for persons undergoing these activities in rural areas.
The Act also provides for the establishment of a Central Electricity Authority and defines its internal organization and functions.
The Act further provides for the following matters: Inter-State and Intra-State transmission of electricity; distribution of electricity; tariff regulations; constitution of Regulatory Commissions; constitution of an Appellate Tribunal for Electricity; offences and penalties; constitution of Special Courts for providing speedy trials of offences referred to in the Act; etc.
Attached files
Long title of text
An Act to consolidate the laws relating to generation, transmission, distribution, trading and use of electricity and generally for taking measures conducive to development of electricity industry, promoting competition therein, protecting interest of consumers and supply of electricity to all areas, rationalization of electricity tariffs, ensuring transparent policies regarding subsidies, promotion of efficient and environmentally benign policies, constitution of Central Electricity Authority, Regulatory commissions and establishment of an Appellate Tribunal and for matters connected therewith or incidental thereto.
Date of text
Notes
This Act repeals the following Acts: the Indian Electricity Act, 1910; the Electricity (Supply) Act, 1948; and the Electricity Regulatory Commissions Act, 1998.
Repealed
No
Source language
English
Legislation Amendment
No