Compliance requirement under the Act

• Registration of Electricity generating units (Electricity Act, 2003, Section 74; Regulation 4 & 5 of CEA (Furnishing of statistics, returns and information) Regulations, 2007)

All electricity generating units of the country of capacity 0.5 MW and above have to get registered with CEA and get a unique registration number from CEA.

• License for transmission of electricity (Electricity Act, 2003, Section 12(a))

No person shall transmit electricity unless he is authorised to do so by a licence issued under section 14, or is exempt under section 13.

• License for distribution of electricity (Electricity Act, 2003, Section 12(b))
  No person shall distribute electricity unless he is authorised to do so by a licence issued under section 14, or is exempt under section 13.
• License for trading of electricity (Electricity Act, 2003, Section 12(c))
  No person shall undertake trading in electricity unless he is authorised to do so by a licence issued under section 14, or is exempt under section 13.
• Obligations of Licensee for transmission/distribution/trading of electricity (Electricity Act, 2003, Section 17)

A licensee shall not, without prior approval of the Appropriate Commission, acquire or merge with another licensee’s utility, unless the utility is in a different State.
i) Every licensee shall, before obtaining the approval give not less than one month’s notice to every other licensee who transmits or distributes electricity in the area of such licensee who applies for such approval.

1. ii) No licensee shall at any time assign his licence or transfer his utility, or any part thereof, by sale, lease, exchange or otherwise without the prior approval of the Appropriate Commission.
   iii) Any agreement, relating to any transaction specified in Section 17(1) to (3) unless made with the prior approval of the Appropriate Commission, shall be void.

• Compliance of Directions issued by Regional Load Despatch Centres (Electricity Act, 2003, Section 29(2),(3))

Every licensee, generating company, generating station, sub-station and any other person connected with the operation of the power system shall comply with the directions issued by the Regional Load Despatch Centres under Section 29(1).

All directions issued by the Regional Load Despatch Centres to any transmission licensee of State transmission lines or any other licensee of the State or generating company (other than those connected to inter State transmission system) or sub-station in the State shall be issued through the State Load Despatch Centre and the State Load Despatch Centres shall ensure that such directions are duly complied with by the licensee or generating company or sub-station.

• Compliance of Directions issued by State Load Despatch Centre (Electricity Act, 2003, Section 33(2))

Every licensee, generating company, generating station, sub-station and any other person connected with the operation of the power system shall comply with the directions issued by the State Load Despatch Centre under Section 33(1).

The State Load Despatch Centre shall comply with the directions of the Regional Load Despatch Centre.

• Compliance of Grid Standards (Electricity Act, 2003, Section 34)
  Every transmission licensee shall comply with such technical standards of operation and maintenance of transmission lines, in accordance with the Grid Standards, as may be specified by the Authority.

Every transmission licensee shall comply with such technical standards of operation and maintenance of transmission lines, in accordance with the Grid Standards, as may be specified by the Authority.

• Prior Approval for Installation of Overhead Electrical Lines (Section 68(1) & (2))

An overhead line shall, with prior approval of the Appropriate Government, be installed or kept installed above ground in accordance with the provisions of Section 68(2) of the Electricity Act, 2003. This requirement shall not apply: (a) to an electric line with a nominal voltage not exceeding 11 kilovolts used or intended to be used for supplying to a single consumer; (b) to so much of an electric line as is or will be within premises in the occupation or control of the person responsible for its installation; or (c) in such other cases as may be prescribed.

•  Interruption in the Conveyance or Transmission of Electricity through Overhead Lines (Section 68(5), (6))

If a tree, structure, or object near an overhead line obstructs or may obstruct electricity transmission or access for maintenance, an Executive Magistrate or authorised authority may, upon the licensee’s request, order its removal or take other suitable action. Where the obstruction is a tree that was in existence before the placing of the overhead line, the Executive Magistrate or authority shall award to the person interested in the tree such compensation as is considered reasonable, which may be recovered from the licensee.

•  Approval for Works near Telegraph Lines (Section 69(1)(a))

Before laying or placing any works within 10 metres of telegraph lines, electric lines, electrical plant or other works (other than service lines or unchanged repairs), the licensee must submit a proposal for new installations to the authority designated by the Central Government. The designated authority shall take a decision on the proposal within thirty days.

•  Notice to Telegraph Authority in Case of Repair, Renewal or Amendment of Existing Works (Section 69(1)(b))

Before carrying out repair, renewal or amendment of existing works within 10 metres of telegraph lines (without changing their position or character), the licensee must give at least 10 days’ written notice to the telegraph authority, detailing the route, use, amount and nature of electricity to be transmitted, and earthing arrangements. In genuine emergencies, a shorter period of notice is permissible.

•  Notice for Execution of Service Line Works (Section 69(2))

Where works for the laying or placing of any service line are to be executed, the licensee shall, not less than forty-eight hours before commencing the work, serve upon the telegraph authority a notice in writing of his intention to execute such works.

•  Intimation of Electrical Accidents to Authorities (Section 161(1))

If an accident occurs in connection with the generation, transmission, distribution, supply or use of electricity in or in connection with any part of the electric lines or electrical plant of any person, and the accident results in or is likely to have resulted in loss of human or animal life or injury to a human being or an animal, such person shall give notice of the occurrence — in the prescribed form and within the prescribed time — to the Electrical Inspector or such other designated person, and to such other authorities as the Appropriate Government may direct.

•  Prevention of Damage or Obstruction to Public Infrastructure during Electricity Operations (Section 159)

No person shall, in the generation, transmission, distribution, supply or use of electricity, in any way injure any railway, highway, airports, tramway, canal or waterway, or any dock, wharf or pier vested in or controlled by a local authority, or obstruct or interfere with traffic on any railway, airway, tramway, canal or waterway.

•  Prevention of Interference with Telecommunication and Electric Signalling Systems (Section 160(1))

Every person generating, transmitting, distributing, supplying or using electricity shall take all reasonable precautions in constructing, laying down and placing electric lines, electrical plant and other works, and in working the system, so as not to injuriously affect — whether by induction or otherwise — the working of any wire or line used for telegraphic, telephone or electric signalling communication, or the currents in such wire or line.