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The Electricity Act, 2003
2003 ·
In force
· synced 11 Oct 2026
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Not yet verified with the latest version of the bare act.
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I — PRELIMINARY
1.
Short title, extent and commencement
2.
Definitions
II — NATIONAL ELECTRICITY POLICY AND PLAN
3.
National Electricity Policy and Plan
4.
National policy on stand alone systems for rural areas and non-conventional energy systems
5.
National policy on electrification and local distribution in rural areas
6.
Joint responsibility of State Government and Central Government in rural electrification
III — GENERATION OF ELECTRICITY
7.
Generating company and requirement for setting up of generating station
8.
Hydro-electric generation
9.
Captive generation
10.
Duties of generating companies
11.
Directions to generating companies
IV — LICENSING
12.
Authorised persons to transmit, supply, etc., electricity
13.
Power to exempt
14.
Grant of licence
15.
Procedure for grant of licence
16.
Conditions of licence
17.
Licensee not to do certain things
18.
Amendment of licence
19.
Revocation of licence
20.
Sale of utilities of licensees
21.
Vesting of utility in purchaser
22.
Provisions where no purchase takes place
23.
Directions to licensees
24.
Suspension of distribution licence and sale of utility
V — TRANSMISSION OF ELECTRICITY
25.
Inter-State, regional and inter-regional transmission
26.
National Load Despatch Centre
27.
Constitution of Regional Load Despatch Centre
28.
Functions of Regional Load Despatch Centre
29.
Compliance of directions
30.
Transmission within a State
31.
Constitution of State Load Despatch Centres
32.
Functions of State Load Despatch Centres
33.
Compliance of directions
34.
Grid Standards
35.
Intervening transmission facilities
36.
Charges for intervening transmission facilities
37.
Directions by Appropriate Government
38.
Central Transmission Utility and functions
39.
State Transmission Utility and functions
40.
Duties of transmission licensees
41.
Other business of transmission licensee
VI — DISTRIBUTION OF ELECTRICITY
42.
Duties of distribution licensee and open access
43.
Duty to supply on request
44.
Exceptions from duty to supply electricity
45.
Power to recover charges
46.
Power to recover expenditure
47.
Power to require security
48.
Additional terms of supply
49.
Agreements with respect to supply or purchase of electricity
50.
The Electricity supply code
51.
Other businesses of distribution licensees
52.
Provisions with respect to electricity trader
53.
Provision relating to safety and electricity supply
54.
Control of transmission and use of electricity
55.
Use, etc., of meters
56.
Disconnection of supply in default of payment
57.
Standards of performance of licensee
58.
Different standards of performance by licensee
59.
Information with respect to levels of performance
60.
Market domination
VII — TARIFF
61.
Tariff regulations
62.
Determination of tariff
63.
Determination of tariff by bidding process
64.
Procedure for tariff order
65.
Provision of subsidy by State Government
66.
Development of market
VIII — WORKS
67.
Provision as to opening up of streets, railways, etc
68.
Overhead lines
69.
Notice to telegraph authority
IX — CENTRAL ELECTRICITY AUTHORITY
70.
Constitution, etc., of Central Electricity Authority
71.
Members not to have certain interest
72.
Officers and staff of Authority
73.
Functions and duties of Authority
74.
Power to require statistics and returns
75.
Directions by Central Government to Authority
X — REGULATORY COMMISSIONS
76.
Constitution of Central Commission
77.
Qualifications for appointment of Members of Central Commission
78.
Constitution of Selection Committee to recommend Members
79.
Functions of Central Commission
80.
Central Advisory Committee
81.
Objects of Central Advisory Committee
82.
Constitution of State Commission
83.
Joint Commission
84.
Qualifications for appointment of Chairperson and Members of State Commission
85.
Constitution of Selection Committee to select Members of State Commission
86.
Functions of State Commission
87.
State Advisory Committee
88.
Objects of State Advisory Committee
89.
Term of office and conditions of service of Members
90.
Removal of Member
91.
Secretary, officers and other employees of Appropriate Commission
92.
Proceedings of Appropriate Commission
93.
Vacancies, etc., not to invalidate proceedings
94.
Powers of Appropriate Commission
95.
Proceedings before Commission
96.
Powers of entry and seizure
97.
Delegation
98.
Grants and loans by Central Government
99.
Establishment of Fund by Central Government
100.
Accounts and audit of Central Commission
101.
Annual report of Central Commission
102.
Grants and loans by State Government
103.
Establishment of Fund by State Government
104.
Accounts and audit of State Commission
105.
Annual report of State Commission
106.
Budget of Appropriate Commission
107.
Directions by Central Government
108.
Directions by State Government
109.
Directions to Joint Commission
XI — APPELLATE TRIBUNAL FOR ELECTRICITY
110.
Establishment of Appellate Tribunal
111.
Appeal to Appellate Tribunal
112.
Composition of Appellate Tribunal
113.
Qualifications for appointment of Chairperson and Member of Appellate Tribunal
114.
Term of office
115.
Terms and conditions of service
116.
Vacancies
117.
Resignation and removal
117A.
Qualifications, terms and conditions of service of Chairperson and Member
VI — of the Finance Act, 2017 (7 of 2017), shall continue to be governed by the provisions of this
118.
Member to act as Chairperson in certain circumstances
119.
Officers and other employees of Appellate Tribunal
120.
Procedure and powers of Appellate Tribunal
121.
Power of Appellate Tribunal
122.
Distribution of business amongst Benches and transfer of cases from one Bench to another Bench
123.
Decision to be by majority
124.
Right of appellant to take assistance of legal practitioner and of Appropriate Commission to appoint presenting officers
125.
Appeal to Supreme Court
XII — In INVESTIGATION AND ENFORCEMENT
126.
Assessment
127.
Appeal to Appellate Authority
128.
Investigation of certain matters
129.
Orders for securing compliance
130.
Procedure for issuing directions by Appropriate Commission
XIII — REORGANISATION OF BOARD
131.
Vesting of property of Board in State Government
132.
Use of proceeds of sale or transfer of Board, etc
133.
Provisions relating to officers and employees
134.
Payment of compensation or damages on transfer
XIV — OFFENCES AND PENALTIES
135.
Theft of electricity
136.
Theft of electric lines and materials
137.
Punishment for receiving stolen property
138.
Interference with meters or works of licensee
140.
Penalty for intentionally injuring works
141.
[Extinguishing public lamps.]
142.
4[Penalty by Appropriate Commission for noncompliance of order or direction.]
143.
Power to adjudicate
144.
Factors to be taken into account by adjudicating officer
145.
Civil court not to have jurisdiction
146.
Punishment for non-compliance of orders or directions
147.
Penalties not to affect other liabilities
148.
Penalty where works belong to Government
149.
Offences by companies
150.
Abetment
151.
Cognizance of offences
151A.
Power of police to investigate
151B.
Certain offences to be cognizable and non-bailable
152.
Compounding of offences
XV — SPECIAL COURTS
153.
Constitution of Special Courts
154.
Procedure and power of Special Court
155.
Special Court to have powers of Court of Session
156.
Appeal and revision
157.
Review
XVI — DISPUTE RESOLUTION
158.
Arbitration
XVII — OTHER PROVISIONS
159.
Protection of railways, highways, airports and canals, docks, wharfs and piers
160.
Protection of telegraphic, telephonic and electric signalling lines
161.
Notice of accidents and inquiries
162.
Appointment of Chief Electrical Inspector and Electrical Inspector
163.
Power for licensee to enter premises and to remove fittings or other apparatus of licensee
164.
Exercise of powers of Telegraph Authority in certain cases
165.
Amendment of sections 40 and 41 of Act 1 of 1894
XVIII — MISCELLANEOUS
166.
Coordination Forum
167.
Exemption of electric lines or electrical plants from attachment in certain cases
168.
Protection of action taken in good faith
169.
Members, officers, etc., of Appellate Tribunal, Appropriate Commission to be public servants
170.
Recovery of penalty payable under this Act
171.
Services of notices, orders or documents
172.
Transitional provisions
173.
Inconsistency in laws
174.
Act to have overriding effect
175.
Provisions of this Act to be in addition to and not in derogation of other laws
176.
Power of Central Government to make rules
177.
Powers of Authority to make regulations
178.
Powers of Central Commission to make regulations
179.
Rules and regulations to be laid before Parliament
180.
Powers of State Governments to make rules
181.
Powers of State Commissions to make regulations
182.
Rules and regulations to be laid before State Legislature
183.
Power to remove difficulties
184.
Provisions of Act not to apply in certain cases
185.
Repeal and saving
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35
43
52
60
69
77
86
94
103
111
119
127
136
145
152
160
169
177