Amendment status not verified — confirm the current text below against the official source.
PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART II, SEC. 1 DATED 2ND JULY, 1998 (W.E.F. 25TH APRIL, 1998). An Act to provide for the establishment of a Central Electricity Regulatory Commission and State Electricity Regulatory Commissions, rationalization of electricity tariff, transparent policies regarding subsidies, promotion of efficient and environmentally benign policies and matters connected therewith or incidental thereto. Be it enacted by Parliament in the Forty-ninth Year of the republic of India as follows: STATEMENT OF OBJECTS AND REASONS India's power sector is beset by problems that impede its capacity to respond to the rapidly growing demand for energy brought about by economic liberalisation. Despite the stated desire for reform and the initial measures that have been implemented, serious problems persist. As the problems of the Power Sector deepen, reform becomes increasingly difficult underscoring the need to act decisively and without delay. It is essential that the Government exit implement significant reforms by focussing on the fundamental issues facing the power sector, namely the lack of rational retail tariffs, the high level of cross-subsidies, poor planning and operation, inadequate capacity, the neglect of the consumer, the limited involvement of private sector skills and resources and the absence of an independent regulatory authority, Considering the paramount importance of restructure power sector, Government of India organised two Conferences of Chie Ministers to discuss the whole gamut of issues in the power sector and the outcome of these meetings was the adoption of the Common Minimum National Action Plan for Power (CMNPP).