Amendment status not verified — confirm the current text below against the official source.
(1) Notwithstanding anything contained in this Act, the powers, rights and functions of Regional Electricity Authority, the Central Electricity Authority, the 43 Central Electricity Regulatory Commission, the Central Government and authorities, other than the Delhi Vidyut Board and the State Government under the Indian Electricity Act, 1910 or the Electricity (Supply) Act, 1948 or rules framed thereunder shall remain unaffected and shall continue to be in force. (2) Nothing contained in this Act shall apply to the power Grid Corporation, National Thermal Power Corporation or other bodies or licensees in relation to the inter-state transmission of the Electricity or generating companies owned or controlled by Central Government or undertaking owned by the Central Government. 44 STATEMENT OF OBJECTS AND REASONS At present, the Delhi Vidyut Board ( DVB ) constituted under section 5 of the Electricity (Supply) Act, 1948 is charged with the functions of generation, transmission, and distribution of electrical energy in Delhi. With rapid growth and expansion of the transmission and distribution system, it is felt necessary to reorganise generation, transmission and distribution into separate units to achieve improvement in management. In order to meet these objectives, it is proposed to constitute separate corporations for generation, transmission and distribution and to make them commercially viable units, and at the same time ensure a fair deal to the customers with regard to price, quality, etc. The existing generation, transmission and distribution functions under the DVB are proposed to be split into separate units and corporatised. The essence of restructuring is to achieve the balance required to be maintained with regard to competitiveness and efficiency on the one hand and the social objective of ensuring that the consumers get a fair deal on the other hand. The Commission may act as the body which determine, tariff which issue and enforce licensees; which balances the interests of the State, the consumers, the units involved in generation, transmission, distribution and supply of electricity and investors in the electricity industry; which monitors, controls and regulates the working of the units; which gathers information; which monitors price and quality of service; which prevents monopoly abuse; promotes competition and fosters private participation in power sector; which regulates and adjudicates on the tariffs and other related issues and also acts as a body to resolve or set up machinery to resolve speedily disputes among the licensees. The present power system is in urgent need of modernisation and upgradation. This needs huge capital investment. To meet the growing need of funds, participation of private capital for generation, transmission and distribution has 45 become imperative. The Government of India has already amended the Electricity (Supply) Act, 1948 to allow private participation in generation of electricity. The functional matters such as generation, transmission, distribution and supply will vest in corporate bodies. In so far as transmission of electricity, the functions shall vest in a transmission company to be established, initially, as a government corporation and to be licensed under the Act. While the overall policy be defined by the Government of NCT of Delhi, the technical co-ordination with the Central Electricity Authority, the Government authorities in the National Capital Territory of Delhi and regional authorities at the Centre will be undertaken by the transmission company. Generation functions would vest in a government corporation to be incorporated under the Companies Act, 1956. The distribution functions would be performed either by government Corporation(s) or Joint Venture company(ies) licensed under this Act. The Act seeks to achieve the aforesaid objectives. (VIJAI KAPOOR) Lt.Governer Delhi