Delhi · Act 36 of 2003

Section 15 — Procedure for grant of licence.

THE ELECTRICITY ACT 2003

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15. Procedure for grant of licence.–(1) Every application under section 14 shall be made in such 
form and in such manner as may be specified by the Appropriate Commission and shall be accompanied 
by such fee as may be prescribed. 

(2) Any person who has made an application for grant of a licence shall, within seven days after 
making such application, publish a notice of his application with such particulars and in such manner as 
may be specified and a licence shall not be granted– 

(i) until the objections, if any, received by the Appropriate Commission in response to publication 
of the application have been considered by it: 

Provided that no objection shall be so considered unless it is received before the expiration of 
thirty days from the date of the publication of the notice as aforesaid; 

(ii) until, in the case of an application for a licence for an area including the whole or any part of 
any cantonment, aerodrome, fortress, arsenal, dockyard or camp or of any building or place in the 
occupation of the Government for defence purposes, the Appropriate Commission has ascertained 
that there is no objection to the grant of the licence on the part of the Central Government. 

(3) A person intending to act as a transmission licensee shall, immediately on making the application, 
forward a copy of such application to the Central Transmission Utility or the State Transmission Utility, 
as the case may be. 

(4) The Central Transmission Utility or the State Transmission Utility, as the case may be, shall, 
within thirty days after the receipt of the copy of the application referred to in sub-section (3), send its 
recommendations, if any, to the Appropriate Commission: 

                                                             
1. Subs. by Act 57 of 2003, s. 2, for “(including the capital adequacy, creditworthiness, or code of conduct)” (w.e.f. 27-1-2004). 
 



19 
 

Provided that such recommendations shall not be binding on the Commission. 

(5) Before granting a licence under section 14, the Appropriate Commission shall– 

(a) publish a notice in two such daily newspapers, as that Commission may consider necessary, 
stating the name and address of the person to whom it proposes to issue the licence; 

(b) consider all suggestions or objections and the recommendations, if any, of the Central 
Transmission Utility or the State Transmission Utility, as the case may be. 

(6) Where a person makes an application under sub-section (1) of section 14 to act as a licensee, 
the Appropriate Commission shall, as far as practicable, within ninety days after receipt of such 
application,– 

(a) issue a licence subject to the provisions of this Act and the rules and regulations made 
thereunder; or 

(b) reject the application for reasons to be recorded in writing if such application does not 
conform to the provisions of this Act or the rules and regulations made thereunder or the 
provisions of any other law for the time being in force: 

Provided that no application shall be rejected unless the applicant has been given an opportunity of 
being heard. 

(7) The Appropriate Commission shall, immediately after issue of a licence, forward a copy of the 
licence to the Appropriate Government, Authority, local authority, and to such other person as the 
Appropriate Commission considers necessary. 

 (8) A licence shall continue to be in force for a period of twenty-five years unless such licence is 
revoked.

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Next · Section 16Conditions of licence. →All sections / सभी धाराएँTHE ELECTRICITY ACT 2003 →
More sections of this actSection 1 · Short title, extent and commencement.Section 2 · Definitions.Section 3 · National Electricity Policy and Plan.Section 4 · National policy on stand alone systems for rural areas and non-conventional energy systems.Section 5 · National policy on electrification and local distribution in rural areas.Section 6 · Joint responsibility of State Government and Central Government in rural electrification.Section 7 · Generating company and requirement for setting up of generating station.Section 8 · Hydro-electric generation.
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