Chapter VII COMMISSION’S POWER TO PASS ORDERS

(1) Where the Commission is satisfied that a licensee is contravening, or is likely to contravene any of the provisions of this Act or rules or regulations made thereunder or any of the conditions of the licence, it shall either by an interim order under sub-section (4) or by a final order under section 35, issue such directions as it deems proper for preventing such contravention. (2) In determining whether it is appropriate that an interim order be made, the Commission shall have regard, in particular to- (a) the extent to which the contravention or likely contravention by the licensee may affect the purposes of this Act; (b) the extent to which any person is likely to sustain loss or damage in consequence of such contravention before a final order is made; and (c) whether there is any remedy available to prevent such contravention. (3) If the Commission proposes to make an interim order, it shall give notice of the proposed interim order to the licensee setting out therein the following, namely:- (i) the contravention that the proposed order is intended to prevent; (ii) the acts or omissions which, in its opinion constitute such contravention; (iii) the facts which in its opinion, justify the making of the proposed order; (iv) the effects of the proposed order; and (v) the period, being not less than fifteen days from the date of notice, within which the licensee may show cause why the proposed order be not made. (4) The Commission may after considering the reply of the licensee to the notice, if any, make such interim order as it thinks fit at any time after the expiry of the period specified in the notice, if the Commission has reason to believe that,- (a) the licensee to whom the notice was given has contravened or is contravening or is likely to contravene any of the provisions of this Act or rules or regulations made thereunder or any condition of licence; and (b) the order is necessary for the purpose of preventing such contravention. (5) An interim order - (a) may provide for the taking over of the management of the Licensee’s Undertakings and functions and authorizing any person or body of persons to manage the affairs and exercise in respect of the whole or any part of the undertaking of the licensee, such functions or control may be specified in the order till further orders of the Commission; (b) may require the licensee to do, or abstain from doing, such things as are specified in the order; (c) shall take effect from such date, as is specified in the order; and (d) shall cease to have effect on such date as is specified in the order unless the order is rescinded earlier: Provided that where the Commission has commenced the procedure for making the interim order as final order before the cesser of the interim order, the interim order shall not cease to have effect and shall continue to be in force till a final order is made. (6) Where the Commission has made an interim order, it shall as soon as possible thereafter,- (a) serve a copy of the order on the licensee and publish the same in such manner as it deems fit, and (b) commence proceedings to declare the interim order to be a final order in accordance with section 35.

(1) If the Commission proposes to make a final order or to declare an interim order to be a final order, the Commission shall give notice of the proposed final order to the licensee - (a) stating that it proposes to make the final order or as the case may be, declare the interim order to be a final order; (b) setting out the matters referred to in sub-section (3) of section 334 in respect of the proposed final order; and (c) specifying the period being not less than thirty days from the date of the notice within which the licensee may show cause why the proposed order may not be made. The Commission may, after considering the reply of the licensee to the notice, pass such final order as it thinks fit. Where the Commission has made a final order, it shall, as soon as possible thereafter, serve a copy of the order on the licensee and publish the same in such manner as deemed fit. The Commission shall, as soon as practicable, after making a final order, require the licensee to do or abstain from doing such things as are specified in the order

(1) The Commission may, of its own motion within one year or on an application made to it by a licensee within six months from the date of the final order, modify or revoke the final order. (2) The Commission shall, before making an order under sub-section (1), give a notice of not less than thirty days to the licensee to show cause as to why the final order may not be modified or revoked. (3) The Commission may, after considering the reply of the licensee to the notice modify or revoke the final order and inform the licensee of its decision.

An order made by the Commission under section 34, 35 or 36 shall be enforced as if it were a decree of a civil court.

(1) If, pending an inquiry and passing of an interim or final order under this chapter, the Commission is of the opinion that the undertaking of the licensee is being managed in a manner detrimental to maintenance of continued transmission, distribution or supply of electricity and for maintaining such continued transmission, distribution or supply of electricity in public interest it is necessary to assume forthwith the management or control of the undertaking of the licensee, the Commission may by order notified in the Official Gazette, authorise any person or body of persons to take over the management of the whole or part of the undertaking of the licensee and exercise in respect of the whole or any part of the undertaking of the licensee, such functions or control as may be specified in the order. (2) Any order issued under sub-section (1) shall have effect till the interim or final order is made under section 34 or 35.

(1) The Commission shall be entitled to impose such fines and charges as may be specified by regulations for non-compliance or violation on the part of the Generating Companies, licensees or other persons, of the provisions or requirements of this Act or rules and regulations framed thereunder and licence conditions, directions or orders of the Commission made from time to time. The fines which the Commission shall be entitled to impose may extend upto Rs. 2,00,000 for an act of non compliance or violation and a further amount not exceeding Rs. 10,000 for every day during which the non compliance or violation continues. (2) The Commission shall be entitled to direct compensation to be paid by the person guilty of violation or non-compliance as provided in sub-section (1) to the person or persons affected by such violation or non compliance. (3) The fines, charges and compensation which may be imposed by the Commission under this section shall be in addition to and not in derogation or any other liability, which the person guilty of violation or non compliance, may have incurred.

(1) The District Magistrate and the District Superintendent of Police having jurisdiction in the area concerned shall so far as may be, co-operate by themselves or through their subordinates, with the Commission for carrying into effect and enforcing the provisions of this Act. (2) It shall be the duty of every police officer to communicate without any delay to the Commission any information which he receives of a design to commit or the commission of any offence under this Act , rule or regulation and to assist the Commission or any officer or servant reasonably demanding his aid for the lawful exercise of any power vesting in the Commission or in such officer or servant.