Effect of the Act on the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948

(1) Except as provided in section 59 of this Act, the provisions of this Act, notwithstanding that the same are inconsistent with or contrary to the provisions of the Indian Electricity Act, 1910, or the Electricity (Supply) Act, 1948 shall prevail in the manner and to the extent provided in sub-section (3).

(2) Subject to sub-section (1) in respect of all matters in the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948, with which the Board has been concerned or dealing with, upon the constitution of the Commission the functions of the Board shall be discharged by the Commission and the KPTC: Provided that,-

(a) the State Government shall be entitled to issue all policy directives and shall undertake overall planning and co-ordination as specified in section 12 of this Act and to this extent the powers and functions of the Karnataka Electricity Board as per the provisions of the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 or rules thereunder shall vest in the State Government and the State Government shall co-ordinate and deal with the Central Government and the Central Electricity Authority;

(b) in respect of such matters which the Commission directs in terms of a general or special order, or in the regulations or in the licence as the case may be, the generating company or companies, the licensees or other body corporate as may be designated by the Commission shall discharge the functions of the Board under the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 to the extent directed by the Commission or specified in the licences.

(3) Subject to sub-sections (1) and (2), upon the establishment of the Commission, the provisions of the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 shall, in so far as the State is concerned, be read subject to the following modifications and reservations:-

(a) All references to State Electricity Board in the Indian Electricity Act, 1910 in so far as the State is concerned shall be read as reference to the Karnataka Electricity Regulatory Commission or the KPTC or other licensees or wherever it relates to general policy matters the State Government in accordance with the provisions of this Act;

(b) In respect of matters provided in sections 3 to 11, 28, 36(2), 49-A 50 and 51 of the Indian Electricity Act, 1910, to the extent this Act has made specific provisions, the provisions of the Indian Electricity Act, 1910 shall not apply in the State;

(c) The provisions of all other sections of the Indian Electricity Act, 1910 shall apply except that,-

(i) the terms "licence", "licensee" and "license holder" shall have the meaning as defined under this Act and the licenses shall be construed as having been issued under this Act ;

(ii) the reference to the sections of the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 in the provisions of the Indian Electricity Act, 1910 shall be taken as reference to the corresponding provisions of this Act to the extent modified by the said Act.

(iii) the reference to arbitration in these provisions except where it is by the Central Electricity Authority shall be taken as reference to the proceedings under section 39 of this Act and the arbitration procedure specified under the Indian Electricity Act, 1910 shall not apply;

(d) The Schedules to the Indian Electricity Act, 1910 shall be applicable only with reference to the provisions in this Act wherein the applications of the Schedules are specified and not otherwise;

(e) All references to State Electricity Board in the Electricity (Supply) Act, 1948 in so far as the State of Karnataka is concerned shall be read as reference to the Karnataka Electricity Regulatory Commission or the KPTC or other licensees or where it relates to general policy matters, the State Government in accordance with the provisions of this Act;

(f) In respect of matters provided in sections 5 to 18, 19, 20, 23 to 26, 27, 37, 40 to 43, 44, 45, 46 to 54, 56 to 69, 72 and 75 to 83 of the Electricity (Supply) Act, 1948, to the extent this Act has made specific provisions, the provisions of the Electricity (Supply) Act, 1948 shall not apply in the State;

(g) The provisions of all other sections of the Electricity (Supply) Act, 1948 shall apply except that,-

(i) the terms "licence", "licensee" and "license holder" shall have the meaning as defined under this Act and the licenses shall be construed as having been issued under this Act ;

(ii) the reference to the sections of the Indian Electricity Act, 1910 and the Electricity (Supply) Act, 1948 in the provisions of the Electricity (Supply) Act, 1948 shall be taken as reference to the corresponding provisions of this Act to the extent modified by this Act;

(iii) the reference to arbitration in these provisions except where it is by the Central Electricity Authority shall be taken as reference to the proceedings under section 39 of this Act and the arbitration procedure prescribed under the Electricity (Supply) Act, 1948 shall not apply.

(h) The provisions of sections 72, and 73 of the Electricity (Supply) Act, 1948 shall be restricted to generating companies and reference to the State Electricity Board in these sections shall stand deleted.

(i) The Schedules to the Electricity (Supply) Act, 1948 shall be applicable only with reference to the provisions in this Act wherein the applications of the Schedules are specified and not otherwise.