Module 7 : Power System Structures
Lecture 34 : Indian Scenario
Some of the major provisions of the Electricity Act are:
Elimination of licensing for setting up a generating station, subject to compliance with technical standards. This excludes Hydro-Electric power station
Removal of captive power plants from the ambit of licensing and other permissions
Provision for issuing more than one license for transmission and distribution in the same geographical area.
Provision of ‘Open Access’ with respect to transmission for all generators (subject to technical constraints)
Introduction of a spot market for bulk electricity
Unbundling of the SEBs on the basis of functions (Generation, Transmission and Distribution)
Compulsory metering of all consumers in order to improve accountability
State Governments will have the freedom to decide the sequence and phases of restructuring, and also retain the integrated structure of the SEB for a limited period.