Section Text
(1) The Central Government shall, from time-to-time, prepare the National Electricity Policy and tariff policy, in consultation with the State Governments and the Authority for development of the power system based on optimal utilisation of resources such as coal, natural gas, unclear substances or materials, hydro and renewable sources of energy.
(2) The Central Government shall publish the National Electricity Policy and tariff policy from time-to-time.
(3) The Central Government may, from time-to-time, in consultation with the State Governments and the Authority, review or revise the National Electricity Policy and tariff policy referred to in sub-section (1).
(4) The Authority shall prepare a National Electricity Plan in accordance with the National Electricity Policy and notify such plan once in five years:
PROVIDED that the Authority while preparing the National Electricity Plan shall publish the draft National Electricity Plan and invite suggestions and objections thereon from licensees, generating companies and the public within such time as may be prescribed:
PROVIDED FURTHER that the Authority shall--
(a) notify the plan after obtaining the approval of the Central Government;
(b) revise the plan incorporating therein the directions, if any, given by the Central Government while granting approval under clause (a).
(5) The Authority may review or revise the National Electricity Plan in accordance with the National Electricity Policy.
Section 4 - National policy on stand alone systems for rural areas and non-conventional energy systemsThe Central Government shall, after consultation with the State Governments, prepare and notify a national policy, permitting stand alone systems (including those based on renewable sources of energy and other non-conventional sources of energy) for rural areas.
Section 5 - National policy on electrification and local distribution in rural areasThe Central Government shall also formulate a national policy, in consultation with the State Governments and the State Commissions, for rural electrification and for bulk purchase of power and management of local distribution in rural areas through Panchayat Institutions, users' associations, co-operative societies, non-governmental organisations or franchisees.
Section 6 - Joint Responsibility of State Government and Central Government in Rural Electrification1[6. Joint Responsibility of State Government and Central Government in Rural Electrification--
The concerned State Government and the Central Government shall jointly endeavour to provide access to electricity to ail areas including villages and hamlets through rural electricity infrastructure and electrification of households.]
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1. Substituted by The Electricity (Amendment) Act, 2007, Dated 28.05.2007. Prior to Substitution it read as under:
"6. Obligations to supply electricity to rural areas
The Appropriate Government shall endeavour to supply electricity to all areas including villages and hamlets."