1 THE HARYANA ELECTRICITY REFORM ACT, 1997 ... - HIPA

y the State Government adversely affects or interferes with the exercise of thefunctions of the Commission, the same shall be referred to the Central ElectricAuthority and the decision given by the Central Electric Authority shall be final andbinding. The Central Electricity Authority may appoint one or more members of theAuthority to act on behalf of the Authority in relation to any matter referred to underthis subsection.(3) The Government shall be entitled to issue policy directions concerning thesubsidies to be allowed for supply of electricity to any class or classes of persons inaddition to the subsidies adjusted by the Commission while regulating and approvingthe tariff structure provided that the State Government shall contribute the amount tocompensate such concerned body or unit affected by the grant of the subsidies of theState Government to the extent of the subsidies granted. The Commission shalldetermine the amounts and the term and conditions on which such amounts are to bepaid by the State Government.(4) The State Government shall consult the Commission in relation to anyproposed legislation or rules concerning any policy direction and shall duly take intoaccount the recommendation by the Commission on all such matters.PART VTRANSCOConstitution andfunctions of the Transco.13. (1) Within sixty days of the Act coming into force, the State Government shallcause Transco to be incorporated and organised under the provisions of the CompaniesAct, 1956, as the Transmission Corporation of Haryana Limited, with the principalobjects of engaging in the business of procurement, transmission and supply of electricenergy.(2) Subject to the powers of the State Government under section 12, the Transcoestablished by the State Government in terms of sub-section (1) shall be the principalcompany to undertake all planning and coordination in regard to transmission;undertaking the works connected with transmission; determining the electricityrequirements in the State in coordination with the Generating companies, StateGovernment, the Commission, the Regional Electricity Board, and the CentralElectricity Authority; the operation of the power system.(3) Transco shall own the extra high voltage transmission system, shall beresponsible for the transmission system operation and shall operate the power system inan efficient manner.16