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INDIAN ELECTRICITY ACT, 1910 [REPEALED]

Ministry of Law and Justice

Act nº 9 of 1910


  • Part I
  • Part II
  • Part IIA. Transmission of Energy
  • Part III
  • Part IV
  • Schedules
  • Act nº 9 of 1910

Preamble

THE INDIAN ELECTRICITY ACT, 1910

[Act No. 9 of 1910]1

[18th March, 1910]

PREAMBLE

An Act to amend the law relating to the supply and use of electrical energy.

Whereas it is expedient to amend the law relating to the supply and use of electrical energy; It as hereby enacted as follows:-

1. The Act has been extended to-

Goa, Daman and Diu by Regulation 12 of 1962, Section3 and Schedule, Dadra and Nagar Heveli by Regulation 6 of 1963, Section2 and ScheduleI, to the whole of the Union Territory of Lakshadweep by Regulation 2 of 1970, Section2 and Schedule This Act has been amended in U.PAGE by Uttar Pardesh Act 30 of 1961 and Act 14 of 1976, in Assam by Assam Act 9 of 1973, in Gujarat by Gujarat Act 3 of 1974, in Bihar by Bihar Act 15 of 1975, in M.PAGE by Madhya Pradesh Act 19 of 1974, in Maharashtra by Maharashtra Act 63 of 1974, in Haryana by Haryana Act 13 of 1975, in Punjab by Punjab Act 10 of 1978 and in Tamil Nadu by Tamil Nadu Act 39 of 1980.


Part I

Section 1. Short title, extent and commencement

(1) This Act may be called the Indian Electricity Act, 1910.

1[(2) It extends to the whole of India2[except the State of Jammu and Kashmir].]

(3) It shall come into force on such date3as the Central Government may, by notification in the Official Gazette, direct in this behalf.

1. Substituted by the A.O. 1950, for the original sub-section.

2. Substituted by Act 3 of 1951, Section 3 and Schedule, for "except Part BStates".

3. 1st January, 1911, see Gazette of India, 1910, Part I. Page 1236.


Section 2. Definitions

In this Act, expressions defined in the Indian Telegraph Act, 1885 (13 of 1885), 1 [or in theElectricity (Supply) Act, 1948 (54 of 1948), have the meanings assigned to them in either of those Acts], andunless there is anything repugnant in the subject or context,-

2 [(a) "appropriate Government" means in relation to any works or electric installationsbelonging to,or under the control of, the Central Government or in relation to any mines, oilfields, railways,aerodromes, telegraphs, broadcasting stations and any works of defence, theCentral Government, and in any other case, the State Government;]

(b) "area of supply" means the area within which alone alicensee is for the time being authorised by his license to supply energy;

3 [(ba) "area of transmission" means the areawithin which a transmission licensee or any other person is for the time beingauthorised to transmit energy;

(bb)"Central Commission" means the CentralElectricity Regulatory Commission established under sub-section (1) of section 3 of the ElectricityRegulatory Commissions Act, 1998 (14of 1998);

(bc) "Central Transmission Utility" means the utilitynotified by the Central Government under sub-section (1) of section 27A;]

4 [(c) "consumer" means any person who is suppliedwith energy by a licensee or the Government or by any other person engaged inthe business of supplying energy to the public under this Act or any other lawfor the time being in force, and includes any person whose premises are for thetime being connected for the purpose of receiving energy with the works of alicensee, the Government or such other person, as the case may be;]

(d) "daily fine" means a fine for each day on which anoffence is continued after conviction therefor;

(e)"distributing main" means the portion of any main withwhich a service line is, or is intended to be, immediately connected;

4 [(f) "electric supply-line" means a wire,conductor or other means used for conveying, transmitting or distributing energy(whether by overhead line or underground cable), together with any casing,coating, covering, tube, pipe or insulator enclosing, surrounding or supportingthe same or any part thereof, or any apparatus connected therewith for thepurpose of so conveying, transmitting or distributing such energy and includesany support cross-arm, stay, strut or safety device erected to set up for thatpurpose;]

4 [(g) "energy" means electrical energy-

(i) generated, transmitted or supplied for any purpose, or

(ii) used for any purpose except the transmission of a message;]

5 [(ga) "Government company" shall have the meaning assignedto it in section 617 of the CompaniesAct, 1956 (1 of 1956);

(gb) "inter-State transmission system" means, any systemfor the conveyance of energy by means of a main transmission line from theterritory of one State to another State and includes.-

(i)the conveyance of energy across the territory of anintervening State as well as conveyance within the State which is incidental tosuch interstate transmission of energy;

(ii)the transmission of energy within the territory of a Stateon a system built, owned, operated, maintained or controlled by a CentralTransmission Utility or by any person under the supervision and control of aCentral Transmission Utility;

(gc) "intra-State transmission system" means any systemfor transmission of energy other than an inter-State transmission system;]

(h) "licensee" means any person licensed under Part II tosupply energy;

(i) "means any electric supply-line through which energy is, or isintended to be, supplied 6 [***] to the public;

7 [(ii) "overhead line" means an electricsupply-line which is placed above ground and in the open air but does notinclude live rails of a traction system;]

(j) "prescribed" means prescribed by rules made under thisAct;

(k) "public lamp" means an electric lamp used for thelighting of any street;

8 [(l) "service-line" means any electric supply-linethrough which energy is, or is intended to be, supplied 9 [***]-

(i)to a singleconsumer either from a distributing main or immediately from the 10 [supplier'spremises], or

(ii)from adistributing main to a group of consumers on the same premises or on adjoiningpremises supplied from the same point of the distributing main;]

11 [(la) "State Commission" means the StateElectricity Regulatory Commission established under sub-section (1) of section 17 of theElectricity Regulatory Commissions Act, 1998 (14 of 1998);

(lb) "state Electricity Board" in relation to any State means the StateElectricity Board, if any, constituted for that State under section 5 of theElectricity (Supply) Act, 1948 (54 of and includes any Board which functions in that State undersections 6 and 7 of the said Act;

(lc) "State Transmission Utility" means the utilitynotified by the State Government under sub-section (1) of section 27B;]

(m)"street" includes any way, road, lane, square,court, alley, passage or open space, whether a thoroughfare or not, over whichthe public have a right of way, and also the roadway and footway over anypublic bridge or causeway; and

12 [(ma) "transmission license" means a licensegranted under Part IIA to transmit energy;

(mb) "transmission licensee" means a person whoholds a transmission license;

(mc) "transmit" means conveyance of energy by means oftransmission lines and the expression "transmission" shall beconstrued accordingly;]

13 [(n) "works" includes electric supply-line andany building, plant, machinery, apparatus and any other thing of whateverdescription required to supply energy to the public and to carry into effectthe objects of a license or sanction granted under this Act or any other lawfor the time being in force.]

1. Substituted by Act 32 of 1959, Section 3, for "have the meaningassigned to them in that Act".

2. Substituted by Act 32 of 1959, Section 3, for the previousclause.

3. Inserted by Act 22 of 1998, Section 2 w.e.f. 31-12-1998

4. Substituted by Act 32 of 1959, Section 3, for the formerclause.

5. Inserted by Act 22 of 1998, Section 2 w.e.f. 31-12-1998.

6. The words "by a licensee" omitted by Act 32 of 1959, Section3.

7. Inserted by Act 32 of 1959 Section 3.

8. Substituted by Act 1 of 1922, Section 2, for the originalclause.

9. The words "by a licensee" omitted by Act 32 of 1959, Section 3.

10. Substituted by Act 32 of 1959, Section 3, for "licensee's premises".

11. Substituted by Act 22 of 1998, Section 2 w.e.f. 31-12-1998.

12. Inserted by Act 22 of 1998, Section 2 w.e.f. 31-12-1998.

13. Substituted by Act 32 of 1959, Section 3, for the formerclause.


Part II

Section 3. Grant of licenses

(1) The state Government may,on application made in the prescribed form and on payment of the prescribed fee(if any) 1 [grant after consulting the State Electricity Board, a license to anyperson] to supply energy in any specifiedarea, and also to lay down or place electric supply-lines for the conveyanceand transmission of energy,-

(a)where the energy to be supplied is to be generated outside such area, from a generatingstation situated outside such area to the boundary of such area, or

(b)where energy is to be conveyed or transmitted from any place in such area toany other place therein, across an intervening area not included therein,across such area.

(2) In respect of every suchlicense and the grant thereof the following provisions shall have effect,namely:-

(a)any person applying for a license under this Part shall publish a notice of his application in theprescribed manner and with the prescribed particulars, and the license shallnot be granted-

(i)until all objections received by the State Government with referencethereto have been considered by it:

Providedthat no objection shall he so considered unless it is received before theexpiration of three months from the date of the first publication of suchnotice as aforesaid; and

(ii)until, in the case of an application for a license for an areaincluding the whole or any part ofany cantonment 2 [aerodrome,] fortress, arsenal,dockyard or camp or of any building or placein the occupation of the Government for [defencepurposes], the State Government hasascertained that there is no objection to the grant of the license on the partof me [CentralGovernment];

(b)where an objection is received from any local authority concerned, theState Government shall, if in its opinion the objection is insufficient, recordin writing and communicate to such local authority its reasons for suchopinion;

(c)no application for a license under this Part shall be made by any localauthority except in pursuance of a resolution passed at a meeting of such authority heldafter one month's previous notice of the same and of the purpose thereof hasbeen given in the manner in which notices of meetings of such local authority are usually given;

(d)a license under this part-

(i)may prescribe such terms as to the limits within which, and theconditions under which, the supply of energy is to be compulsory or permissive,3 [***]and generally as to such matters as the state Government may think fit; and

(ii)save in cases in which under section 10, clause (b). the provisions of 4 [sections 5and 6], or cither of them, havebeen declared not to apply, every such licensee shall declare whether anygenerating station to be used in connection with the undertaking shall or shallnot form part of the undertaking for the purpose of purchase under 5 [section 5 or section 6];

(e)the grant of a license under this Part for any purpose shall not in any way hinder or restrict the grantof license to another person within the same area of supply for a like purpose;

(f)the provisions contained in the Schedule shall be deemed to beincorporated with and to form part of, every license granted under this Part,save in so far as they are expressly added to, varied or excepted by thelicense, and shall, subject to any such additions, variations or exceptionswhich the State Government is hereby empowered to make, apply to theundertaking authorised by the license:

Providedthat where a license is granted in accordance with the provisions of clause IXof the Schedulefor the supply of energy to other licensees for distribution by them, then, inso far as suchlicense relates to such supply, the provisions of clauses IV, V, VI, VII, VIIIand XII of the Schedule shall not he deemed to be incorporated with thelicense.

6 [***]

1. Substituted by Act 32 of 1959, Section 4, for "grant to anyperson a license".

2. Inserted bymm9, section 4, for "Engineer-in-Chief, Army Headquarters,India".

3. The words "and as to the limits if price to be charged in respectof the supply of energy" omitted by Act 32 of 1959, Section 4.

4. Substituted by Act 32 of 1959, Section 4, "section 5 and 7".

5. Substituted by Act 32 of 1959, Section4, for "section 5 orsection 7".

6. Sub-section (3) omitted by Act 38 of 1920, Section2,Sch. I, Pt. 1.


Section 4. Revocation or amendment of licenses

(1) The State Government may,if in its opinion the public interest so requires 1 [and after consulting the State Electricity Board], revoke a licence inany of the following cases, namely:-

(a)where the licensee, in the opinion of the State Government, makeswillful and unreasonably prolonged default in doing anything required of him by or under this Act;

(b)where the licensee breaks any of the terms or conditions of his license the breach ofwhich is expressly declared by such license to render it liable to revocation;

(c)where the licensee fails, within the period fixed in this behalf by his license or any longerperiod which the State Government may substitute therefor by order under 2 [section 4A, sub-section (1)],and before exercising any of the powers conferred on him thereby in relation to theexecution of works,-

(i)to show, to the satisfaction of the State Government, that he is in a positionfully and efficiently to discharge the duties and obligations imposed on him by his license, or

(ii)to make the deposit or furnish the security required by his license;

(d)3 [where in the opinion of the State Government the financial position ofthe licensee is such that he is unable] fullyand efficiently to discharge the duties and obligations imposed on him by his license;

4 [(e) where a licensee, in the opinion of the State Government, has madedefault in complying withany direction issued under section 22A.]

5 [(2) Where in its opinion thepublic interest so permits, the State Government may, on the application orwith the consent of the licensee, and after consulting the State Electricity Board, and the CentralGovernment where that Government is interested, and if the licensee is not alocal authority, after consulting also the local authority, if any, concerned,revoke a license as to the whole or any part of the area of supply upon suchterms and conditions as it thinks fit.

(3) No license shall berevoked under sub-section (1)unless the state Government has given to the licensee not less than threemonths' notice, in writing slating the grounds on which it is proposed torevoke the license and has considered any cause shown by the licensee withinthe period of that notice, against the proposed revocation.

(4) Where the State Governmentmight under sub-section (1)revoke a license it may instead of revoking the license permit it to remain inforce subject to such further terms and conditions as it thinks fit to imposeand any further terms or conditions so imposed shall be binding upon, and beobserved by, the licensee, and shall be of tike force and effect as if theywere contained in the license.]

1. Inserted by Act 32 of 1959 of 1959, Section 5.

2. Substituted by Act 32 of 1959, Section 5, for "sub-section (3),clause (b)".

3. Substituted by Act 32 of 1959, Section 5, for certain words.

4. Inserted by Act 32 of 1959, Section 5.

5. Substituted by Act 32 of 1959, Section 5, for sub-sections (2)and (3).


Section 4A. Amendment of licenses

1 [4A.Amendment of licenses

(1) Where in its opinion thepublic interest so permits, the State Government, on the application, of thelicensee or otherwise and, after consulting the State Electricity Board, and if the licensee isnot a local authority, also the local authority, if any, concerned, may makesuch alterations and amendments in the terms and conditions of a license,including the provisions specified in section 3, sub-section (2), clause (f), as it thinks fit:

Providedthat no such alterations or amendments shall be made except with the consent ofthe licensee unless such consent has, in the opinion of the state Government,been unreasonably withheld.

(2) Where the licensee hasmade an application under sub-section (1) proposing any alterations or amendments in his license, the followingprovisions shall have effect, namely:-

(a)the licensee shall publish a notice of the application in theprescribed manner and with the prescribed particulars;

(b)the State Government shall not make any alterations or amendments untilall objections received by it with reference to the application within threemonths from the date of the first publicationof the notice have been considered;

(c)in the case of an application proposing alterations or amendments inthe area of supply comprising the whole or any part of any cantonment,aerodrome, fortress, arsenal, dockyard or camp or of any building or place inthe occupation of the Government for defence purposes, the State Governmentshall not make any alterations or amendments except with the consent of theCentral Government.

(3) Before making any alterationsor amendments in a license otherwise than on the application of the licensee,the State Government shall publish the proposed alterations or amendments inthe prescribed manner and with the prescribed particulars and consider allobjections received by it with reference to the proposed alterations oramendments within three months from the dale of the first publication of thenotice; and where alterations or amendments have been proposed in an area ofsupply such as is referred to in clause (c) of sub-section (2), the state Governmentshall not make any alterations or amendments except with the consent of theCentral Government.]

1. Inserted by Act 32 of 1959, Section 6.


Section 5. Provisions where license of a licensee is revoked

1 [5.Provisions where license of a licensee is revoked

(1) Where the State Governmentrevokes, under section 4,sub-section (1), the license of alicensee, the following provisions shall have effect, namely:-

(a)the state Government shall serve a notice of revocation upon thelicensee and shall fix a date on which the revocation shall take effect; and onand with effect from that date, or on and with effect from the date, ifearlier, on which the undertaking of the licensee is sold to a purchaser inpursuance of any of the succeeding clauses or is delivered to a designatedpurchaser in pursuance of subsection (3) all the powers and liabilities of the licensee under this Act shallabsolutely cease and determine;

(b)the State Government shall enquire from the state Electricity Board, and where the licenseeis not a local authority, also from any local authority constituted for thearea within which the whole of the area of supply is included, whether it iswilling to purchase the undertaking;

(c)if the state Electricity Board is willing to purchase the undertaking, the state Governmentshall, by notice in writing require the licensee to sell, and thereupon, the licenseeshall sell the undertaking to the state Electricity Board;

(d)if the state Electricity Board is not willing to purchase the undertaking, the state Governmentshall have the option of purchasing the undertaking and if it elects topurchase, it shall by notice in writing require the licensee to sell, andthereupon the licensee shall sell the undertaking to it;

(e)if the state Electricity Board is not willing to purchase the undertaking and the stateGovernment does not itself elect to purchase it, the state Government in anycase where the local authority referred to in clause (b) is willing to purchasethe undertaking shall by notice in writing require the licensee to sell, andthereupon the licensee shall sell the undertaking to that local authority;

(f)if no sale of the undertaking is effected under any of the foregoingclauses and if any other person is willing to purchase the undertaking, thestate Government may by notice in writing require the licensee to sell, andthereupon the licensee shall sell the undertaking to such other person.

(2) Where an undertaking issold under sub-section (1) thepurchaser shall pay to the licensee the purchase price of the undertakingdetermined in accordance with the provisions of sub-sections (1) and (2)of section 7A, or as the case may be,sub-section (3) of that section.

(3) Where the State Governmentissues any notice under sub-section (1) requiring the licensee to sell the undertaking, it may by such noticerequire the licensee to deliver, and thereupon the licensee shall deliver on adate specified in the notice the undertaking to the designated purchaserpending the determination and payment of the purchase price of the undertaking:

Providedthat in any such case, the purchaser shall pay to the licensee, interest at theReserve Bank rate prevailing at thetime of delivery of the undertaking plus one per centum, on the purchase price ofthe undertaking for the period from the date of delivery of the undertaking tothe date of payment of the purchase price.

(4) Where before the datefixed in the notice issued under clause (a) of sub-section (1) as the date on which therevocation of the license shall take effect, no notice has been issued to thelicensee requiringhim to sell theundertaking or where for any reason no sale of the undertaking has beeneffected under that sub-section, the licensee shall have the option ofdisposing of all lands, buildings, works, materials and plant belonging to theundertaking in such manner as he may think fit:

Providedthat if the licensee does not exercise such option within a period of sixmonths from the aforesaid date, the State Government may forthwith cause theworks of the licensee in, under, over, along, or across any street to beremoved and every such street to be reinstated, and recover the cost of suchremoval and reinstatement from the licensee.

1. Substituted by Act 32 of 1959, Section 7, for the formersections 5, 6 and 7.


Section 6. Purchase of undertakings

(1) Where a license has been grantedto any person, not being a local authority, the State Electricity Board shall,-

(a)in the case of a license granted before the commencement of the IndianElectricity (Amendment) Act. 1959 (32 of 1959), on the expiration of eachsuch period as is specified in the license; and

(b)in the case of license granted on or after the commencement of the saidAct, on the expiration of such period not exceeding 1 [thirty] years and of every such subsequent period, notexceeding 1 [twenty] years, as shall be specifiedin this behalf in the license,

havethe option of purchasing the undertaking and such option shall be exercised bythe state Electricity Boardserving upon the licensee a notice in writing of not less than one yearrequiring the licensee to sell the undertaking to it at the expiry of therelevant period referred to in this sub-section.

(2) Where a State Electricity Board has not beenconstituted, or if constituted, does not elect to purchase the undertaking, theState Government shall have the like option to be exercised in the like mannerof purchasing the undertaking.

(3) Where neither the StateElectricity Board nor the StateGovernment elects to purchase the undertaking, any local authority constitutedfor an area within which the whole of the area of supply is included shall havethe like option to be exercised in the like manner of purchasing theundertaking.

(4) If the state Electricity Board intends to exercise theoption of purchasing the undertaking under this section, it shall send anintimation in writing of such intention to the State Government at leasteighteen months before the expiry of the relevant period referred to insub-section (1) and if no such intimationas aforesaid is received by the State Government the state Electricity Board shall be deemed to haveelected not to purchase the undertaking.

(5)If the State Governmentintends to exercise the option of purchasing the undertaking under thissection, it shall send an intimation in writing of such intention to the localauthority, if any, referred to in sub-section (3) at least fifteen months before the expiry of therelevant period referred to in sub-section (1) and if no such intimation as aforesaid is received by the localauthority, the State Government shall be deemed to have elected not to purchasethe undertaking.

(6) Where a notice exercisingthe option of purchasing the undertaking has been served upon the licenseeunder this section, the licensee shall deliver the undertaking to the StateElectricity Board, the State Governmentor the local authority, as the case may be, on the expiration of the relevantperiod referred to in sub-section (1) pending the determination and payment of the purchase price.

(7) Where an undertaking ispurchased under this section, the purchaser shall pay to the licensee thepurchase price determined in accordance with the provisions of sub-section (4) of section 7A.

1. Substituted by Act 50 of 1991,Section 2, for the words "twenty"and "ten" w.e.f. 15-10-1991.


Section 7. Vesting of the undertaking in the purchaser

Where an undertaking is sold under section 5 or section 6, then upon the completion of the sale or on the dale on which the undertaking is delivered to the intending purchaser under sub-section (3) of section 5 or under sub-section (6) of section 6, as the case may be, whichever is earlier

(i) the undertaking shall vest in the purchaser or the intending purchaser, as the case may be, free from any debt, mortgage or similar obligation of the licensee or attaching to the undertaking:

Provided that any such debt, mortgage or similar obligation shall attach to the purchase money in substitution for the undertaking;

(ii) the rights, powers, authorities, duties and obligations of the licensee under his license shall stand transferred to the purchaser and such purchaser shall be deemed to be the licensee:

Provided that where the undertaking is sold or delivered to a State Electricity Board or the State Government, the license shall cease to have further operation.

Section 7A. Determination of purchase price

(1) Where an undertaking of a licensee, not being a local authority, is sold under sub-section (1) of section 5, the purchase price of the undertaking shall be the market value of the undertaking at the time of purchase or where the undertaking has been delivered before the purchase under sub-section (3) of that section, at the time of the delivery of the undertaking and if there is any difference or dispute regarding such purchase price, the same shall be determined by arbitration.

(2) The market value of an undertaking for the purpose of sub-section (1) shall be deemed to be the value of all lands, buildings, works, materials and plant of the licensee suitable to, and used by him, for the purpose of the undertaking, other than (i) a generating station declared by the license not to form part of the undertaking for the purpose of purchase, and (ii) service-lines or other capital works or any part thereof which have been constructed at the expense of consumers, due regard being had to the nature and condition for the time being of such lands, buildings, works, materials and plant and the state of repair thereof and to the circumstance that they are in such position as to be ready for immediate working and to the suitability of the same for the purpose of the undertaking, but without any addition in respect of compulsory purchase or of goodwill or of any profits which may he or might have been made from the undertaking or of any similar consideration.

(3) Where an undertaking of a licensee, being a local authority, is sold under subsection (1) of section 5, the purchase price of the undertaking shall be such as the State Government, having regard to the market value of the undertaking at the date of delivery of the undertaking, may determine.

(4) Where an undertaking of a licensee is purchased under section 6, the purchase price shall be the value thereof as determined in accordance with the provisions of sub-sections (1) and (2)

Provided that there shall be added to such value such percentage, if any, not exceeding twenty per centum of that value as may be specified in the license on account of compulsory purchase.]

Section 8. Provisions where no purchase and license revoked with consent of licensee

Where, on the expiration of any of the periods referred to1[section 6, sub-section (1)],1[the undertaking is not purchased by the state Electricity Board, the State Government or the local authority], and the license is, on the application or with the consent of the licensee, revoked, the licensee shall have the option of disposing of all lands, buildings, works, materials and plant belonging to the undertaking in such manner as he may think fit:

Provided that, if the licensee does not exercise such option within a period of six months, the state Government may proceed to take action as provided in2[section 5, sub-section (4), proviso].

1. Substituted by Act 32 of 1959, Section 8, for certain words.

2. Substituted, by Act 32 of 1959, Section 8, for "section 5, clause (f). proviso".


Section 9. Licensee not to purchase, or associate himself with, other licensed undertaking or transfer his undertaking

(1) The licensee shall not, atany time without the previous consent in writing of the State Government,acquire, by purchase or otherwise, the license or the undertaking of, orassociate himself so far as the businessof supplying energy is concerned with any person supplying, or intending tosupply, energy under any other license, and, before applying for such consent,the licensee shall give not less than one month's 1 [notice of the application-

(a)to the State Electricity Board;and

(b)to every local authority both in the licensee's area of supply and alsoin the area in which such other person supplies, or intends to supply, energy]:

Providedthat nothing in this sub-section shall be construed to require the consent ofthe State Government for the supply of energy by one licensee to another inaccordance with the provisions of clause IX of the Schedule.

(2) The licensee shall not atany time assignhis license ortransfer his undertaking, on any partthereof, by sale, mortgage, lease, exchange or otherwise without the previousconsent in writing of the State Government.

(3) Any agreement relating toany transaction of the nature described in sub-section (1) or sub-section (2), unless made with, orsubject to, such consent as aforesaid, shall be void.

1. Substituted by Act 32 of 1959,Section 9, for certain words.


Section 10. General power for Government to vary terms of purchase

Notwithstanding anything in1[sections 5, 6 and 8], the state Government may,2[***] in any license to be granted under this Act,-

(a) vary the terms and conditions upon which, and the periods on the expiration of which, the licensee shall be bound to sell his undertaking, or

(b) direct that, subject to such conditions and restrictions (if any) as it may think fit to impose, the provisions of the said sections or any of them shall not apply.

1. Substituted by Act 32 of 1959, Section 10, for "sections 5, 7 and 8".

2. The words "with the previous sanction of the G.G. in C." omitted by Act 38 of 1920, Section 2 and Schedule I, Pt. I.