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Section 40. It shall be the duty of a transmission licensee -

(a) to build, maintain and operate an efficient, co-ordinated and
economical inter-State transmission system or intra-State transmission




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Other business of
Transmission
Licensee















economical inter-State transmission system or intra-State transmission
system, as the case may be;

(b) to comply with the directions of the Regional Load Despatch
Centre and the State Load Despatch Centre as the may be;.

(c) to provide non-discriminatory open access to its transmission
system for use by-

(i) any licensee or generating company on payment of the
transmission charges; or

(ii) any consumer as and when such open access is provided by the
State Commission under sub-section (2) of section 42, on payment of the
transmission charges and a surcharge thereon, as may be specified by the State
Commission:

Provided that such surcharge shall be utilised for the purpose of meeting
the requirement of current level cross-subsidy:

Provided further that such surcharge and cross subsidies shall be
progressively reduced and eliminated in the manner as may be specified by the
Appropriate Commission:

Provided also that such surcharge may be levied till such time the cross
subsidies are not eliminated:

Provided also that the manner of payment and utilisation of the
surcharge shall be specified by the Appropriate Commission:

Provided also that such surcharge shall not be leviable in case open
access is provided to a person who has established a captive generating plant for
carrying the electricity to the destination of his own use.