Captive generation
Section 9 of the Electricity Act, 2003 deals with captive generation. Notwithstanding anything contained in this Act, a person may construct, maintain or operate a captive generating plant and dedicated transmission lines: Provided that the supply of electricity from the captive generating plant through the grid shall be regulated in the same manner as the generating The Act came into force on 10 Jun 2003.
(1) Notwithstanding anything contained in this Act, a person may construct, maintain or operate a captive generating plant and dedicated transmission lines:
Provided that the supply of electricity from the captive generating plant through the grid shall be regulated in the same manner as the generating station of a generating company:
1 [Provided further that no licence shall be required under this Act for supply of electricity generated from a captive generating plant to any licensee in accordance with the provisions of this Act and the rules and regulations made thereunder and to any consumer subject to the regulations made under sub-section (2) of section 42.]
(2) Every person, who has constructed a captive generating plant and maintains and operates such plant, shall have the right to open access for the purposes of carrying electricity from his captive generating plant to the destination of his use:
Provided that such open access shall be subject to availability of adequate transmission facility and such availability of transmission facility shall be determined by the Central Transmission Utility or the State Transmission Utility, as the case may be:
Provided further that any dispute regarding the availability of transmission facility shall be adjudicated upon by the Appropriate Commission.
Section 9, The Electricity Act, 2003 (Act 36 of 2003).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
This section refers to
Referred to by 1
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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J. K. Tyre & Industries LTD vs Rajasthan Electricity Regulatory Commn
Court's Decision & Legal Precedent
The Rajasthan Electricity Regulatory Commission has statutory power under Section 86(1)(e) read with Section 181 of the Electricity Act 2003 to impose renewable energy purchase obligations on captive power plants and open access consumers located in the area of distribution licensee, as the term 'total consumption in the area of distribution licensee' includes consumption from all sources within that geographical area. Such obligations, being designed to achieve constitutional mandates under Articles 21, 48A, and 51A(g) of the Constitution and to promote renewable energy as a matter of public policy, do not violate the de-licensing principle of the Act nor do they infringe fundamental rights under Articles 14 or 19(1)(g) of the Constitution. The surcharge imposed for non-compliance is a valid regulatory measure under Section 86(1)(g) and Sections 142, 147 of the Act, representing a compensatory mechanism based on the polluter-pays principle, not an unauthorized tax under Article 265.
On this section: Provides that captive generating plants are de-licensed but supply to grid is regulated; no separate license required; operates in framework of Act and regulations
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Made under this section, and citing it
5 instruments name this provision in its title or its text without being made under it.
- to exercise jurisdiction and power under the electricity Act 2003, for the area comprising within the sessions division for which they are appointed under section 9 of the Code of Criminal Procedure, 1973.Notification 2014
- JERC Notification dated 11.02.2010Notification 2010
- Joint Electricity Regulatory Commission for the State of Goa and Union Territories (Open Access in Transmission and Distribution) Regulations, 2009Regulation 2010
- The Electricity Rules, 2005Rule 2005
- Electricity Act, 2003Rule 2003
Questions about Section 9
What have the courts held on Section 9 of the Electricity Act?
J. K. Tyre & Industries LTD vs Rajasthan Electricity Regulatory Commn (13 May 2015) is the leading judgment on this section among those set out below: Provides that captive generating plants are de-licensed but supply to grid is regulated; no separate license required; operates in framework of Act and regulations.
How do I find court cases under Section 9 of the Electricity Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Electricity Act 2003 9, section 9 Electricity Act 2003, section 9 of the Electricity Act. People searching for it also type electricity act schedule 9. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with J. K. Tyre & Industries LTD vs Rajasthan Electricity Regulatory Commn (13 May 2015).
What should I read with Section 9 of the Electricity Act, and has it changed?
Its own text turns on section 42 (Duties of distribution licensee and open access), so none of them can safely be read on its own. 1 other provision in this corpus refers back to it. 5 instruments name it without being made under it, most recently to exercise jurisdiction and power under the electricity Act 2003, for the area comprising within the sessions division for which they are appointed under section 9 of the Code of Criminal Procedure, 1973. (2014), then JERC Notification dated 11.02.2010 (2010).
When did Section 9 of the Electricity Act come into force?
Section 9 of the Electricity Act, cited as Electricity Act 2003 9, came into force on 10 Jun 2003, having been enacted on 26 May 2003. It is in force as at the date shown on this page.
Other sections of this Act
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 15 Oct 2026. This page is not a substitute for legal advice.