- (1.) THE petitioner, Rajasthan Renewable Energy Corporation of India, a Government of Rajasthan Undertaking and registered under the Companies Act, 1956 (1 of 1956) has made the present application under subsection (1) of Section 15 of the Electricity Act, 2003 (36 of 2003) (hereinafter referred to as "the Act") read with Central Electricity Regulatory Commission (Procedure, Terms and Conditions for grant of Trading licence and other related matters) Regulations, 2009 (hereinafter referred to as "the Trading Licence Regulations") amended from time to time, for grant of Category 'III' licence for inter -State trading in electricity in whole of India. The notices in accordance with sub -section (2) of Section 15 of the Act read with Clause (4) of Regulation 6 of the Trading Licence Regulations were published by the petitioner on 5.5.2013. In response to the said public notice, no objections have been received.
(2.) IN accordance with Regulation 3(3) of the Trading Licence Regulations, a person applying for Category 'III' trading licence should have net worth of Rs. 5 crore, and should have maintained minimum current ratio and liquidity ratio of 1:1, as on the date of the audited balance sheet accompanying the application. The petitioner company was incorporated on 6.4.1995. Based on special balance sheet as on 31.3.2013, it was established that the petitioner had the required net worth, current ratio and liquidity ratio for grant of Category 'III' trading licence. Accordingly, the Commission came to the conclusion that the petitioner prima -facie qualified for grant of licence for inter -State trading in electricity as a category 'III' electricity trader.
(3.) ON the above considerations, the Commission vide its order dated 1.5.2014 had proposed to grant Category 'III' trading licence to the petitioner. A notice under clause (a) sub -section (5) of Section 15 of the Act was published on 10.5.2014 in all editions of Hindustan Times and Amar Ujala inviting suggestions/objections to the above proposal of the Commission. No suggestions or objections have been received in response to the notice issued by the Commission. Clause (9) of Regulation 6 of the Trading Licence Regulations provide as under: (9) On consideration of further objections or suggestions received and the reply of the applicant thereto, if any, the Commission may grant the licence or reject the application, for reasons to be recorded in writing if the application does not confirm to the provisions of the Act, the rules or regulations or provisions of any other law for the time being in force: Provided that no application shall be rejected, unless the applicant has been given an opportunity of being heard.;