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BEFORE THE UTTAR PRADESH ELECTRICITY REGULATORY COMMISSION Quorum Shri Desh Deepak Verma, Chairman Shri I. B. Pandey, Member Shri S. K. Agarwal, Member In the matter of: In the matter of alteration/modification of the Area of Distribution of Kanpur Electricity Supply Co. Ltd. in its Distribution and Retail Supply Licence. Managing Director, Kanpur Electricity Supply Company Ltd. (KESCO) 14/71, Civil Lines, Kanpur -------- Petitioner Present in the Hearing: 1. Shri Yogesh Hajela, Chief Engineer, KESCO 2. Shri G. C. Jha, Superintending Engineer, KESCO ORDER (Hearing on 29.01.2016) The Petitioner, Kanpur Electric Supply Company Ltd. (KESCO) 14/71, Civil Lines, Kanpur has filed Petition No. 1053/2015, with a prayer for amendment alterations, modifications in the distribution licence, namely, KESCO Distribution and Retail Supply Licence (Licence No. 2 of 2000) with respect to concerned area of supply under its jurisdiction. In order to invite objections and/or comments of the stake holders, if any, the Commission directed, KESCO, to publish a notice in two daily newspapers in accordance with Section 18 (2) (a) of the Electricity Act, 2003, vide letter no. 1604, dated 21.11.2015 of the Commission to the petitioner. In compliance of the said directions of the Commission, KESCO published the notice in two daily newspapers, namely, Amar Ujala and Dainik Jagran on 25.11.2015 providing the stake holders a period of 30 days to submit their objections, if any, in the format reproduced herein below:- Page 1 of 6

**v/kh{k.k vfhk;urk ¼eq[;ky;½ *dslk gkml* 14@71 flfoy ykbu] ikslv ckdl ua0 141] dsldks] dkuiqj Ik=kad 77@,l-bZ-¼,p-D;w-@2015&16½ fnukad 24-11-15 uksfvl lkoztfud :i ls ;g lwfpr fd;k tkrk gs fd xzke Vhdkiqjok] ukudjh] pd jruiqj] gksjk ckaxj] diyh] yq/kksjh] ukjkeå ckaxj] tks fd dkuiqj uxj fuxe lhek ds vurxzr vkrs gsa,oa fo qr vkiwfrz dkuiqj fo qr vkiwfrz deiuh fy0 dkuiqj ds }kjk dh tkrh gsa bl lecu/k esa fdlh O;fDr@laLFkk vfkok deiuh dks dksbz vkifrr gks rks bl uksfvl ds izdk ku ls 30 fnu dh lekfir rd viuh vkifrr izsf kr djsaa **jk Vª fgr esa fctyh cpk;sa** ¼th-lh->k-½ v/kh{k.k vfhk;urk ¼eq-½ Thereafter the. The Commission also published the public notice in two daily newspapers in the following format:- No. UPERC/Secy/VCA/2015-1814 Dated: 22.12.2015 PUBLIC NOTICE In the matter of Kanpur Electric Supply Co. Ltd. has filed petition no. 1053/2015 for takeover of electricity supply of villages namely Chak Ratanpur, Hora Banger, Kapli, Ludhauri and Naramau Banger who are presently being supplied electricity by Dakshinanchal Vidyut Vitran Nigam Ltd. and to supply electricity in the area of Tikpura gaon and Nankari village which are not presently supplied electricity by any Distribution Company. The petition is presently being filed for Page 2 of 6

amendment in the license area to include the area of above seven villages in the license area of Kanpur Electric Supply Company Ltd. Notice is hereby given to be stakeholders and interested parties to submit comments in the above matter in writing directly to the Commission at Kisan Mandi Bhawan, IInd Floor, Vibhuti Khand, Gomti Nagar, Lucknow personally or by Post so as to reach before 02.01.2016 with a copy to the petitioner who shall file reply upto 03.01.2016. The Public Hearing in the matter shall be held on 04.01.2016 at 11:00 hrs in the office of the Commission. Secretary The public hearing schedule for 4.1.2016, was postponed to 29.1.2016 and the notice to this effect, was published in two daily newspapers in the format reproduced herein below:- No. UPERC/Secy/VCA/2016-1911 Dated: 18.01.2016 PUBLIC NOTICE In the matter of Kanpur Electric Supply Co. Ltd. has filed petition no. 1053/2015 for takeover of electricity supply of villages namely Chak Ratanpur, Hora Banger, Kapli, Ludhauri and Naramau Banger who are presently being supplied electricity by Dakshinanchal Vidyut Vitran Nigam Ltd. and to supply electricity in the area of Tikpura gaon and Nankari village which are not presently supplied electricity by any Distribution Company. The petition is presently being filed for amendment in the license area to include the area of above seven villages in the license area of Kanpur Electric Supply Company Ltd. Page 3 of 6

The Public Hearing in the matter shall be held on 29.01.2016 at 11:30 hrs in the office of the Commission. Secretary In the hearing dated 29.1.2016, Shri Yogesh Hajela, Chief Engineer and Shri G. C. Jha, Superintending Engineer appeared on behalf of KESCO. However in the said hearing no representative of public appeared in response to the notice published in the newspapers. The petitioner also submitted that they have not received any objection from any of the stakeholders. It was, thus, brought to the notice of the Commission that no objection/comments in this matter have been received in the Commission, so as to be addressed and/or clarified by the petitioner. The Commission enquired as to why the petitioner intends to include the above referred seven villages in their area of distribution/supply. The petitioner submitted that these seven villages have now fallen in the Municipal limit of Kanpur Nagar Nigam. It was further clarified by the petitioner that presently the supply of electricity in five villages is done by Dakshinanchal Vidyut Vitran Nigam Ltd. and other two villages are not being supplied electricity by any of the distribution licensees. It was also submitted by the Petitioner that they have Licence for supplying electricity in the area under Kanpur Nagar Nigam. The Petitioner has submitted the Map of the area of supply in relation to the Municipal limits of Kanpur Nagar. The Commission enquired that what is the load profile of these seven villages. The petitioner replied that they are mainly light and fan consumers. The Commission further enquired whether DVVNL has agreed to handover the distribution of these seven villages to KESCO through a resolution in its Board Meeting and has KESCO Board has granted approval to take over the distribution of these seven villages. The petitioner submitted that DVVNL in its Board Meeting dated 19.10.2015 has passed the following resolution: Page 4 of 6

**nf{k.kkwapy fo qr forj.k fuxe fy0 ds funs kd e.my }kjk fnukad 19 vdvwcj] 2015 dks ifjpkyu ek/;e ls ikfjr izlrko& funs kd e.my us izcu/k funs kd] dsldks] dkuiqj ds vuqjks/k,oa izlrko ds Øe esa dkuiqj uxj fuxe lhek ds vurxzr vkus okys fueu 7 xzkeksa Øe k% pd jruiqj] gksjk ckaxj] diyh] yq/kksjh] ukjkeå ckaxj] Vhdkiqjok,oa ukudkjh foyst dh fo qr O;oLFkk dkuiqj fo qr vkiwfrz deiuh fy0 ds v/khu fd;s tkus dk vuqeksnu iznku fd;k,oa ;g Hkh funszf kr fd;k fd bl izlrko dk vuqeksnu kklu ls Hkh izkir djus dh dk;zokgh dh tk;a** Similarly KESCO in its Board Meeting dated 26.08.2015 has passed the following resolution: **fnukad 26 vxlr 2015 dks lk;a 5%00 cts ls 5%15 cts rd *lhkk d{k*] kfdr Hkou] y[kuå esa vk;ksftr dkuiqj fo qr vkiwfrz deiuh fyfevsm ds funs kd e.my dh 58oha csbd dk dk;zo`rra funs kd e.my us dkuiqj fuxe lhek ds vurxzr vkus okys lkr xzkeksa& Vhdkiqjok] ukudkjh] pd jruiqj] gksjk ckaxj] diyh] yq/kksjh,oa ukjkeå ckaxj {ks=ksa esa fo qr dh vkiwfrz dsldks] dkuiqj ds ek/;e ls djk;s tkus dk vuqeksnu iznku fd;k rfkk ;g Hkh funszf kr fd;k fd mijksdr vuqeksnu ds Øe esa izdj.k kklu dks Lohd`r gsrq lanfhkzr fd;k tk,a** In view of the above the Commission finds that KESCO has fulfilled the conditions precedent for amendment, alteration or modification of its licence as specified in the Electricity Act, 2003 and that of the provisions of UPERC (Grant of Distribution Licence) Regulations, 2004. It is, therefore, directed that the KESCO Distribution and Retail Supply Licence (License no. 2 of 2000) granted by the Commission stands amended by way of adding the following villages of Kanpur Nagar under under sub-heading B of the Schedule-1, B, of the said licence, after Serial Number 16, as under:- 17. Chak Ratanpur 18. Hora Banger 19. Kapli 20. Ludhauri Page 5 of 6

21. Naramau Banger 22. Tikpura gaon 23. Nankari Village As a result of amendment by including the above named villages in the KESCO Distribution and Retail Supply Licence (License no. 2 of 2000), the area of supply/distribution with respect to villages of Chak Ratanpur, Hora Banger, Kapli, Ludhauri and Naramau Banger, which are being supplied electricity by Dakshinanchal Vidyut Vitran Nigam Ltd. stands deleted from the area of supply/distribution of Dakshinanchal Vidyut Vitran Nigam Ltd. The licence area of Dakshinanchal Vidyut Vitran Nigam Ltd., as specified in their licence no. 3 of 2010 granted by the Commission stands amended to that extent. Any dispute or difference arising out of the transfer of distribution network between KESCO and DVVNL shall be resolved by them amicably and if any dispute or difference remains unresolved between them, the same shall be referred to the Chairman, UPPCL for resolving the same. All the amendments to be effected/incorporated in the respective Licences granted by the Commission to Kanpur Electricity Supply Company Ltd. and Dakshinanchal Vidyut Vitran Nigam Ltd., shall be effective from the date of issue of this order. With this the Petition stands disposed off. (S. K. Agarwal) (I. B. Pandey) (Desh Deepak Verma) Member Member Chairman Dated: 14.03.2016 Page 6 of 6