A transmission licensee may, with prior intimation to the Appropriate Commission, engage in any business for optimum utilisation of its assets:
Provided that a proportion of the revenues derived from such business shall, as may be specified by the Appropriate Commission, be utilised for reducing its charges for transmission and wheeling:
Provided further that the transmission licensee shall maintain separate accounts for each such business undertaking to ensure that transmission business neither subsidises in any way such business undertaking nor encumbers its transmission assets in any way to support such business.
Legal Commentary & Landmark Judgments: Section 41
Section 41 of the Electricity Act, 2003 permits a transmission licensee to engage in other businesses, including telecommunications and dark fiber leasing, subject to regulatory ring-fencing and revenue-sharing mechanisms designed to reduce wheeling charges for consumers.
When structuring optic-fiber monetization, tower leasing, or EV charging infrastructure on transmission corridors, design separate cost-allocation ledgers in compliance with Section 41 regulations, ensuring transparent revenue-sharing disclosures during annual revenue requirement (ARR) filings.