Conditions for Grant of a Contractor’s Licence

Rule 14 lays down the eligibility conditions that must be satisfied before a licence can be granted, and which must continue to be maintained thereafter:

Service Contracts and Apprentices – Rule 14(1) & 14(2)

• The Contractor and the full-time Supervisors and Workmen employed by the Contractor must execute written, notarised service contracts specifying the terms of employment, termination and resignation, and a copy of the agreement together with the joining report of the concerned employees must be submitted with the licence application.
• A Class-I Contractor may engage as many apprentices as it likes, but not less than three; a Class-II Contractor may engage as many apprentices as it likes. In either case, the total number of apprentices at any time must not exceed twice the total number of Supervisors and Workmen in full-time employment, and apprentices cannot be allowed to carry out electrical installation work except under the constant supervision of a full-time Supervisor and the guidance of a full-time Workman.

Staffing for a Class-I Licence – Rule 14(3)

• At least two Supervisors holding a valid certificate of competency (one holding the certificate for full Parts and the other for a minimum of 650-Volt Parts), and
• At least four Workmen holding a valid permit (one holding both LT and HT Parts, and the other three holding the Wireman part of the Workman Permit), and
• Possession of all instruments and tools of Indian Standards Institute (I.S.I.) standard in adequate number, as required under the CEA Regulations, 2023.

Staffing for a Class-II Licence – Rule 14(4)

• For a Class-II 11 KV/33 KV licence: at least two Workmen holding a valid permit (one with both LT and HT Parts, the other with the Wireman part).
• For a Class-II 650 V licence: at least one Supervisor with a minimum 650-Volt Parts certificate of competency and at least one Workman holding a valid permit.
• In both cases, possession of I.S.I. standard instruments and tools in adequate number is mandatory.

Restriction on Grant of Licence – Rule 14(5)

• No Contractor’s Licence shall be granted to a person who is in the employment of another Contractor as a Supervisor or Workman.

Intimation Before Termination of Staff – Rule 14(6)

• Every Contractor must, before terminating the service of a Supervisor or Workman, intimate the Secretary of the Board in writing, stating the name of the Supervisor/Workman and the number of their certificate of competency or permit.

How to Renew the Licence

Rule 17 sets out the renewal procedure:

• Every person, firm or company desiring to renew the licence must apply in the form under Schedule-VII, through the online portal, along with the requisite fee under Schedule-I(A). The renewed licence is issued under Schedule-VI.
• The renewal application must be accompanied by a notarised service agreement showing the particulars of the Supervisors and Workmen in the Contractor’s full-time employment, along with the numbers of their certificates of competency and permits.
• Timeline: The renewal application must be submitted at least 30 days prior to the date of expiry of the licence. Failure to apply in time attracts the renewal fee together with the applicable late renewal penalty fee under Schedule-I(A).
• The Secretary examines the application and, if satisfied after such enquiry as may be necessary, renews the licence.

Suspension and Cancellation of Licence – Rule 18

• The Board may suspend a licence and call upon the Contractor to show cause where the Contractor has not complied with the provisions of the Rules, has wilfully contravened the conditions specified in Rule 14, or has used sub-standard material.
• If the Contractor fails to show cause within the time specified, or the Board finds the Contractor unfit after enquiry, the licence may be cancelled.
• If the Contractor no longer has the requisite staff on account of termination, resignation or death of a Supervisor/Workman, the licence is kept under suspension until the requisite staff is re-engaged; the licence is liable to be cancelled if the vacancy is not filled within two months (extendable up to a maximum of 90 days by the Secretary with the Chairman’s approval, on sufficient cause being shown).
• A licence that is torn, defaced or mutilated so as to render it illegible shall be suspended unless the Contractor re-applies for the same to the Board through the online portal, along with the requisite fee under Schedule-I(A).

Other Continuing Conditions to Keep the Licence Valid

Beyond the staffing and renewal requirements above, a Contractor must continuously observe the following to keep the licence in good standing:

• Change in name of the firm (Rule 19): Any change in the name of a firm holding a licence requires a prior application to the Secretary, along with the fee under Schedule-I(A). Such change cannot involve any transfer or assignment of the licence to another person, firm or body.
• Change in partnership (Rule 15(2)): Any subsequent change in the partnership of the firm or company requires a fresh deed of partnership to be furnished to the Secretary within 15 days of such change.
• Reporting before commencement of work (Rule 20(2)): No electrical installation work (other than minor replacements that do not alter capacity or character) may be commenced without first reporting to the Secretary of the Board and the Electrical Inspector having jurisdiction.
• Approved drawings (Rule 20(2)): Before commencing work, the Contractor must obtain approved copies of the electrical drawings from the owner, occupier or supplier, and the work must be carried out strictly in accordance with such approved drawings and the CEA Regulations, 2023.
• Half-yearly return (Rule 20(3)): Every Contractor must furnish to the Secretary a half-yearly return of works undertaken, by 15th April (for the October–March period) and 15th October (for the April–September period) of every year.
• Test reports (Rule 20(4)): For every electrical installation work carried out under Regulation 31(1) of the CEA Regulations, 2023, a test report with the relevant drawing, signed by the Supervisor and countersigned by the Contractor, must be submitted to the concerned electrical supply authority, with copies furnished to the Board and the Electrical Inspector.