(2)

[ Where a Generating Company has been established having its activities wholly or partly in a State, the State Government may direct the Board to make over any generating station established or acquired by the Board to the Generating Company subject to such terms and conditions as may be specified in the direction and the Board shall comply with such direction:

Provided that where the Central Government is the [competent Government or one of the competent Governments] [Section 39 renumbered as sub-Section (1) thereof and sub-Section (2) inserted by Act 115 of 1976, Section 22 (w.r.e.f. 8.10.1976). ][in relation to the Generating Company, no direction shall be made by any State Government under this sub-section without the concurrence of the Central Government.] [Section 39 renumbered as sub-Section (1) thereof and sub-Section (2) inserted by Act 115 of 1976, Section 22 (w.r.e.f. 8.10.1976). ]

(3)

[ For the purposes of this section, no direction shall be issued to a Generating Company wholly or partly owned by the Central Government unless and until the prior concurrence of that Government is obtained.] [ Inserted by Act 50 of 1991, Section 9 (w.e.f. 15.10.1991).]