 bill no  40  of   2011 the damodar valley corporation  (amendment)  bill, 2011 a billfurther to amend the damodar valley corporation act, 1948be it enacted by parliament in the sixty-second year of the republic of india as follows:—1  (1) this act may be called the  damodar valley corporation  (amendment)act, 2011short title and commencement5(2) it  shall come into force on such date as the central government may, by notificationin the official gazette, appoint14 of 1948amendment of section 42  in section 4 of the damodar valley corporation act, 1948 (hereinafter referred to as the principal act), for sub-section (1), the following sub-sections shall be substituted, namely:—10"(1) the corporation shall consist of—(a) a chairman;(b) a member (technical) and a member (finance); (c) one representative from the central government;(d) two representatives one each from the state governments of jharkhand and west bengal;(e) three independent experts one each from the field of irrigation, water supply and generation or transmission or distribution of electricity; and5(f) a member-secretary(1a) the chairman and members under clauses (a), (b), (d) and (f) of subsection (1) shall be appointed by the central government in consultation with the state governments concerned while the members under clauses (c) and (e) shall be appointed by the central government, by notification in the official gazette10(1b) the chairman and members under clauses (a), (b)  and (f) of sub-section (1)shall be whole-time while the members under clauses (c), (d) and (e) shall be part-time(1c) the chairman shall be the chief executive officer of the corporation (1d) without prejudice to the provisions contained in sub-section (1c), the member-secretary shall be in charge of general administration and business development of the corporation"153 in section 6 of the principal act, sub-sections (1) and (2) shall be omittedamendment of section 64 in section 7 of the principal act, clause (a) shall be omittedamendment of section 75 for section 8 of the principal act, the following section shall be substituted, namely:—substitution of new section for section 8"8 the functions and duties of the members shall be such as may be prescribed"functions and duties of members20amendment of section 446 in section 44 of the principal act, in sub-section (1), for the words "financial adviser", the words and brackets "member (finance)" shall be substituted7  in section 59 of the principal act,—amendment of section 59(a) in sub-section (1), the words "the secretary and the financial adviser" shall be omitted;25(b) in sub-section (2), for the words "financial adviser", the word "members"shall be substituted statement of objects and reasonsthe damodar valley corporation act, 1948 has been enacted to provide for the establishment and regulation of a corporation for the development of the damodar valley in the states of bihar (now jharkhand) and west bengal the functions of the corporation under the act, inter alia, provided  for the promotion and operation of schemes for irrigation, water supply and drainage, the generation, transmission and distribution of electrical energy, the promotion and control of navigation in the damodar river and its tributaries and channels, afforestation and control of soil erosion, pormotion of public health and the agricultural, industrial, economic and general well-being in the damodar valley and its area of operation2 under the damodar valley corporation act, 1948, the corporation consists of a chairman and two members, appointed by the central government after consultation with the concerned state governments3 over the last more than sixty years, the role and expectations from damodar valley corporation have changed significantly due to industrial development in the valley area the demand for power by industry, especially coal, steel, railways and other consumers has gone up considerably damodar valley corporation has built power plants and stepped up its generation capacity over the years thus, the damodar valley corporation has grown into a large generating company with its own transmission and sub-transmission network the administrative staff college of india recommended restructuring of the corporation to make it more broad-based and professional so that it may discharge its responsibilities more effectively and efficiently4 based on the inter-ministerial consultations, a bill namely "the damodar valley corporation (amendment) bill, 2007" was introduced in the lok sabha on 4th may, 2007, and the same was referred to the standing committee on energy which gave its report on the 7th september, 2007 the said bill, inter alia, provided that the damodar valley corporation would consist of (i) a whole-time chairman; (ii) a whole-time member technical; (iii) a wholetime member finance; (iv) one representative from the central government, as part-time member; (v) two representatives one each from the state governments of jharkhand and west bengal, as part-time members; (vi) three independent experts one each from the field of irrigation, water supply and generation or  transmission of electricity as part-time members the committee supported the amendments proposed in the aforesaid bill and also recommended that the secretary of the organisation should be made a full-time member of the board to enhance the functioning capabilities of the organisation as has been recommended by the administrative staff college of india however, the damodar valley corporation (amendment) bill, 2007 lapsed with the dissolution of the lok sabha5 it is now proposed to introduce the damodar valley corporation (amendment) bill,2011 to,—(a) change the composition of the damodar valley corporation on the lines of the earlier lapsed damodar valley corporation (amendment) bill, 2007 with the addition that there shall be a whole-time member-secretary;(b) provide that the chairman shall be the chief executive officer of the corporation;(c) provide that the member-secretary shall be in-charge of the general administration and business development of the corporation;(d) abolish the posts of secretary and financial advisor6 the bill seeks to achieve the above objectivesnew delhi;sushil kumar shindethe 29th july,  2011 annexure extracts from the damodar valley corporation act, 1948 (14 of 1948)|     |     |     |     |    ||------|------|------|------|-----|4  (1) the corporation shall consist of a chairman and two other members appointed by the central government after consultation with the state governmentsconstitution of the corporation|     |     |     |     |    ||------|------|------|------|-----|6  (1) the secretary and the financial adviser of the corporation shall be appointed by the central governmentappointment of officers and servants(2) the secretary shall be the chief executive officer of the corporation|     |     |     |     |    ||------|------|------|------|-----|7 the pay and other conditions of service of the officers and servants of the corporation shall—conditions of service of officers and servants(a) as respects the secretary and financial adviser, be such as may be prescribed;and|     |     |     |     |    ||------|------|------|------|-----|8 the functions and duties of the financial adviser shall be such as may be prescribed|     |     |     |     |    ||------|------|------|------|-----|functions and duties of the financial adviserbudget44 (1) the corporation, in consultation with the financial adviser, shall in october each year prepare in such form as may be prescribed a budget for the next financial year showing the estimated receipts and expenditure and the amounts which would be required from each of the three participating governments during that financial year|     |     |     |     |    ||------|------|------|------|-----|power to make rules59 the central  government  may, by notification in the official gazette, make rules to provide for all or any of the following matters, namely:—(1) the salaries and allowances and conditions of service of members, the secretary and the financial adviser;(2) the functions and duties of the financial adviser;|     |     |     |     |    ||------|------|------|------|-----| lok  sabha————— a billfurther to amend the damodar valley corporation act, 1948—————(shri sushil kumar shinde, minister of power)