(1) For the purposes of this Act within three months from the date of commencement of this Act, the State Government shall establish by notification, a Commission to be known as the Karnataka Electricity Regulatory Commission, which shall be a body corporate with perpetual succession and a common seal, with power to acquire, hold and dispose of property, movable and immovable and shall, by the said name, be entitled to sue and be sued.
(2) The Commission shall consist of three members to be appointed by the State Government from persons selected by the selection committee constituted for the purpose, in the manner provided in section 4 and one of them shall be nominated as Chairman by the State Government.
(3) When the Chairman is unable to discharge the functions owing to absence, illness or any other cause, the next senior member shall act as the Chairman till the day the Chairman re-assumes the charge.
(4) The seniority of members shall be reckoned from the date of their appointment as indicated in their order of appointment. In case, two members are appointed at the same time, the State Government while making the appointment shall determine the seniority between them.
(5) No act or proceedings of the Commission shall be invalid by reason only of the existence of any vacancy among its members or any defect in the constitution thereof.
(6) The Chairman shall be the Chief Executive of the Commission.