(1) Pursuant to this Act, if a license has been granted to an organized organization for providing water and sanitation services, construction, operation and management of a project or service system or for the public, institutional, commercial and industrial use of water resources in a service area, the license has been obtained in the same area for the duration of such license. Permits will not be granted to any other organization that adversely affects the source of drinking water.
(2) Notwithstanding anything contained in sub-section (1), a license may be granted to any other organized body in the following cases:-
(a) If quality service is not provided in the service sector,
(b) If water supply is not distributed regularly,
(c) failing to supply water as per demand, or
(d) If the permit is revoked according to section 15.