Sri Vigneswara Steels Pvt Ltd v. The Tamil Nadu Electricity Regualtory
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED :25.01.2019
CORAM
THE HON'BLE MR.JUSTICE S.M.SUBRAMANIAM W.P.No.33725 of 2018 W.M.P.Nos. 39139, 39143 & 39144 of 2018 M/s.Sri Vigneswara Steels Pvt. Ltd., H.T.Sc.No.135, S.F.110/1-A-1 Mavelipalayam Privu Road, Akkamapettai Post, Sankari Taluk, Salem District - 637 301, Rep.by its Managing Director, C.Marappan.
... Petitioner vs 1.The Tamil Nadu Electricity Regulatory Commission, Rep.by its Secretary, No.19A, Rukmani Lakshmipathy Salai Egmore, Chennai - 600 008 2.The Chairman and Managing Director Tamil Nadu Generation and Distribution Corporation Ltd., No.144, Anna Salai, Chennai - 600 002.
3.The Chief Financial Controller/Revenue TANGEDCO, No.144, Anna Salai, Chennai - 600 002.
4.The Superintending Engineer Mettur Electricity Distribution Circle, TANGEDCO, Mettur Dam - 636 401.
...Respondents
Prayer : Writ Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Certiorari, calling for records of
issued by the 4th Respondent, demanding Rs.5,38,096/- and threatening to include in the ensuing C.C.Bill and quash the same as illegal, arbitrary and against the provisions of Electricity Act 2003 and the Tariff order in No.T.P.No.1 of 2017 dated 11.08.2017.
For Petitioner : Mr.K.Seshadri For Respondents: Mr.S.K.Raameshwar, standing counsel for Electricity Board for R2 to R4
O R D E R
The relief sought for in this writ petition is to call for records of issued by the 4th Respondent, demanding Rs.5,38,096/- and threatening to include in the ensuing C.C.Bill and quash the same as illegal, arbitrary and against the provisions of Electricity Act 2003 and the Tariff order in No.T.P.No.1 of 2017 dated 11.08.2017.
2.The petitioner is involved in the manufacture of Steel Ingots etc., having High Tension Electricity Supply in H.T.Sc.No.135. The 2nd and 4th respondents have sanctioned the said H.T.Supply with a maximum demand of 3025 K.V.A to run the said industry. The petitioner industry has been providing employment to about two hundred persons and they are promptly paying the charges as per the regulations of the Board. 3.In respect of the levy of T & D Loss components, this Court had adjudicated the issues in a batch of Writ Petitions in W.P.Nos.20954 & etc., of 2018 and an order was passed on 03.01.2019 and the paragraphs 21 & 22 are extracted hereunder:- "21.Para 5.8.4.86(4) of the order in T.P.No.
1 of 2017 issued by the Regulatory Commission for Determination of Tariff for Generation and Distribution relating to Wheeling Charges for Open Access Customers, states that the normative distribution system loss at the voltage on which open access transmission is undertaken, shall be borne by the consumer in kind. It is also seen that the Regulatory Commission in the review application in R.A.No.
cash. Such rectification of loss components by the Regulatory Commission in R.P.No.4 of 2017 dated 13.03.2018 on the voltage drawn and injection voltage, cannot be treated as an authorisation to encash loss components. The fact remains that the appeal filed by the Tamil Nadu Spinning Mills Association before the Appellate Tribunal for Electricity, New Delhi in Appeal No.356 of 2017 is pending. Further, even in the review petition filed by TANGEDCO, the Regulatory Commission has passed the order on 13.03.2018 rendering the revision subject to the outcome of the appeal filed by the Tamil Nadu Spinning Mills Association in Appeal No.356 of 2017 before the Appellate Tribunal for Electricity, New Delhi. Therefore, the matter has not been concluded and only upon the outcome of the appeal in Appeal No.
356 of 2017, the things would be settled and only thereafter, a proper decision could be taken by the Electricity Board. This Court finds force in the submission made by the learned senior counsel for the petitioners that before passing the impugned orders, TANGEDCO ought to have waited till the disposal of the appeal in Appeal No.356 of 2017. In these circumstances, the respondents are not permitted to raise bills from 11.08.2017 to compensate the loss instead of unit to unit adjustment from 13.03.2018, on which date the revision is permitted by the Regulatory Commission. The claim of excess payment shall be considered for adjustment towards future liabilities.
However, it is made clear that the respondents shall proceed with the matter on the basis of the outcome of the decision of the Appellate Tribunal for Electricity, New Delhi in Appeal No.356 of 2017, in accordance with law.
22.With the above observations, the orders impugned in these writ petitions are set aside and the writ petitions are allowed. No costs. Consequently, the connected miscellaneous petitions are closed." 4.The issues raised in the present writ petition are akin to that of the issues decided by this Court in the batch of writ petitions in W.P.Nos.20954 & etc., of 2018 dated 03.01.2019. 5.Thus,
issued by the 4th Respondent are quashed and the writ petition stands allowed. However, there shall be no order as to costs. Consequently, connected miscellaneous petitions are closed. Sd/- Assistant Registrar(CS IV) //True Copy// Sub Assistant Registrar To 1.The Secretary, Tamil Nadu Electricity Regulatory Commission, No.19A, Rukmani Lakshmipathy Salai Egmore, Chennai - 600 008 2.The Chairman and Managing Director Tamil Nadu Generation and Distribution Corporation Ltd., No.144, Anna Salai, Chennai - 600 002.
3.The Chief Financial Controller/Revenue TANGEDCO, No.144, Anna Salai, Chennai - 600 002.
4.The Superintending Engineer Mettur Electricity Distribution Circle, TANGEDCO, Mettur Dam - 636 401.
+1cc to Mr.S.K.Rameshuwar, Advocate Sr.6428 +1cc to Mr.K.Seshadri, Advocate Sr.5785 W.P.No.33725 of 2018 rr[co] srg 27/02/2019