High Court of Punjab and HaryanaCWP/2386/2013dismissed

Dhbvn v. Electricity Ombudsman Haryana And ANR

2024-10-23Mr. Justice Vinod S. Bhardwaj34 pages

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Notice for short assessment raised by XEN, KCG Divn. DHBVN Gurgaon for Rs. 5,60,24,471/) on account of MDI penalty be quashed.

ii.

Even if it is concluded that the petitioner exceeded the sanctioned contract demand in any month, it

-10should be reckoned from the month when notice of assessment was issued for exceeding the contract demand and MDI was reset to zero and not from any previous date.

iii.

The Nigam be restrained from disconnecting the electricity connection and/ or recovering these unlawful and illegal charges on a wrong pretext and save the petitioner company from this unnecessary financial burden.

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Revised sanctioned letter was not issued, showing reduced contract demand of 18 KVA.

ii.

No action was taken on the M&P reports of January & April, 2010. Had the notice been issued in Jan., 2010, the petitioner would have restricted its power drawl within the restricted contract demand till the matter was settled or used captive generators.

iii.

The MDI was not reset to zero at each instance and assessment orders issued. No mention of exceeding MDI in M&P report of July, 2010. Monthly energy bills issued with fixed charges on CD taken as 20000 KVA. In tripartite agreement dated 03.08.2009 the CD was mentioned as 20000 KVA and mentioned the same in open access permission and approval of special dispensation during peak load hours.

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")* From the contents of the appeal filed by the appellant, reply submitted by the respondent, examinations, cross examinations, discussions held during the hearings and the rejoinder submitted by the appellant the following facts are established:

1) That the respondent sanctioned extended load of 18000 KW and extended contract demand of 20000 KVA to the appellant in February, 2006. 2) That partial demand of 18000 KVA was allowed in June, 2006 vide SJO No. 85 dated 29.05.2006 keeping in view the constraints on the Badshahpur Mehrauli Road Line.

-133) That after the sanction of partial demand of 18000 KVA, due entry of extended load and extended contract demand should have been made in the ledger by the concerned SDO so that monthly bills to the consumer could be issued in line with the extended load and extended contract demand. In the present case the extended contract demand of the appellant has been recorded is 20000 KVA in the ledger instead of 18000 KVA which was actually released during June, 2006. This non recording of actual released contract demand of 18000 KVA in the ledger is a gross negligency and deficiency in service on the part of the concerned SDO who is responsible for upkeep and maintenance of proper record of HT consumers and specially this consumer who is having a load to the tune of 20 MVA.

4) The monthly readings of the HT consumers are recorded by the concerned SDO and the bill to the consumers are issued on the spot on the date of reading itself on the basis of the consumption recorded and other para meters related with the bill. If the MDI exceeds the permissible limit, then the penalty on account of exceeding MDI is to be levied and the penalty amount is to be indicated and included in the bill to be issued to the consumer. The MDI is to be reset to zero.

5) In the present case the MDI at the consumer's premises exceeded more than 5% of the permissible limit on 23.01.2010. The meter installed at the premises of the appellant was

-14checked on dated 28.01.2010 by the officers and the staff of the M&P Division, DHBVNL, Gurgaon. The observations made by M&P Division during checking on 28.01.2010 are as under:

Contract Demand as per Bill 20,000 KVA Contract Demand as per M&P record 18,000 KVA MDI 19.02 MVA MDI (Cumm.) 19.07 MVA Accuracy of the meter checked and found working within permissible limit.

Temper data taken in MRI '( )#"!

*!!& + #"

- /

& The copies of this checking report was sent to

1. SDO/JE (Op) DHBVNL

2. ΧΕΝ (OP) DHBVNL

3. SE (OP) DHBVNL, Gurgaon

4. SE (M&P) DHBVNL, Gurgaon

5. Chief Auditor, DHBVNL, Hisar No copy of the checking report was given or sent to the appellant.

The MDI was not reset to zero by the concerned SDO after the checking which was mandatory on the part of the SDO.

6) The subsequent checking was made by M&P Wing in April, 2010 and July, 2010. The observations made by M&P Wing during these checkings are as under:)

-15- +- 0

Contract Demand as per Bill 20,000 KVA Contract Demand as per M&P record 18,000 KVA MDI 19.02 MVA MDI (Cumm.) 19.07 MVA Visited the site for periodical checking and the accuracy of the meter checked and found working within permissible limit.

Load survey taken in CMRI '( )#"!

*!!& 1#

#" # $ .!

- /

& 2

Contract Demand as per M&P 18,000 KVA MDI 19.07 MVA MDI (Cumm.) 19.01 MVA Checked the accuracy of the meter and found within limit.

Load survey taken in CMRI.

(Nothing was mentioned by the M&P wing in this report about MDI having been exceeded) 7) The copies of the checking reports conducted by M&P Wing during April, 2010 and July, 2010 were sent to SDO/JE (Op) DHBVNL, XEN (OP) DHBVNL, SE (OP) DHBVNL, Gurgaon, SE (M&P) DHBVNL, Gurgaon and Chief Auditor, DHBVNL, Hisar. No copy of report was given and sent to the appellant. Proper action was required to be taken on the checking reports of M&P wing

-16by Operation Officer's but none bothered to take action as per Nigam's Rules on the report of M&P Wing. Even the Chief Auditor, DHBVNL, Hisar to whom the copies of M&P report had been sent did not bother to ensure that the amount recoverable if any was actually charged by the field officers to the consumer or not. This clearly indicates pure apathy and inaction of the officers of the respondents) Nigam.

(8) Non Complying with the repeated observations of the M&P wing about taking action on MDI found exceeded in January, 2010 and then in April, 2010 as per Nigam's rules, charging amount as per Nigam's rules and non resetting the MDI to Zero when the MDI was found exceeded, was the severest gross negligency on the part of the concerned officers/officials of the Nigam and deserve to be suitably punished.

9) Not charging the penalty for exceeding MDI during January, 2010 and thereafter till May, 2011 on the exceeded MDI and not informing the consumer about MDI having been found exceeded on the very first defauit is the severe most negligency on the part of respondents. Having committed these repeated serious gross mistakes, the respondents cannot justify their inaction and then try to call these as correct.

10) The consumer/ appellant cannot be held responsible for repeated mistakes/ inaction of the DHBVNL officers/staff and to panelize the consumer to cover up their own mistake is not in

-17order at all. Rather it is a financial harassment and mental torture to the appellant.

11) The payment/demand raised by the respondents in May, 2011 for the exceeded MDI w.e.f January, 2010 to May, 2011 is purely an afterthought to cover up their own earlier mistakes and not based on actual facts. The actual fact is that the MDI should have been reset to zero in January, 2010 and penalty for exceeding MDI should have been levied in the bill of January, 2010 itself. If the appellant/consumer exceeded his contract demand more than the permissible limit after January, 2010 after levying of penalty on account of exceeded MDI and resetting the MDI to zero, he was liable to pay the penalty on account of exceeded MDI for every period in which the MDI exceeded. After conveying of the exceeding MDI to the appellant by the respondent in May, 2011. there has not been even a single instance when the appellant exceeded his MDI beyond 18000 KVA.

12) The appellant has got 100% backup of captive D.G sets having capacity of 20 MVA which are used in case of demand being higher than the sanctioned contract demand. Had the respondent been prompt in taking action against the appellant for exceeded MDI on the very first instance in January, 2010, the appellant would not have allowed MDI to exceed beyond permissible limit thereafter. There is no justification on the part of the respondents for not having taken action for a long period right from January, 2010 to May, 2011.

-18- 9 ,,"

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")* i) At the time of execution of tripartite agreement dated 03.08.09 with HVPN, which owned the power network at 66 KV voltage level, the sanctioned connected load /contract demand of the

-19respondent was mentioned as 18 MW and 20 MVA respectively.

ii).

At the time of conveying approval for Special Dispensation during Peak Load Hours on 17. 09. 2010. It was mentioned similarly.

iii). Except for report January 2010 and April 2010, the exceeding of MRI was not mentioned in M & P report 25.07.2010 and, thereafter. It can be concluded that all the concerned officers of the petitioner accepted the authenticity of the connected load /contract demand.

iv).

That the respondent cannot be penalised for repeated in) action/non)action by the officers of the petitioner and made to suffer an unjustified demand of the more than Rs.5 crores. It needs mention that the respondent has a Captive Generating Capacity of 20 MW and the respondent had been making use of the same as and when there is no power supply from the petitioner for different reasons. It is also worth noting that the respondent has remained within the sanctioned contract demand when the petitioner raised the dispute in May 2011. It is natural to presume that had the petitioner raised the point in January 2010 immediately after the report by M & P team, the demand and consequent litigation would never have arisen.

while conveying the approval for Open Access in the Transmission and Distribution system of the

-20state on 11.04.2011, the sanctioned load was mentioned as 18 MW.

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"A* i) To re)set the MDI to "zero" so that next instance of exceeding of MDI is recorded thereafter.

ii) To issue a notice of exceeding the MDI to the defaulting consumer.

iii) To charge penalty @ 25% of the monthly bill in case the MDI exceeds beyond 5% of the Sanctioned Contract Demand.

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4 %+' +'% 01%)* From GM/Commercial, DHBVNL Hissar.

To The Executive Engineer, City Division, DHBVN, Gurgaon.

-26Memo No Dated: 24.02.2006 Subject:

Sanction for extension of load 9000 KW to 18,000 KW with Contract Demand 10,000 to 20,000 KVA on 66 KV Side to Rico Industries Ltd Delhi ) Jaipur Highway Gurgaon.

Sanction for extension of load 9000 KW to 18,000 KW with contract demand 10,000 kVA to 20,000 kVA on 66 KV side to Rico Industries Ltd Delhi ))Jaipur Highway Gurgaon under industrial subdivision DHBVN, Gurgaon is hereby accorded as per approval accorded by Director /Operation DHBVNL, at NP 4 in file No. SE/Commercial No. 342/05 subject to the following conditions: ) 1.

In view of Chief engineer/Planning and Commercial HVPN Panchkula memo number 339/CH.120/406/K 130 dated 3.2.2006, the additional load for the time being is hereby allowed from 66 KV substation Maruti Road Gurgaon as a temporary arrangement.

As a final arrangement, the load will be supplied from 66 KV substation sector 38 where, one circuit of 66 KV sector 38 Rico B. C. Line will be dedicated to the load of the consumer while the other sector shall be used by HVPNL at his discretion, as and when the load demands. 3.

Construction of 66 KV S/C line on D/C towers from 66 KV substation sector 38 Gurgaon to M/S Rico Auto Industries Ltd with 0/.2 sq. ACSR by the firm (M/S Rico Auto Industries Ltd). The path route of proposed 66 AKV NINE, SECTOR 38 Gurgaon to to M/S Rico Auto Industries Ltd shall have to argument present feeding arrangement on single rail pole to power structure from

-270.2sq ACSR from T point (connectivity from sector 38 substation up to firms premises.) 4.

Creation of one number 66 KV bay at 66 KV substation sector 38 Gurgaon for accommodating above line as deposit work of to M/S Rico Auto Industries Ltd. 5.

The above approved works shall be executed by the firm matching with the commissioning of 66 KV substation Sector 38 Gurgaon, targeted in June 2006.

Before execution of works M/S Rico Auto Industries Ltd shall sign the agreement among DHVBNL firm and HVPN Re: commercial aspects, involving security, contract demand, deposit work post, ACD revenue collection, joint meter reading on regular basis, maximum/minimum load on feeder, extent of user system/feeder at present or in future." 9

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")* "From The Director/operations, DHBVNL, Hisar.

To The Chief Engineer/Op DHBVNL, Delhi Memo No. CH)17/SE/comm. /342/05 dated 12/05/06 Sub: Release of an additional load of 9000 Kw of industrial load on 66 kv with contract demand of 20,000 KVA M/s Rico Auto Industries Ltd. Delhi Jaipur highway Gurgaon.

4) (. !% $*8(. :(G(F'+

'G**7 This has reference to your no. CH)90/W)DRW)611 Gurgaon dated 22. 11. 2005 vide which the request of M/S Rico auto for extension of load from 10 MVA to 20

-29MVA with corresponding increase in the maximum demand was forwarded to this office for sanction. The matter was taken with HVPNL to examine the system para meters to take on this additional demand whereupon the HVPNL responded by saying that the load for the time being can be met from the 66 KV Mehrauli Road though they would eventually like to shift the road to a new 66 KV substation under construction in sector 38. They also proposed certain investment by M/S Rico Auto for catering to their load from the new substation i.e. the sector )38.

M/S Rico thereupon requested that the extension in their load be scaled down to the extent the existing system can service.

A perusal of documents furnished with the application indicate that a load up to8 MVA can safely be fed from the existing system without any augmentation. As such, approval for the release of additional 8 MVA is hereby accorded.

Director/operations DHBVNL, Hissar 6 0 %+' '

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+'% 01%)* "Subject: Extension in load of M/S Rico Auto from 9000 KW with corresponding increase in the contract demand to 20,000 kVA.

-30This office had approved supply of increased demand in power to M/S Rico Auto from under construction substation, sector 38 Gurgaon as a long) term arrangement, but as a temporary measure. They were allowed to continue to draw their demand through existing arrangement i.e. Mehrauli Road over the single rail pole line. Subsequently, DHBVN allowed additional eight MVA load to M/S Rico Auto on the existing line itself vide letter No. CH)17/SE/commercial/342/05 dated

12. 05. 2006 at confirmed through their letter No. CH17/SE/commercial/342/05 dated 12. 05. 2006 at confirmed through their letter no.

CH) 18/SE/commercial/342/05 dated 12.05.2006."

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