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Madras High Court

M/S.Dollar Industries Ltd vs Tangedco on 31 October, 2022

Author: N. Sathish Kumar

Bench: N. Sathish Kumar

                                                                                     Writ Petition No.5322 of 2017


                                  IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                    Dated: 31/10/2022

                                                        CORAM

                                  THE HONOURABLE MR.JUSTICE N. SATHISH KUMAR

                                             Writ Petition No.5322 of 2017
                                                         and
                                               W.M.P.No.5662 of 2017

                     M/s.Dollar Industries Ltd
                     rep. By its Authorised Signatory
                      Mr.D.Prabakaran
                     HTSC No.330
                     S.F.No.440, N.H.7, V. Pudukottai Village
                     Minukkampatti (PO), Vedasandur Taluk
                     Dindigul 624 711.                    ...           Petitioner

                                                            Vs


                     1. TANGEDCO
                        rep. By its Chairman & Managing Director
                        No.144 Anna Salai
                        Chennai 2.

                     2. The Chief Financial Controller (Revenue)
                        TANGEDCO
                        144 Anna Salai
                        Chennai 2.

                     3. The Superintending Engineer
                        Dindigul Electricity Distribution Circle
                        TANGEDCO
                        Dindigul.

                     Page No:1/8

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                                                                                       Writ Petition No.5322 of 2017


                     4. The Superintending Engineer
                        Udumalpet Electricity Distribution Circle
                        TANGEDCO
                        Udumalpet.                         ...            Respondents



                     PRAYER : Petition filed under Article 226 of the Constitution of India praying

                     for the issuance of a writ of mandamus to direct the second respondent to issue

                     working instructions in order to implement the Hon'ble TNERC Order in DRP

                     No.19 of 2013 dated 19/1/2015 which has also be confirmed by the Hon'ble

                     APTEL in Appeal No.53 of 2016 and also to implement the order of the third

                     respondent Hon'ble TNERC's order in RA No.6 of 2013 dated 31/3/2016 in so

                     far as REC windmill adjustments are concerned and consequently direct the

                     third respondent to give adjustment of 580526 Units of REC Wind energy

                     generated in the petitioner's REC WEG No.2200 which was illegally allowed to

                     lapse for the period from 4/2012 to 4/2016.



                                   For petitioner          ...      Mr.S.P.Parthasarathy

                                   For respondents         ...      Mr.Abul Kalam
                                                                    Standing Counsel

                                                         -----




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                                                                                             Writ Petition No.5322 of 2017




                                                              ORDER

This writ petition has been filed to direct the second respondent to issue working instructions in order to implement the Hon'ble TNERC Order, in DRP No.19 of 2013, dated 19/1/2015 which has also be confirmed by the APTEL, in Appeal No.53 of 2016 and also to implement the order of the third respondent TNERC's order, in RA No.6 of 2013, dated 31/3/2016, in so far as REC windmill adjustments are concerned and consequently, direct the third respondent to give adjustment of 580526 Units of REC Wind energy generated in the petitioner's REC WEG No.2200 which was illegally allowed to lapse for the period from 4/2012 to 4/2016.

2. Brief facts which are necessary for the disposal of this writ petition are as follows:-

The petitioner Company is engaged in manufacturing of textile related products and is getting power for its operations through fourth respondent. The petitioner Company has invested in captive generation of power through their windmills for the specific purpose of meeting their power requirements. The Page No:3/8 https://www.mhc.tn.gov.in/judis Writ Petition No.5322 of 2017 petitioner's surplus energy 580526 REC Wind units have been treated as lapse. On the strength of the second respondent's memo, dated 14/9/2012, third respondent has first adjusted the wind energy generated in Non-REC wind mills and then the wind energy generated from REC scheme later, against the petitioner's captive consumption at HTSC No.330, for the period from 08/2012 to 03/2013 resulting in lapse of REC wind energy as follows:-
                                                 Period/Year     Units treated as lapsed
                                                                based on the memo dated
                                                                        31/3/2013
                                         August 2012 to        580526 Units
                                         March 2013
                                         Total                 580526 Units



3. Since the third respondent illegally continued to treat the REC wind energy, as lapsed, the petitioner was put to heavy financial loss and consequently, petitioner, vide, his application, dated 5/4/2013, applied for utility change from REC scheme to preferential banking scheme. Fourth respondent, vide, his letter, dated 16/4/2014 has accorded approval for change of utility and the petitioner's WEG SC No.U2200 is presently under preferential banking scheme. However, the petitioner is filing the present writ petition seeking Page No:4/8 https://www.mhc.tn.gov.in/judis Writ Petition No.5322 of 2017 adjustment of the alleged lapsed 580526 REC Units, generated by the petitioner's wind generator for the period from August 2012 to March 2013.
4. Heard Mr.S.P.Parthasarathy, learned counsel for the petitioner and Mr.Abul Kalam, learned Standing Counsel for the respondents.
5. The learned counsel appearing for the petitioner submitted that the second respondent has not issued any working instruction for implementing the order of the State Commission passed in D.R.P.No.19 of 2013. This act of the second respondent clearly shows that the intention of the second respondent is to avoid adjustment/payments to the REC WEGs and however, to collect charges erroneously when orders are issued by the State Commission in other issues.
6. The learned Standing counsel appearing for the respondents submitted that he is not disputing the order passed by the Tamil Nadu Regulatory Commission in T.R.P.No.19 of 2013. He further submitted that the dispute in question has reached its finality and in fact, before the Hon'ble Supreme Court, in Civil Appeal No.15618 of 2017, TANGEDCO also agreed to adopt the Page No:5/8 https://www.mhc.tn.gov.in/judis Writ Petition No.5322 of 2017 procedure laid down in the Notification dated 21/3/2022 for adjustment priority among WEGs under REC and non-REC with effect from 1/8/2012 retrospectively. The abovementioned Notification dated 21/3/2022 shall be adopted prospectively for other energy sources of the High Tension Consumers.
7. Submission of the learned Standing Counsel for the respondents is recorded.
8. In the result, this writ petition is disposed of, directing the respondents to either adjust 580526 units of REC wind energy generated in the petitioner's REC WEG No.2200 or encash the same towards the future bills. No costs.

Consequently, the connected Miscellaneous Petition is closed.

31/10/2022 Index : Yes / No Internet: Yes Speaking/non speaking order mvs.

Page No:6/8 https://www.mhc.tn.gov.in/judis Writ Petition No.5322 of 2017 To

1. The Chairman & Managing Director TANGEDCO No.144 Anna Salai Chennai 2.

2. The Chief Financial Controller (Revenue) TANGEDCO 144 Anna Salai Chennai 2.

3. The Superintending Engineer Dindigul Electricity Distribution Circle TANGEDCO Dindigul.

4. The Superintending Engineer Udumalpet Electricity Distribution Circle TANGEDCO Udumalpet.

Page No:7/8 https://www.mhc.tn.gov.in/judis Writ Petition No.5322 of 2017 N. SATHISH KUMAR, J mvs.

W.P.No.5322 of 2017

31/10/2022 Page No:8/8 https://www.mhc.tn.gov.in/judis