Madras High Court
Sree Rengaraaj Ispat Industries vs Tamilnadu Generation And on 23 August, 2022
Author: R.Subramanian
Bench: R.Subramanian
WP.No.9224/2017
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 23.08.2022
CORAM:
THE HONOURABLE MR.JUSTICE R.SUBRAMANIAN
WP.No.9224/2017 & WMP.Nos.10152 & 10153/2017
Sree Rengaraaj Ispat Industries
Pvt. Ltd. (HT SC No.379) 99 Sankagiri
Main Road Nethimedu Salem 636 002
eep. By its Director S.Shyam Sundar ... Petitioner
Vs
1 Tamilnadu Generation and
Distribution Corporation Ltd. rep. by its
Chairman 144 Anna Salai Chennai 600 002.
2 The Director/Operations
Tamilnadu Transmission Corporations
(TANTRANSCO) 144 Anna Salai Chennai-2.
3 The Superintending Engineer
Load Despatch and Grid Operation Tamilnadu
Transmission Corporations (TANTRANSCO) 144
Anna Salai Chennai-2.
4 The Superintending Engineer
TANGEDCO Erode Electricity Distribution
Circle Erode 638 009.
1/7
https://www.mhc.tn.gov.in/judis
WP.No.9224/2017
5 The Accounts Officer/Revenue
TANGEDCO Erode Electricity Distribution
circle Erode 638 009.
6 The Tamilnadu Electricity
Regulatory Commission rep. by its Secrtary
No.19A Rukmini Lakshmipathi Salai Egmore
Chennai-8. ... Respondents
Prayer: Writ Petition filed Article 226 of the Constitution of India praying
for issuance of a writ of certiorarified mandamus calling for the records of
the 4th respondents impugned notice bearing Lr. No. SE/EEDC/ ED/ AEE/
DEV/ AE/ CI.II/F.HTSC 379/R.278-1/16 dated 15.6.2016 and consequent
CC bill dated 29.3.2017 issued by the 5th respondent in so far as it relates to
the levy of recurring maintenance charges to a tune of Rs.1 65 060/- in
Serial No.21 under the column of other adjustment quash the same as
illegal arbitrary without authority of law and without approval from the 6th
respondent as per section 86 of the Electricity Act 2003 and consequently
direct the 4th respondent to give refund/ adjustment of the entire amount of
Rs.1,05,84,601/- so far un-authorizedly collected from the petitioner from
February 2012 onwards.
For Petitioner : Mr.S.P.Parthasarathy
For Respondents : Ms.V.Revathy for
Mr.M.Abul Kalam
ORDER
(1) The petitioner challenges the order of the Superintending Engineer, TANGEDCO, Erode Electricity Distribution Circle / 4th respondent 2/7 https://www.mhc.tn.gov.in/judis WP.No.9224/2017 herein, levying Operation and Maintenance charges on the petitioner for maintenance of the bays in the grid constructed by the petitioner. (2) The petitioner is a Generator of electricity using fossil fuel. The electricity generated by the petitioner is fed into the grid of the Tamil Nadu Generation and Distribution Corporation [TANGEDCO]. For the said purposes, the petitioner has also created grid and bays. The TANGEDCO had levied Operation and Maintenance charges on the bays at Rs.1,65,060/- per month. While the petitioner claims that the TANGEDCO has no power to impose Operation and Maintenance charges, the respondents would rely upon the orders of the Tamil Nadu Electricity Regulatory Commission [TNERC] made in DRP.No.11/2020 to contend that such levy has been upheld by the Commission and subsequently, the Commission has also fixed the percentage of levy vide order dated 15.02.2022 made in MP.No.12/2021.
(3) The learned counsel for the respondents has also produced the working sheet calculating the Operation and Maintenance charges as per the orders of TNERC. As per the said statements, the monthly 3/7 https://www.mhc.tn.gov.in/judis WP.No.9224/2017 Operation and Maintenance charges to be collected from the petitioner works out to Rs.28,559.17p., per month for one year from the date of commissioning i.e., from 25.01.2012 to 24.01.2013 and at Rs.29,701.53 p., per month for the period from 25.01.2013 to 08.4.2014 and at Rs.31,400.46p., per month from 09.04.2014. (4) Mr.S.P.Parthasarathy, learned counsel for the petitioner would submit that the petitioner will have to necessarily pay the charges as calculated in the Memo of Calculation filed by the TANGEDCO. The learned counsel for the petitioner would also point out that an interim stay was granted subject to the condition that the petitioner pays 50% of Rs.1,65,060/- as claimed in the impugned order. There is a prayer for refund of the amount collected also in this writ petition.
(5) Now that the TNERC has upheld the levy and has also fixed the percentage, I do not think the entire demand could be quashed. At the same time, the respondents would be entitled to only the amount fixed by TNERC and nothing more.
4/7 https://www.mhc.tn.gov.in/judis WP.No.9224/2017 (6) Therefore, the writ petition is disposed of with the following directions. While confirming the rights of TANGEDCO to levy Operation and Maintenance charges, the same should be at the percentage fixed by TNERC. Any excess collected from the petitioner will have to be refunded to the petitioner or adjusted in the future current consumption charges. Such exercise of re- determination shall be completed within a period of four weeks from the date of receipt of a copy of this order and the adjustments shall be made thereafter.
(7) It is made clear that the disposal of this writ petition will not prevent the petitioner from challenging the orders of the TNERC before the Appellate Tribunal for Electricity [APTEL]. No costs. Consequently, connected miscellaneous petitions are closed.
23.08.2022 AP Internet : Yes 5/7 https://www.mhc.tn.gov.in/judis WP.No.9224/2017 To 1 The Chairman Tamilnadu Generation and Distribution Corporation Ltd.
144 Anna Salai Chennai 600 002 2 The Director/Operations Tamilnadu Transmission Corporations (TANTRANSCO) 144 Anna Salai Chennai-2 3 The Superintending Engineer Load Despatch and Grid Operation Tamilnadu Transmission Corporations (TANTRANSCO), 144 Anna Salai Chennai-2.
4 The Superintending Engineer TANGEDCO Erode Electricity Distribution Circle Erode 638 009.
5 The Accounts Officer/Revenue TANGEDCO Erode Electricity Distribution circle Erode 638 009.
6 The Tamilnadu Electricity Regulatory Commission rep. by its Secrtary No.19A Rukmini Lakshmipathi Salai Egmore Chennai-8.
6/7 https://www.mhc.tn.gov.in/judis WP.No.9224/2017 R.SUBRAMANIAN, J.
AP WP.No.9224/2017 23.08.2022 7/7 https://www.mhc.tn.gov.in/judis