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Association Of Industrial Electricity ... vs State Of A.P. And Ors on 6 March, 2002

(h) that the Hon'ble Supreme Court, in the case of Association of Industrial Electricity Users vs. State of AP & Ors, reported in (2002) 3 SCC 711, held that on the basis of the Electricity Act, 2003, the classification of consumers according to the purpose for which the electricity is used is permissible. 'Purpose for which the supply is required', as used in Section 62(3) of the Act does not merely relate to the nature of the activity carried out by a consumer but has to be necessarily determined from the objects sought to be achieved through such activity. The overt act of the person must be looked at so as to find out the effect of the transaction.
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